According to India’s “Economic Times” report on October 15, the Confederation of Indian Industry (CII) stated in a recent report that the conclusion of the TPP basic agreement will have a blow to the Indian textile industry.
According to the report, the “Yarn Forward Provision” in the TPP agreement stipulates that only goods processed using raw materials from TPP member states can enjoy zero-tariff benefits among member states. This move will undoubtedly cause Indian textile raw materials to be processed. Exports have shrunk significantly; and the zero-tariff agreement on trade between TPP members has made India’s textile exports uncompetitive.
In the report, CII called on the government to speed up negotiations on multilateral and bilateral free trade agreements to ensure the development of India’s textile industry and offset the negative impact of the TPP. TPP will hit Indian textile exports
