Apparel Export Promotion Council

Apparel Export Promotion Council (AEPC) was started in february 1978 aimed at promoting exports of Readymade Garments (RMG) from India. Till 2005, during quota regime, the AEPC was administering the exports entitlements quota in respect of readymade garment items. It is official body of apparel exporters in India that provides invaluable assistance to Indian exporters as well as importers/international buyers who choose India as their preferred sourcing destination for garments. AEPC would like to respond to the US department of labor to such possible inclusion of garments on the Executive Order (EU) list. It plays a very important role in identifying new markets and leading trade delegations to various countries. It is a one-stop solution for information, advice, market intelligence and technical guidance. The headquarters of AEPC is located at new delhi and has regional offices at New Delhi, Jaipur (Rajasthan), Ludhiana (Punjab), Mumbai (Maharashtra), Chennai and Tirupur (Tamil Nadu), Bangalore (Karnataka) and Kolkata (West Bengal)

The main achievements of AEPC include:

  • AEPC has 40 offices in just 30 years from one office in 1978.
  • From just being a quota monitoring entity, AEPC is today a powerful body for the promotion and facilitation of garment manufacturing and their exports.
  • AEPC is a one-stop shop for information advice technical guidance workforce and market intelligence.

Role of Apparel Export Promotion Council (AEPC)

The main role of AEPC is to monitor and extend support to the export sector of the industry. AEPC is the official body that reports to the ministry of Textiles, Government of India and facilitates exporters in compliance requirements.

India’s presence in the US

  • US is very important and established market for Indian textiles and clothing exports. In 2008, imports from India was about $ 3.12 billion and constituted 4% of its apparel imports. About 30% of garments exported from India are to the US market.
  • During 2009, from january to june, total textile imports in the US were $37.54 billion of which apparel accounted for $28.91 billion. Indian apparel exports during the period to US were $1.59 billion which was about 8.63% lower compared to same period of the previous year.

Garments industry of India recognizes the importance of complying with international regulations to remain an important source of supply in the US market. So, the industry ensures that it understands the US regulations and makes effort to match the laws and regulations of the US Government. Continuous efforts are made by industry to operate at highest level of international standards. Therefore, members of the Indian garment manufacturing industry, have voluntarily enrolled into stringent certification programs where resting buyer apprehensions regarding labor and environmental violations.

The government of India has many numbers of steps to promote textile exports from India, in particular the export of cotton or apparel products. The government has tried with cluster approach focusing on creating centres of export driven industry especially the export industries in Tirupur, Delhi, Ludhiana, and Mumbai falls under this category. The government also tried Export Oriented Units (EOUs), Special Economic Zones (SEZ), Parks in specific industries. The benefits of this can be clearly seen from the growth of textile industry in India in terms of its contribution to the total exports, its share in GDP, its contribution to employment generation.

Now, developed countries like United States of America, European countries etc., pressurizing the Indian government to stop giving subsidies and other monetary rewards to exporters as it is against the WTO protocol and free trade. At this juncture, the government of India has to find innovative ways of promoting textile exports from India particularly, focusing on skill development and creating a congenial environment for new entrepreneurs to enter into this industry. The government has to improve its score on ease of doing business in order to realize its dream of make in India project a very successful project.