Apparels & Manufacturers Association (AEMA),Garments Exporters Association (GEA) and Textile Cluster (OGTC and Noida Apparel Export Cluster (NAEC) recently organized a press conference on the adverse impact of GST on the Apparel Sector consisting primarily of Micro Small and Medium Enterprises (MSMEs) due to reduction in drawback and RoSL (Rebate of State Levies)in New Delhi.

Addressing the conference, PMS Uppal, President, Okhla Garment and Textile Cluster said that the textiles exports had declined for the period of July-October by 6 per cent due to sharp reductions in the effective drawback and RoSL rates. On the employment front he said that the apparel sector employs women in large numbers and further losses would force the sector to shed jobs in large number.

Vinod Dhawan, President, Apparel Exporters & Manufacturer Association (AEMA) said that the govt should incentivize the sector to boost the production and to counter the dwindling exports due to fierce competition from Vietnam and Bangladesh who have various cost advantages due to competitive wages.