There is a need for governments’ proactive support in South Asia to become a major player in the global textiles. Discuss (200 Words)
Refer - The Hindu
Enrich the answer from other sources, if the question demands.
IAS Parliament 3 years
KEY POINTS
· South Asia became a major player in the global textiles and clothing market with the onset of the third wave of global production. Bangladesh joined the league in the 1980s, owing to the outbreak of the civil war in Sri Lanka.
· Lower production costs and free trade agreements with western buyers are what favour Bangladesh, which falls third in the line as a global exporter.
· India’s exports later witnessed a larger volume of business, following a 0.8% dip in 2019.
· The integration of skilling and technological investments will play a vital role in phasing out obsolete jobs, and adapting to new ones. It is imperative to ensure living wages and ease of access to education.
· Tax exemptions or reductions in imported technology, accessibility to financial incentives, maintaining political stability and establishing good trade relations are some of the fundamental forms of support the industry needs from governments.
· India’s proposed investments of US$1.4 billion and the establishment of all-in-one textile parks are expected to increase employment and ease of trade.
· Cotton product dependency and a focus on only major export destinations may diminish the market scope for South Asia. Diversification with respect to technology, the product basket and the client base are to be noted.
