Textile exports hit due to US procurement legislation: Ficci

India's textile exports are getting affected on account of the US legislation for federal procurement, which stipulates sourcing of raw materials from the designated countries or domestic suppliers, Ficci said today. The industry body submitted a representation in this regard to the Ministry of Textiles and Ministry of Commerce & Industry. "Ficci has requested the Government of India to take up the issue either bilaterally or multilaterally with the US government to the issue amicably," it stated. ndian textile exporters have reported that the buyers or companies based in the US supplying to their government departments and agencies have halted sourcing raw materials from countries like India, which are not part of the General Services Administration (GSA) Schedule Contract. The GSA is responsible for supporting several federal agencies in the US with basic functions, including procurement services. The designated countries, as per the GSA Schedule, consist of World Trade Organization Government Procurement Agreement Countries, Countries having Free Trade Agreement with the US, Least Developed Countries and Countries based in the Caribbean-Basin. As India does not fit into any of these criteria, the US-based buyers have stopped their sourcing from our textile manufacturers immediately, impacting the order books and the production lines of some of the major exporters, Ficci said. Courtesy: The Economic Times


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