Moscow: With the export potential to the US and European Union reaching a saturation point, India will now promote textiles and ready-made garments exports to Russia and Japan.
This is stated by Union Textile Minister Shankersinh Vaghela here who is on a tour to former Soviet republics of Kazakhstan, Uzbekistan and Moscow.
Vaghela, who will leave for Tokyo on 3 April expressed concern at the decline in textile export to the former communist countries, mainly due to “logistics and cut-throat competition” posed by China.
“Two-thirds of our $20 billion (86,100 crore) textiles and ready made garments exports fall on the US and European Union and have reached a saturation point and we have decided to focus on promoting exports to Russia and Japan, with their large markets,” Vaghela told reporters after his talks with representatives of Russian textile and garment industry.
He said there was an “overwhelming response” from the Russian side.
The two sides have also agreed to set up compact groups to address the problems of promoting Indian textile exports to Russia through value addition and other means, he added.
According to officials, in 2005-2006, India exported $60 million worth of textiles to Russia, registering a sharp drop against exports of $112 million in the previous financial year.