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India tops used clothes imports

India is the biggest importer of worn clothing and textiles in the world. In 2013 India’s total imports of used clothes were 4.3 per cent of total global imports. India was followed by Russia and Pakistan; both these countries accounted for 3.9 per cent of global imports of used clothes. The top three exporting countries in the year were USA, UK and Germany.

There are two categories under which used clothes are imported in India, wearable and mutilated. The import of wearable clothes requires a license from the government, with the condition of 100 per cent re-export. This segment constitutes about 30 per cent of used clothes imports. Import of mutilated clothes does not require government approval and accounts for nearly 60 per cent of worn clothing imports. The yarn extracted from mutilated rags and woolens is used to make blankets.

While new imported garments attract an import duty of 15 per cent, used clothes can be imported at a much cheaper rate. Between 2010 and 2013, India’s imports of used clothes and textiles increased by more than 200 per cent. Panipat is the home to the world’s largest shoddy wool industry, which supplies, low-quality blankets across India, south Asia and east Africa to the poor, while slightly better versions are commissioned by institutions such as railways, prisons and the army.

 
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