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    Indo European Free Trade Agreement Will Promote India Textile And Clothing Export

    2012/1/13 9:45:00 22

    India Europe Free Textile And Garment Export

    According to industry experts, the early implementation of the India EU free trade agreement (FTA) will promote India textiles and clothing Exports are now at the final stage of negotiations.


    The India EU free trade agreement, known as the bilateral trade and investment agreement (BTIA), is proposed for the next 10 years. Cut down 90% of bilateral trade tariffs will eventually be abolished.


    India textile industry widely agreed that the government cut tariffs on EU products and eventually dropped to zero because this will help promote the promotion. Out Mouth, so that domestic enterprises benefit.


    In 2010-11, the European Union accounted for about 30% of India's total textile and clothing exports of US $26 billion 800 million, which was US $8 billion.


    During the month of January 2011 -9, in the textile and clothing trade between India and the European Union, the total amount of textiles and clothing imported from India by the European Union was close to 6 billion euros, of which 3 billion 930 million euros were imported from garments and 2 billion 60 million euros from non apparel textiles. In contrast, India's imports of textiles and garments from the EU are negligible, especially the finished products.


    India levying a 10% ad valorem tax on fabrics and clothing from the European Union. But most fabrics and clothing are subject to volume tax. Under such circumstances, which kind of premium should be imposed on ad valorem tax or volume tax? Because European products are usually expensive, most products are subject to a 10% ad valorem tax.

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