Delhi: Textiles exporters to the US are getting hit badly with the hardening
of the rupee against the greenback
volumes of exported goods surged during January-March this year, the dip in export
value, primarily on account of the appreciating rupee and a sustained rise in
the domestic interest rate regime, has translated into a 10-15 per cent dip in
the realisation for most textile exporters during the last six months, according
to industry estimates.
60 per cent of India''s apparel exports are headed for the US.
per the US Office of Textiles and Apparel data, during the first three months
of 2007, India''s exports of textile and apparel products to the US declined 0.43
per cent in value terms even as export volumes surged 7.49 per cent against the
corresponding period of the previous year.
on the other hand, has registered increases in both volume and value terms, up
24.86 per cent and 46.47 per cent respectively.
key exporting nations such as Pakistan, Sri Lanka and Indonesia, where local currencies
have depreciated against the US dollar, have seen higher growth in value terms,
even though export volume growth has not been significant. Pakistan''s textile
exports to the US grew by 6.54 per cent in value terms even as the volume growth
was only 0.57 per cent.
downturn in Indian textile exports has prompted the Prime Minister to mandate
the National Manufacturing Competitiveness Council with the task of suggesting
measures to neutralise the effect of the surging rupee on textile exports.
rupee has appreciated against the US dollar by 9.4 per cent on a year-on-year
basis till May this year while the Chinese yuan appreciated by 4.68 per cent and
the Bangladesh taka by 0.95 per cent.