Apparel Trade

European Union’s Generalized Scheme of Preferences for Indian Apparel and Clothing was scheduled to expire in 2016. However, it has now been extended by three years, offering Indian textile exporters more scope for growth. They will continue to enjoy 20 per cent duty preference on exports in the EU markets. However, Indian textiles, in particular, have been removed from the list in the wake of the rise in exports of textile over the allotted 14.5 per cent of the threshold.


EU's Generalized Scheme of Preferences (GSP) facilitates export from developing countries to the European Union markets. India’s apparel export to EU alone comprises 36 per cent of the industry’s total exports.
India has an additional advantage this time. China has been removed from the list of beneficiaries. Thus Indian products with duty tariff will have an edge over its competitors in the European market.