Tamil Nadu - Erode   

Chidambaram promises relief to textile exporters

ERODE: Union Finance Minister P. Chidambaram has promised textile exporters that relief would be given to them to compensate for the loss in the wake of the fall of U.S. dollar vis-À-vis the Indian rupee, Powerloom Development and Export Promotion Council (PDEXCIL) chairman M.S. Mathivanan told The Hindu on Monday. Mr. Mathivanan had attended a meeting in New Delhi recently at which the Union Minister had held discussions with the textile exporters and the chairmen of the textile councils and other officials of various departments.

Mr. Mathivanan said the dollar value was depreciating every day and it had affected the textile industry very severely, as 70 per cent of the textile products were exported through transactions in the U.S. dollar and 50 per cent of the exports to Europe were made in Euro. Since the currency value in Pakistan, Bangladesh and China was not raised, exporters in those countries were not affected.

In fact, they were getting more orders, as the textile exporters in India were not accepting fresh orders because of the upward trend of the Indian currency and the fall of the dollar in the international market.

Mr. Mathivanan said because of the dollar fall, almost all textile exporters had incurred heavy losses. He also said the powerloom industry, which provided huge employment opportunities, was now facing crisis. Consequently, unemployment was on the rise.

He said the textile exporters and others narrated their plight to the Minister who promised that he would convene a meeting and announce suitable schemes to alleviate their suffering.

Mr. Mathivanan also commended the Union Government for reintroducing Technology Upgradation Fund (TUF) scheme in the 11th Plan and said modernisation was the urgent need of the weaving industry.

In India only 1.6 per cent of powerlooms were modernised and the other looms were using old technology.

He requested the Union Government to implement new schemes for the modernisation of the powerloom industry.

Printer friendly page  
Send this article to Friends by E-Mail

Stories in this Section

Murdered
Recovered
‘Welfare schemes are for poor’
Rice intensification system of cultivation picks up in Erode district
Pension scheme
Insurance cover for banana farmers sought
A tough task is ahead for police
50 per cent weavers resume work
Chidambaram promises relief to textile exporters

Copyright © 2007, The Hindu. Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu