New Delhi, Oct 23: Silk exports have surged by 17 percent during the first five months of 2000-01, touching $140.65 million due to renewed interest in the fashion capitals of Europe for silk fabrics. During April-August 1999, silk exports stood at $120.5 million. Preliminary estimates of silk exports in september were valued at $27.35 million pushing up cumulative silk exports to $168 million, according to data compiled by the Indian Silk Export Promotion Council(ISEPC).The council said, the improved export performance to major markets like US, Europe and Japan during the current fiscal could lead to overall exports surpassing the target of $330 million. One more positive indication is that exports to Japan have increased by a phenomenal 167 per cent, the council said.
"Considering the export trend, exports to Europe have increased by over 50 per cent and exports to USA about 20 per cent in value. Total exports may cross $500 million US dollars, almost 50 per cent more than the target of $330 million fixed for the year," ISEPC sources said.
The improved performance of the country's silk exports is mainly due to silk fabrics, madeups and silk readymade garments currently riding the fashion wave in US and Europe, sources said.
"However, there is no corresponding substantial change in the varieties of fabrics being manufactured or in the collection of readymade garments which are being exported," ISEPC sources said.
Silk scarves and stoles have witnessed maximum rise in exports till August this year, increasing by 233 per cent in dollar terms to touch $16.56 million. The council, however, warned that the current increase in exports could be due to the shift towards silk fabrics in fashion capitals which could soon be replaced by a demand for some other fabric. "We have planned to achieve $1 billion exports over the next five years... It is essential for the silk exporters to take appropriate measures to sustain export growth in the next three to four years," the council said.
Outlining the pertinent issues for sustained exports the council said reduction in customs duty on mulberry raw silk was essential to check smuggling of raw silk.
Other issues include enhancing the duty drawback for silk exports, improved marketing assistance and allowing import of second hand machinery for the cottage sector, it said.
ISEPC has started a new project to improve designs with Kancheepuram silk varieties to boost exports. It is also launching a special silk garment promotion project which is aimed at the US and Latin American markets.
Copyright © 2000 Indian Express Newspapers (Bombay) Ltd.