Facing a plethora of challenges and unhappy with the recently announced package of Rs. 20 lakh crore, the apparel export industry has now urged the Government to provide them a status that is at par with the MSME sector.
They have urged Prime Minister Narendra Modi for Government’s intervention to treat this industry at par with the MSME sector.
Apparel exporters raise this demand as their business is labour-intensive, they are working on just 4 to 5 per cent margins and they do have high wage burden. Apparel Export Promotion Council (AEPC) has written a letter to PM in this regard.
Dr. A Sakthivel, Chairman, AEPC said that the present crisis is the biggest challenge faced by the apparel export industry, which is facing huge losses due to non-payment of export bills and cancellation of export orders.
He also said that the facility of granting additional working capital to all MSMEs without collateral may also be granted to all apparel exporting companies irrespective of their size.
It is pertinent to mention here that in the recently announced package, the Government has changed the definition of MSME in addition to announcing many schemes for the same.
