The process to export textiles from India to abroad

The Indian economy relies heavily on the export of textiles and garments. This industry contributes to 12 percent of Indian export profits, making it a major player in the global supply chain.

Around 35 million people are employed by the industry, either directly or indirectly. One of the few industries in India that provides considerable job prospects for women is the textile and clothing industry.

Importing and exporting Textiles

There are no restrictions on the Indian Textile Import/Export (EXIM) Policy. Import/export processes and export incentives are only a few of the topics that are addressed by the policy. In general, the EXIM policy seeks to accomplish two things:

• To encourage the export of Indian textiles and garments
• In order to maintain the competitiveness of the indigenous textile and clothing sector against global competitors.

Exporting Textiles from India: The Process

The Export/Import (EXIM) Policy of India governs the export of textiles and garments from India. It addresses a number of issues, including export eligibility, commodities that may be sent overseas, the export process, and incentives for exporting. There are a few procedures involved in how to export textile from India, so let’s have a look at them-

• From the Directorate General for Foreign Trade, you must first get an Export Licence (DGFT).
• The Export Finance facility may be applied for after the export license has been obtained
• Once the export financing is in place, you may begin exporting your items.
• Ensure that your products meet the quality requirements of your target country.
• Any licenses or certifications required by the authorities must also be obtained.
• A reputable freight forwarder is needed after your items are ready for dispatch. Exporting from India may be made simple with iContainers’ variety of options. Using our digital platform, you can track your cargo from beginning to end.
• As soon as you send your items, you will need to monitor their journey and guarantee that they get to their destination in one piece.

Incentives for the Export of Textile and Clothing Products

Textile and garment exporters in India benefit from a variety of government subsidies. The goal of these incentives is to assist exporters to compete in the global market and increase exports and make you understand how to export textile from India.

Incentives for exports include:

For textile and garment exports from India, exporters may claim a refund of any state taxes they paid on inputs used in the manufacturing process.

It is permissible for textile and garment exporters in India to obtain a refund of all central excise charges and service tax paid on materials used in production.

Using the CDCE system, duty-free imports of inputs used in the production of textiles and garments may be made available to companies exporting such goods. Trade-related goods are exempt from customs tax for exporters under this program.

This program promotes the import of capital goods for export via the utilization of the Export Promotion Capital Goods Scheme. In accordance with the plan, exporters are allowed to import capital goods duty-free up to a specific level.

Units and developers of special economic zones (SEZs) With the SEZ Scheme, India’s exports may be boosted via several incentives, including duty-free imports, exemption from income taxes, and other fiscal incentives.
Also Read: Benefits of the RoDTEP scheme