1 Dear colleagues, At the outset, on behalf of the Executive ...

<strong>Dear</strong> <strong>colleagues</strong>,
<strong>At</strong> <strong>the</strong> <strong>outset</strong>, on behalf of <strong>the</strong> Executive Committee and on my own behalf, I
welcome all of you to <strong>the</strong> 33 rd Annual General Meeting of your Council. I assumed as
Chairman of <strong>the</strong> Council for <strong>the</strong> 3 rd time on 07.01.2012, privileged to head <strong>the</strong>
prestigious Council.
EXPORT PERFORMANCE
India’s textile exports were worth US$ 32456 million in 2011-12 as against US$
27154 million in 2010-11, an increase of 19.5 per cent from previous year. Apparel
exports were worth US$ 13699 mn in 2011-12 established, an increase of 17.9%
percent. Since, RMG sector and textiles recorded similar growth rates, share of
apparel in <strong>the</strong> textile value chain remained same as last year. RMG sector’s share in
textile export has been fluctuating, from 46 % in 2006-07 to 51 per cent in 2008-09,
nosedived to 42 per cent in 2010-11 and remained stagnant at 42% in 2011-12.
The export performance in 2011-12 had raised hopes for double digit growth this year
also. However, <strong>the</strong> current FY so far has remained depressed with Indian apparel
exports for April-July 2012-13 recording a decline of 13% over <strong>the</strong> same period of
preceding FY. Continuous decline in <strong>the</strong> apparel export of India is due to slow down
of <strong>the</strong> world economy specifically in EU. USA and EU markets account for 73%
share in total apparel export of India.
Indian apparel exports had a 3.2% share in world exports in 2011. EU and USA in <strong>the</strong>
Jan-June 2012 period have registered decline in <strong>the</strong> apparel import. EU registered
12.7 per cent decline in apparel import compared to last year while USA registered
1% decline in apparel import from previous year. This is an indication of slowing
down of both <strong>the</strong> markets. In both markets Indian garment exports for <strong>the</strong> period of
Jan-June 2012 declined by 10% and 25% respectively.
Overall, <strong>the</strong> economy has seen modest growth. High input cost due to rising inflation
has led to high Labor material cost and fuel prices. Government is conscious of <strong>the</strong>
development and has also supported <strong>the</strong> textiles sectors through its policy initiatives.
The Foreign Trade policy has been favorable for <strong>the</strong> garment sector, with continuation
of Market Linked Focus Product Scheme and interest subvention scheme. AEPC has
also taken various initiatives to diversifying our markets and trying to tap <strong>the</strong> new
markets.
The supplement to Foreign Trade Policy announced by <strong>the</strong> Government has taken
care of most of industry demands and Ministry of Textiles has revised <strong>the</strong> export
targets for 2012-13 from US$ 17 billion to US$ 18 billion.
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Achievements of our Council
Following are <strong>the</strong> achievements:
The continuance of Restructured Technology Upgradation Fund Scheme in <strong>the</strong>
year 2012-13
The consideration of Pending cases classifieds as List – II cases in <strong>the</strong>
committed liability for modified TUFs.
The invalid 840 cases in TUF refund were taken up for TUF subsidy refund as
<strong>the</strong> delay had been due to no fault of <strong>the</strong> investor but a consequence of
irregular monitoring of cases and claims within <strong>the</strong> banking sector.
In <strong>the</strong> Annual Supplement 2012-13 to <strong>the</strong> Foreign Trade Policy 2009-14, our
requisition have been fully addressed in <strong>the</strong> first time,
2% interest subvention availability only for SME units has been now
extended to readymade garments also upto 31 st March, 2013,
Extension of 2% duty credit scrip for exports made to Latin America
and Africa and CIS Countries.
The inclusion of 7 new markets additionally each in Focus Market
Scheme (FMS) and Special Focus Market scheme is helpful and
attractive to explore <strong>the</strong> new markets.
Zero Duty EPCG scheme has been extended upto 31 st March, 2013.
Extension of 1% duty credit scrip for Status Holders has been
accepted.
24x7 customs clearance at identified Air Cargo Complexes and Sea
Ports for free shipping bill has been approved. We are trying to extend
<strong>the</strong> 24x7 customs clearance facility for Drawback Shipping bills also.
Export credit in Foreign Currency by Banks to exporting units has
been started.
RBI has made <strong>the</strong> changes by allowing exporters to cancel and rebook
forward contracts to <strong>the</strong> extent of 25 percent of <strong>the</strong> total contracts
booked for hedging <strong>the</strong>ir exposure.
Ministry of Finance, for <strong>the</strong> first time, announced <strong>the</strong> Service Tax
refund on <strong>the</strong> lines of Duty Drawback to exporting units and fixed
0.15% of <strong>the</strong> total FOB value for <strong>the</strong> garments exports, effective from
3 rd January 2012. After our representation, it was revised upwards to
0.18%, which came into effect from 1 st July, 2012.
Debt Restructuring for Textile Industry has been taken up actively.
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70% Financial support of Rs.150 lacs for study on Competitiveness in
Indian Apparel Industry has been approved.
Setting up of “Exporters’ Felicitation Cell” in AEPC for redressal of
grievances of exporters.
Providing Apparel India magazine at discounted price of Rs. 275/- per annum
Brainstorming Session
For <strong>the</strong> very first time, AEPC organized a Brainstorming Session; comprising
small, medium and large exporters, besides Executive Committee Members,
AEPC to deliberate as to how India’s exports can be taken to US$ 18 Bn in
this financial year. A number of new ideas have emerged during <strong>the</strong>
Brainstorming Session and on <strong>the</strong> basis of it, AEPC has made Concept Notes,
which were presented before <strong>the</strong> Secretary (Textiles) on 16.08.2012. This is
being pursued fur<strong>the</strong>r for <strong>the</strong> benefit of <strong>the</strong> industry.
Financial grant for E.P. activities.
Upscaling of MAI/ MDA support for 2013-14 so that more marketing efforts
can be made. The Council has received MAI support of Rs.15 Cr.
New markets
In order to increase exports from India, following initiatives were taken:-
- BSM in UK (29-31 Aug, 2012)
- BSM in Israel (5-6 Sept, 2012)
-BSM in Russia (11-14 Oct, 2012)
-Proposed Buyer Seller Meet in Colombia and Panama (18-23 Nov, 2012)
Proposed Buyer Seller Meet in New York (28-29 Jan, 2013)
-Proposed Buyer Seller Meet in Australia & New Zealand (Feb 2013)
Membership of AEPC
In order to safeguard <strong>the</strong> interest of member exporters took up <strong>the</strong> matter in
EC, AEPC, Ministry of Textiles and Registrar of Companies for suitable
amending <strong>the</strong> Memorandum of Article of <strong>the</strong> Council for <strong>the</strong> restoration of old
RCMC nos.
Missions
Initiated Wovenwear Technology Mission, with a financial outlay of Rs. 3057
lacs, to be set up in <strong>the</strong> 12 th Five Year Plan.
3

Banking Issues
Took up following matters:
Took up <strong>the</strong> matter with RBI on considering <strong>the</strong> blackout period under
TUFS period 29.06.2012 to 27.04.2011 & making application for term
loan under TUF be eligible for <strong>the</strong> benefit.
Separate chapter for export sector for export credit in foreign currency
LIBOR linked ECB funding for MSME exports
High margins for forward contracts
Processing charges for annual renewal of limit
Cross currency booking; Negotiation charges; Booking charges; Collateral
and guarantees; Review of system of collaterals and guarantees
Requisition for 8% interest reimbursement plus 20% capital subsidy to
syn<strong>the</strong>tic garment machinery under TUFS
Inter-Ministerial Meeting
TUF
Matter taken up with RBI requesting to issue instruction to <strong>the</strong> banks
confirming that manufacturing units would not fall under NPA norms if
<strong>the</strong>y avail restructured package.
<strong>At</strong>tended Group of Officers meeting. With this, Department of Financial
Services has issued an e-mail directive to Banks to open a special window
for considering stressed loans for restructuring on a case by case basis.
Extension of TUF Scheme in <strong>the</strong> 12 th Five Year Plan
Re-inclusion of wind turbine generator under TUFS
Duty credit scrip to status holders who availed loan under TUF Scheme
Requisition to increase <strong>the</strong> investment limit of SME units
Responsibility entrusted by Govt
Chairman, AEPC has been inducted as permanent invitee to <strong>the</strong> Cotton
Yarn Advisory Board (CYAB) by <strong>the</strong> Govt.
Induction of Chairman, AEPC as <strong>the</strong> member of <strong>the</strong> Working Group on
<strong>the</strong> Manufacturing Plan strategies for accelerating growth of
manufacturing in India in 12 th Five Year Plan period and beyond
4

Issues taken up with various Ministries
Ministry of Labour / Ministry of Textiles
Took up <strong>the</strong> matter through MOT/MOL with US Department of Labour in
<strong>the</strong> matter of child labour and removing of garment from from US
Executive Order and TVPRA list
Took up <strong>the</strong> matter with Ministry of Finance for expanding <strong>the</strong> items under
duty free import of trimmings and embellishments for 24 trims and also for
13 dyes / dyes chemicals
Took up <strong>the</strong> issue with CPFC for application of definition of an employee,
with a view to stress that employees of job working agencies functioning
for <strong>the</strong> employer outside <strong>the</strong>ir premises, cannot be covered by <strong>the</strong> garment
exporters.
Ministry of Finance
Submitted pre-budget proposals for <strong>the</strong> year 2012-13. Following suggestions were
submitted:
- Disallowance of expenditure for non-compliance of TDS provisions
- Increase in <strong>the</strong> rate of depreciation from <strong>the</strong> assessment year 2011-12
- Waiver of TDS on foreign agency commission
- zero custom duty for import of manmade fibers
- Zero custom duty for machinery
- Zero excise duty for manmade fibers
- Requisition to remove excise duty for branded garments
- Duty free import entitlement of specified trimmings & embellishment
which is 5% of FOB value of exports during previous financial year for
handloom and handloom made-ups, be extended to garment sector to
<strong>the</strong> extent of 5% (Now 3%).
Bilateral Trade Agreement
Matter taken up with Hon’ble Minister of Textiles, Commerce and
Industry for immediately finalization of FTA with EU. It has fur<strong>the</strong>r been
recommended that Agreement on Textile & Clothing be finalized ahead of
full FTA.
Matter taken up with Ministry of Textiles regarding elimination of
negative list items of <strong>the</strong> textiles and clothing sector from SAFTA negative
list in favour of Pakistan.
5

EXPORT PROMOTION
BUYER SELLER MEET
Buyer Seller Meet – South Africa:- AEPC was <strong>the</strong> lead Council in Buyer Seller
Meet in Cape Town (23-24 February, 2012) and Johannesburg (27-28 February,
2012) in South Africa with 68 participants.
Buyer Seller Meet – Chile & Uruguay:- The Council organized a Buyer Seller Meet
in Santiago, Chile (15-16 March, 2012) and Uruguay, Monte Video (19-20 March,
2012) with 22 participants.
Buyer Seller Meet at Stockholm, (Sweden); Oslo (Norway) and Copenhagen
(Denmark):- The Council organized first time a Buyer Seller Meet at Stockholm,
(Sweden); Oslo (Norway) and Copenhagen (Denmark from 13th – 20th June, 2012
with 9 participants.
INTERNATIONAL FAIRS
The Council participated in following EP events.
Hong Kong Fashion Week, Hong Kong [16-19, January, 2012]:- The Council
participated with 70 participants.
Intermoda International Apparel & Textile Fair, Guadalajara, Mexico [17-20
January, 2012]
The Council participated with 19 participants.
Magic Fair, Las Vegas, USA and Washington [12-15 February, 2012]:- The
Council participated with 46 participants.
Asia Garment Expo, Berlin, Germany [21-23 February, 2012):- The Council
participated with 30 participants.
Brand India Expo, in Ottawa, Canada [13-14 March, 2012]:- The Council
participated with 04 participants.
Bangkok International Fashion Fair(BIFF)- Thailand [27th June – 1st July,
2012]:- The Council participated with 04 participants.
Hong Kong Fashion Week, Hong Kong [3-6 July, 2012]:- The Council participated
with 67 participants.
JFW International Fashion Fair (IFF), Tokyo, Japan [18-20 July, 2012]:- The
Council participated with 155booths.
Magic Fair, Las Vegas, USA [20-23 August, 2012]:- The Council participated with
57 participants.
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London Garment Expo, London [ 29-31 August, 2012]:- The Council participated
with 46 participants.
India International Apparel & Textile Trade Show at Tel Aviv, Israel [5th and
6th September, 2012]:- The Council participated with 30 participants.
HIGH LEVEL TRADE DELEGATIONS
High Level Trade Delegation to Hong Kong Fashion Week, Hong Kong [16-19
January, 2012]:- Two members delegation visited to Hong Kong to attend <strong>the</strong> Hong
Kong Fashion Week, Hong Kong.
High Level Trade Delegation to Budapest, Hungary [23 - 24 February, 2012] :-
Five members delegation visited Budapest, Hungary. The delegation first visited at
Asia Apparel Expo at Berlin and later undertook explanatory visit to Hungary.
One member delegation to India Clothing & Textile Trade Show in South Africa
[23-28 February 2012]:- One Member delegation visited South Africa to attend
India Clothing & Textile Trade Show at Cape Town from 23-24 February and at
Johannesburg from 27-28 February, 2012.
High Level Trade Delegation to Chile & Uruguay [15-20 March, 2012] :- Two
members delegation visited Santiago, Chile from 15-16 March, 2012 and Montevideo,
Uruguay from 19-20 March, 2012.
High Level Trade Delegation to Stockholm, (Sweden); Oslo (Norway) and
Copenhagen (Denmark) from 13th – 20th June, 2012:- A five members delegation
visited to Stockholm, (Sweden); Oslo (Norway) and Copenhagen (Denmark) from
13th – 20th June, 2012.
High Level Trade Delegation to Hong Kong Fashion Week, Hong Kong [3-6
July, 2012]:- Two members delegation visited Hong Kong to attend <strong>the</strong> Hong Kong
Fashion Week, Hong Kong.
High Level Trade Delegation to Japan [18-20 July, 2012]:- Three members
delegation visited to Japan to attend <strong>the</strong> JFW Fashion Fair, Japan under <strong>the</strong>
Chairpersonship of Secretary (Textiles).
High Level Trade Delegation to Las Vegas & New York. USA [20-27 August,
2012]:- Two members delegation visited to attend Magic Fair, Las Vegas, USA. The
delegation also visited New York for organization of Buyer Seller Meet in New York
during January 2013..
High Level Trade Delegation to London Garment Expo, London [ 29-31 August,
2012]:- Two members delegation visited to London Garment Expo, London from 29-
31 August, 2012.
High Level Trade Delegation to India International Apparel & Textile Trade
Show at Tel Aviv, Israel [ 5 th and 6 th September, 2012]:- One Member delegation
visited to attend India International Apparel & Textile Trade Show at Tel Aviv,
Israel [ 5 th and 6 th September, 2012] under <strong>the</strong> Chairpersonship of Secretary
(Textiles).
7

DOMESTIC EVENTS
Tex-Trends India, New Delhi, India (19-21 January, 2012) AEPC, as <strong>the</strong> Lead
Council organized 2nd edition of Tex - Trends India 2012, AEPC participated with
381 participants. Shri Anand Sharma, Hon’ble Minister for Commerce, Industry and
Textiles inaugurated <strong>the</strong> fair.
Tex-Trends India, New Delhi, India (16-18 July, 2012) AEPC, as <strong>the</strong> Lead Council
organized 3 rd Tex-Trends India on 16-18 th July, 2012 with 379 participants. The fair
was inaugurated by Shri Anand Sharma, Hon'ble Union Minister for Commerce,
Industry and Textiles on 16.7.2012.
Source Zone
(a) AEPC organized Source Zone on 9-11 th November during 2011. It was
attended by 104 participated.
(b) We are also organizing Source Zone at Apparel House from 5 th – 7 th
November, 2012. A dedicated website has been launched
(www.sourcezonefair.com) for <strong>the</strong> promotion of Source Zone.
CHILD LABOUR ISSUE RAISED BY US DEPARTMENT.
A high level Indian delegation under <strong>the</strong> chairmanship of Shri V Srinivas, JS
(Exports) visited Washington from 14-16th Feb., 2012 to attend <strong>the</strong> public hearing
conducted by USDOL on February 15, 2012.
A detailed presentation was made by Chairman AEPC covering progress achieved in
launching <strong>the</strong> DISHA program in Dec., 2011 and on <strong>the</strong> dipstick study undertaken by
NITRA.
AEPC has submitted a detailed submission/response in April 2012 to <strong>the</strong> US Dept. of
Labor regarding <strong>the</strong> issue of child labor and forced labor.
The development of DISHA programme received a positive response in <strong>the</strong> meetings.
USDOL has thanked AEPC for information about ongoing initiatives to combat child
labor in <strong>the</strong> garment industry, particularly through DISHA programme and proactive
efforts taken by <strong>the</strong> Council. USDOL has encouraged AEPC to continue to share
information about <strong>the</strong>se initiatives.
Revision of Duty Drawback
After collecting and compiling comprehensive cost and consumption data from <strong>the</strong>
garment manufacturer exporters spread across <strong>the</strong> country, Council has submitted its
recommendations to increase of DBK rate. We have also submitted a proposal for
simplification for in tariff items & value cap to reduce from 201 to 3 numbers as same
rate of drawback to Garments of Cotton, Blend and MMF are allowed on 201 Tariff
items of Chapter 61 & 62.
The proposed DBK rate for <strong>the</strong> year 2012-13 are 10.27 % of fob for Cotton/O<strong>the</strong>rs
garments, 11.21% for Blended garment and 12.53% for Man Made Fibers garments.
8

DISHA
DISHA, AEPC’s flagship programme for capacity building and greater awareness on
social compliance issues in apparel sector, was launched on December 2011. Council
initiated cluster level orientation cum awareness workshops in various regions –
Tirupur, Chennai, Bangalore, Mumbai, Ludhiana, Jaipur, New Delhi and Kolkata. A
total of 598 companies attended <strong>the</strong> various launch shows and a significant buzz was
created in <strong>the</strong> export manufacturing community.
Through <strong>the</strong> enrollment workshops and o<strong>the</strong>r promotional programs throughout <strong>the</strong>
country, over 140 apparel manufacturing units enrolled so far to <strong>the</strong> DISHA program.
The participating members were allotted with a unique username and password which
allows <strong>the</strong>m to access DISHA website and online tool kits.
DISHA Team members visited factories and clusters to handhold and help <strong>the</strong>m to
fill up <strong>the</strong> SAT and QAQ. They collected 86 factory’s SAT and QAQs were compiled
cluster wise and analysed by experts of DISHA. The core issues of units are identified
cluster wise which are incorporated for preparing training tools.
Council has initiated lot of activities towards global endorsement of <strong>the</strong> DISHA
program. The Indian Apparel Industry Stakeholders Roundtable Consultation on
Compliance Challenges was held on 25th of April 2012 at India Habitat Center, New
Delhi. There were representative from Trade Unions, NGOs, major buying brands,
buying houses, manufacturers, Intl. Organizations viz. ILO, BSCI, SAI etc.
Various Embassies/High Commissions of RMG sourcing countries have been
contacted and informed <strong>the</strong>m about <strong>the</strong> DISHA program and its activities among <strong>the</strong>
apparel manufacturing units. All <strong>the</strong> State Chief Secretaries and Labour
Commissioners have been requested for <strong>the</strong>ir cooperation and involvement in <strong>the</strong>
DISHA scheme.
Mean time <strong>the</strong> Lead Agency, M/s T Group withdrawn from <strong>the</strong> project as <strong>the</strong>y were
not able to keep <strong>the</strong> time line and resources as agreed in <strong>the</strong> contract.
Council constituted an Adhoc cell of DISHA within AEPC to implement <strong>the</strong> program
through trainer experts by hiring <strong>the</strong>ir services on contract basis.
Accordingly a new operation plan is prepared and entered into a MoU with GIZ for
partnering with AEPC and in turn GIZ shall provide advisory technical services
through CRB. AEPC has also signed an agreement with CRB for <strong>the</strong> services to be
received through <strong>the</strong>ir trainer experts/consultants.
As per <strong>the</strong> revised operational plan, <strong>the</strong> target of 400 units is proposed to be
completed by 31.12.2012 with certification as recommended by <strong>the</strong> impact
assessment agencies.
Council has enhanced Core Team of DISHA to 45 member including members from
<strong>the</strong> trade and AEPC officials.
9

After preparing <strong>the</strong> base documents of DISHA, 2 Training of Trainers sessions were
organized with an objective of teaching practical skills and knowledge that relate to
training competency. ToT’s were 4 full day programs and were held at Bhiwadi &
Bangalore respectively with a total 49 trainees.
From 7 th September, 2012 onwards, DISHA trained trainers along with one lead
trainer are visiting factories across India for <strong>the</strong> pilot factory orientation program.
ONLINE REGISTRATION SYSTEM OF RCMC
The online registration of RCMC implemented with effect from 1 st June, 2012 is
steadily working in all <strong>the</strong> offices located throughout India.
With <strong>the</strong> introduction of <strong>the</strong> system it is helping <strong>the</strong> exporters in many ways. Some of
which are as follows:
The service is available at <strong>the</strong>ir doorsteps 24hrs x 7 days and <strong>the</strong>y can log in as
and when required.
It reduces number of visit to <strong>the</strong> offices of <strong>the</strong> Council.
It reduces manpower costs, as <strong>the</strong> exporter can <strong>the</strong>mselves log in for <strong>the</strong> same.
It is saving time and money spend on seeking information from <strong>the</strong> Council as all
<strong>the</strong> relevant information is available in <strong>the</strong> system itself.
The RCMC can be printed on by members at own and can be saved in <strong>the</strong>ir data
and no problem even if it is misplaced as <strong>the</strong>y can take a new print wherever it is
required.
The system automatically sends information related to RCMC, payment receipt
etc and also <strong>the</strong> exporter <strong>the</strong>mselves can generate <strong>the</strong> receipt pertaining to Annual
Subscription payments.
KNITWEAR TECHNOLOGY MISSION
The Knitwear Technology Mission (KTM) Tirupur would provide various support
services to <strong>the</strong> industry including knowledge service (market information about
knitwear), testing & certification, research, training & education, design services and
investor facilitation services like technology selection etc.
Infrastructure created for Knitwear Technology Mission (KTM), Tirupur to produce
new blended fabrics.
The KTM would function as an autonomous self sustaining organization on “no-profit
no-loss” model. The services would be provided to <strong>the</strong> industry based on industry
requirements with <strong>the</strong> required cost charged.
For setting up <strong>the</strong> KTM an initial funding of Rs. 5 crore has been provided by <strong>the</strong>
Government to cover <strong>the</strong> project cost. The centre should be set up in Tirupur to start
with since it is <strong>the</strong> biggest knitwear cluster in India and later on more centers could be
set up for R&D in o<strong>the</strong>r cities like Kolkata & Ludhiana.
10

ASSET MANAGEMENT
The Council has pursued following construction selected activities.
Faridabad Construction Project (Haryana)
• The plot area is 1990 sq.mtr. (i.e. 21412 sq.ft.)
• The area covered is 28094 sq.ft. consisting of basement + ground + 3 floors.
• Budget: Rs. 4.79 crore
• Fire-fighting, external electrical and interior work is under progress.
• External Development work has been commenced.
• The project is likely to ready by end of 2012.
Immlikhera Construction Project, Chindwara (MP) (Phase I; Administrative
Block)
• The plot area is 5 acre.
• Administrative Block under Phase I is constructed covering of 22,000 sq.ft. of
area consisting of ground and 1st floor.
• Phase I Project has been completed. The building has been handed over to
ATDC on 25.08.2012.
Immlikhera Construction Project, Chindwara (MP) (Phase II ; Hostel Block)
• Tender documents for construction of Hostel Block under Phase II project
have been invited. External Development work is in process.
Patliputra Construction Project, Patna (Bihar)
• The plot area is 11,000 sq.ft.
• The construction area under Phase I will be covered 768 sq.mtr. (i.e. 8264
sq.ft.) consisting of basement and ground floor.
• The construction area under Phase II will be covered 1473 sq.mtr. (i.e. 15849
sq.ft.) consisting of 1st , 2nd & 3 floors.
• Preparation of BOQ for various head (civil, plumbing, sanitary, internal &
external electrical, fire-fighting, external development work) is in progress.
Kolkata Project
• Govt. of West Bengal sanctioned a land of 3.88 acre in Salt Lake to West
Bengal State Export Promotion Society (WBSEPS).
• A MOU received from WBSEPS for Joint Venture Company in project with
AEPC.
• The proposed investment shall be to <strong>the</strong> tune of Rs. 40 crores.
• Chairman, AEPC organized an Exporters’ Meet on 08.06.2012 and persuaded
exporters of Kolkata to come forward and participate in <strong>the</strong> project. A number
of Kolkata based exporters have shown <strong>the</strong>ir interest in equity participation.
Nearly 4 lac sq. ft space can be created.
11

INSTITUTE OF APPAREL MANAGEMENT
IAM positioned as a Multi-Varsity over <strong>the</strong> last 5 years has been instrumental in
training Professionals in managerial cadre based on <strong>the</strong> changing needs & dynamics
of <strong>the</strong> Apparel Industry in a Global Context. IAM offers full-time International
Degree/ Diploma programs in collaboration with leading International Bodies/
Universities like Edexcel, University of Wolverhampton, UK, Mod’Spe, Paris,
(supported by French ready-to-wear federation) and SMR University, Sansepolcro,
Italy and is in <strong>the</strong> process of introducing bridge programmes with Manchester
Metropolitan University, UK. IAM aims at training <strong>the</strong> next generation of Design
Managers, Digital Merchandisers, Apparel Technocrats with hands on exposure on
latest “digital platforms”.
During <strong>the</strong> year, IAM also introduced 2 paid services to help <strong>the</strong> staff working in
export houses to access huge resources i.e. Knowledge Management and Resource
Center (KMRC) and Fashion Innovation Lab (FIL).
The Pro-up centre’s initiatives were launched on 28th February, 2012 during <strong>the</strong>
Workshop on “Innovative Strategies for Success in Retail” at IAM Campus, Apparel
House, Gurgaon. Fashion Innovation Lab (FIL) at IAM introduced a series of
training programmes on Digital Pattern Making & e-fit for Pattern Masters.
As a part of overseas study arrangement, 9-students of FDM/AMM and faculty visited
Mod’Spe, Paris as a part of study abroad trip from 14th June 2012 till 31st July, 2012.
The placement week was successfully organized from Jan 17-20th Jan,2012. More
than 25 companies from <strong>the</strong> apparel and fashion sector registered with IICU for
participation in <strong>the</strong> placement week. There was uniform representation of
organizations covering <strong>the</strong> entire fashion sector – export, retail, brands, design houses
& E-Commerce ventures.
APPAREL TRAINING & DESIGN CENTRE
The Apparel Training & Design Centre (ATDC) has set up 25 ATDC-IGNOU
Community Colleges since Jan 2010 and is acting as a Nodal Agency for
implementing <strong>the</strong> Integrated Skill Development Project of MOT, GOI since Oct.2010.
Since 2009 until now over 60,000 candidates have been trained under <strong>the</strong> ATDC-
IGNOU Community College (AICC) and ATDC-SMART centres.
ATDC is offering Certificate, Diploma & Associate Degree/ Advanced Diploma
Programmes and 6 Certificate Programmes covering <strong>the</strong> major trades like Sewing
Machine Operator, Finishers& Packers, Quality Checkers, Machine Technicians, etc.
under its banner. This would fur<strong>the</strong>r be expanded to a total of 150 SMART Centres
and Skill Camps by March 2013, as per <strong>the</strong> current plans. ATDC also added 2
Training of Trainers’ Academies in North & South India in Gurgaon and
Thiruvananthapuram respectively and plans to add ano<strong>the</strong>r in Chhindwara, Central
India.
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In 2011-12 ATDC-IGNOU Community Colleges registered over 3000 candidates thus
having cumulatively over 5501 candidates till date. Pan-India implementation of
SMART Training Project under ISDS of MOT, GOI has progressed well in sync with
<strong>the</strong> target and exceeded <strong>the</strong> target of 14000 candidates set by MoT for <strong>the</strong> first year of
implementation. ATDC have successfully trained 14472 candidates against <strong>the</strong> target
of 14000 for <strong>the</strong> year ending on 31st March 2012 with placement of 75% candidates
(40% placed in medium/large Apparel Export units and domestic manufacturing units
and 35% have been placed in unorganized garment units, self-help groups or are selfemployed).
The Apparel Training & Design Centre was awarded “Best Skill Provider at UK-India
Skills Forum Award-2011” for its outstanding commitment to <strong>the</strong> skills agenda in
India.
The Ministry of Textiles will continue <strong>the</strong> Integrated Skill Development Scheme
under <strong>the</strong> 12 th FYP. As <strong>the</strong> pilot project period ends in March 2013, <strong>the</strong>re are likely to
be some changes in <strong>the</strong> Institutional Framework governing <strong>the</strong> implementation of <strong>the</strong>
scheme. The Ministry is expected to set up an Apex “Textile and Apparel Sectororal
Skill Council” supported by Resource Support Agencies under <strong>the</strong> scheme to ensure
scaling up of not only <strong>the</strong> operations but also <strong>the</strong> quality. ATDC plans to submit a
fresh proposal with a target to train 2.50 lacs candidates over <strong>the</strong> five years period by
upgrading <strong>the</strong> capacities of existing centres as well as setting up new Centres / Skill
Camps. The plan is to upgrade <strong>the</strong> number of machines in Centres / Skill Camps apart
from introducing Knitwear Courses in more Centres in <strong>the</strong> country. The number of
Centres will be increased from 125 to 250 in <strong>the</strong> next 2 years. The total outlay being
sought by ATDC from Govt. of India is to <strong>the</strong> tune of Rs. 300 Crores over <strong>the</strong> 12 th
FYP. The three TOT Academies being established under ATDC will have to be
carved out as a separate entity for acting as a ‘Resource Support Agency’ to provide
curricula, Training of Trainers, Digital Contents, outline-support and o<strong>the</strong>r services
going forward to all implementing agencies. Plans are also afoot to improve realtime
connectivity through an ERP system which will go live by October 2012. The
innovation and design capabilities which will be upgraded by setting up Product
Speciality Centres in select ATDC Hubs to help exporters to diversify into new
product categories with <strong>the</strong> help of technically qualified personnel and trained
shopfloor workforce.
HUMAN RESOURCE ACTIVITIES
Skill Assessment Cell
The Director General of Employment and Training ( DGE & T), a nodal agency of <strong>the</strong>
Ministry has empanelled AEPC as assessing body under its skill development
initiatives scheme (SDI) for all states / Union Territories in Apparel / Garment making ,
Khadi and Carpet sector.
AEPC Skill Assessment cell has full fledged resource and infrastructure to control its
Pan India branch offices. AEPC Skill assessment cell has 6 Regional offices and 22
State offices to conduct assessment. The assessment will help in boosting <strong>the</strong> morale,
uplifting <strong>the</strong> social status of <strong>the</strong> candidate, and making <strong>the</strong> workforce a certified skill
pool. AEPC Skill Assessment Cell has assessed 1514 candidates in <strong>the</strong> year 2011 – 12.
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In houseTraining and Development
A training programme was conducted for middle level management on <strong>the</strong> topic –
“Effective Communication”. The programme benefited <strong>the</strong> employees by giving <strong>the</strong>m
a holistic view about how to channel <strong>the</strong>ir communication skills for giving <strong>the</strong>m
maximum benefit.
SA 8000 – 2008 Certificate
AEPC has acquired SA 8000 – 2008 to ensure social accountability and to provide
international human rights norms to its workforce.
ISO 9001: 2008
ISO 9001: 2008 was acquired to ensure quality management and to bring in <strong>the</strong>
positive effect on <strong>the</strong> efficient and effective operation, promotion of international
trade and to increase <strong>the</strong> productivity of its resources.
APPAREL HOUSE
For publicity of Apparel House and for <strong>the</strong> benefit of showroom holders leaflets were
distributed to buyers and standees were displayed at domestic and International fairs
in which Council had participated.
During <strong>the</strong> overseas fairs at AEPC’s booth, standee of Apparel International mart
displaying highlights of <strong>the</strong> showrooms were displayed, A dedicated website has been
launched (apparelhouseindia.com) for promotion of showroom.
India Market Days 25 th – 26 th April 2012 and 5 th -6 th September 2012 were organized
at Apparel House Gurgaon with <strong>the</strong> support of MAI funds, Govt. of India. Fur<strong>the</strong>r, <strong>the</strong>
Council has also planned to organize market days during 5 th -6 th November 2012.
OUR VISION
Our vision is to intensify skill development initiatives through ATDCs, provide
professionals and experts through Institute of Apparel Management, to have
compliant garment factories through <strong>the</strong> project DISHA, upgrade <strong>the</strong> technology,
increase <strong>the</strong> level of productivity, to increase competitiveness, diversification of
export markets as well as export products with a view to attain <strong>the</strong> export target of
US$ 18 Bn in <strong>the</strong> current financial year and to double our exports in <strong>the</strong> XII Five Year
Plan.
ACKNOWLEDGEMENT
I wish to place on record my heartfelt sincere thanks to Shri Anand Sharma, <strong>the</strong>
Hon’ble Union Minister of Commerce, Industry and Textiles, who has wholeheartedly
supported various recommendations of <strong>the</strong> Council. The Hon’ble Minister has
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encouraged <strong>the</strong> garment export industry to perform better and has given best ever
benefits under Foreign Trade Policy.
I welcome our Hon’ble new Finance Minister Mr. P. Chidambaram and it is
heartwarming to note that <strong>the</strong> Hon’ble Finance Minister has already hinted about
taking appropriate measures like interest rate cut and also promised to look after <strong>the</strong>
growth of exports.
I also wish to place on record my heartfelt thanks to Smt. Panabaaka Lakshmi,
Hon’ble Minister of State for Textiles and Shri Jyotiraditya M Scindia, Hon’ble
Minister of State for Commerce and Industry for <strong>the</strong>ir wholeheartedly support.
I place on record our gratitude and sincere thanks to Mrs Kiran Dhingra, IAS,
Secretary (Textiles) for continuous support in <strong>the</strong> fur<strong>the</strong>rance of garment exports from
India.
I also take this opportunity to place on record my sincere thanks to Mrs Rita
Menon,IAS, former Secretary (Textiles).
I wish to place on record my sincere thanks to Shri V Srinivas,IAS, Joint Secretary
(Exports), Ministry of Textiles, who has guided AEPC in <strong>the</strong> matter of export
promotion and o<strong>the</strong>r policy related issues. The Council sought guidance from him
from time to time in <strong>the</strong> matters of organization of Tex Trends India, matters related
to United States Department of Labour (USDOL) & various projects of <strong>the</strong> Council
like KTM, DISHA, Skill etc.
I wish to place on record my sincere thanks to Shri S R Rao,IAS, Commerce
Secretary, Dr Anup K Pujari,IAS, DGFT and o<strong>the</strong>r officers of <strong>the</strong> Ministry of
Commerce for <strong>the</strong>ir continued support and cooperation.
I am also grateful to <strong>the</strong> officers of Ministry of Finance, Office of Textile
Commissioner, Textiles Committee, Central Board of Excise and Customs and o<strong>the</strong>r
officers of Government of India for <strong>the</strong>ir coordination for various export promotion
activities of <strong>the</strong> Council.
My heartfelt thanks to Shri Ashok G Rajani, Senior Vice Chairman, Shri H K L
Magu, Vice Chairman (Nor<strong>the</strong>rn Region), Shri Ashok Logani, Vice Chairman
(Eastern Region) for <strong>the</strong>ir support.
I wish to place on record my sincere appreciation to all Committee Chairmen for <strong>the</strong>ir
efforts and sincerity in working of AEPC.
My heartfelt thanks to Shri Sudhir Sekhri, Chairman (Export Promotion),
Shri Praveen Nayyar, Chairman, CCC-DISHA Sub Committee, Shri Harish Ahuja,
Chairman, Coordination Committee, Shri Rakesh Vaid, Chairman, Innovative
Garment Technology Mission, Shri Premal Udani, Chairman, Task Force on
Competitiveness of India’s Apparel Export, Shri Gautam Nair, Chairman, State
Partnership Sub-Committee (Nor<strong>the</strong>rn Region) and my o<strong>the</strong>r fellow Executive
Committee Members, Govt. Nominees, Co-opted members, Permanent Invitees &
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Special Invitees for encouraging me to take necessary steps through which certain
achievements could be initiated and accomplished.
My special appreciation to Mr. Virender Uppal, who helps me to resolve <strong>the</strong> issue
whenever I am in need.
I also wish to place on record my special appreciation for Mr. Vijay Mathur, Acting
Secretary General, who is helping me in all my endeavors.
My appreciation also goes to Senior Director, Directors, General Managers and all
o<strong>the</strong>r officials & staff of AEPC for <strong>the</strong>ir commitments to AEPC.
As I conclude , may I on behalf of <strong>the</strong> Executive Committee and <strong>the</strong> employees of <strong>the</strong>
Council once again thank you for our members for having confidence on me and to
elect me 3 rd time as a Chairman of this Internationally known Council.
(A Sakthivel)
Chairman, AEPC
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