The Indian government is setting up a 'crisis management cell' in the textiles ministry to address the urgent problem of declining textile exports resulting from the global slowdown and US involvement in Afghanistan. The cell will be headed by Textiles Minister Kashiram Rana, and include various secretaries and members of export promotion councils.

Textile exports accounted for US$44 billion in the last fiscal year, close to a quarter of total merchandise exports from India. Figures for the April-July 2001 period show that they dropped by approximately 17.3 per cent to US$3.5 billion, down from $4.2 billion for the same period last year.

Minister Rama said that the textiles ministry was also working on a long term strategy in parallel with the Tenth Plan, which focuses on the removal of limitations to growth, and encourages investment.

It includes strong support for research and development, and the provision of a good quality infrastructure to ensure the industry can face the challenges of increasing liberalisation.

To view related research reports, please follow the links below:-

Gateway to India: India's apparel export manufacturing industry

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