Home / Knowledge / News / Apparel/Garments / Indian garment makers, retailers urge excise duty cut
Indian garment makers, retailers urge excise duty cut
02
Mar '12
Apparel manufacturers and retail traders in India have requested the Government to reduce the excise duty from the present 10 percent to one percent, as the garment sector is passing through a troubled phase.

The clothing sector in India has witnessed a 17 percent decline in sales during the initial nine months of current fiscal.

Moreover, in spite of extending the end-of-the-season sales (EOSS) period, the sector continues to hold an inventory of Rs. 14 billion. To lessen their inventory levels, retailers are offering heavy discounts of over 40 percent on maximum retail price, which would result in an estimated loss of Rs. 40 billion.

Hence, the Clothing Manufacturers' Association of India (CMAI), the most representative Association of the Indian apparel industry with a membership base of over 25,000 manufacturers, exporters and retailers, has written to the Ministry of Commerce, seeking cut in excise duty rates.

Rahul Mehta, President of CMAI, said the 10 percent excise duty on branded apparels has proved to be a major setback for the country's garment industry, which had grown tremendously during the last 8-10 years.

He said the garment sector in India grew at 35 percent compound annual rate, prior to the levy of excise duty in last year's Budget. Post-excise duty, clothing sales have drastically declined, he added.

The CMAI head further said that the industry needs a breather in the form of reduction in excise duty owing to increase in the cost of labour and raw materials.

Fibre2fashion News Desk - India


Must ReadView All

Textiles | On 23rd Jun 2017

Textile ministry organises training workshop on GST

The ministry of textiles had organised training workshop on GST which ...

Apparel/Garments | On 23rd Jun 2017

Uware Brands into licensing agreement with Polaroid

Uware Brands has entered into a licensing agreement with Polaroid for ...

Textiles | On 23rd Jun 2017

Ralph Lauren ex-president Tiger of Sweden's new CEO

Hans-Christian Meyer, former president of Ralph Lauren Corporation,...

Interviews View All

Abhishek Samdaria
Reflete

GST will certainly reduce a lot of paperwork in future

Amit Jain
Shingora Textiles Ltd

‘In terms of fabric, the fastest growing category for us is a blend of...

Anvita Mehra
Confidential Couture

‘It is going to take some time for Indian buyers to get accustomed to...

Kerem Durdag
Biovation II LLC

Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...

Kevin Nelson
TissueGen

Kevin Nelson, Chief Scientific Officer, TissueGen discusses the growing...

Suresh Patel
Sidwin Fabric

Sidwin Fabric is a manufacturer and exporter of polypropylene textiles and ...

Judy Frater
Somaiya Kala Vidya

Among the many honours showered on Frater, including Fulbright and Ford...

Madhu Jain
Madhu Jain

She grew up in the walled city of Old Delhi, completed her studies, and...

Karan Arora
Karan Arora

Bridal couture created with rich Indian heritage, exquisite craftsmanship...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

news category


Related Categories:
June 2017

June 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search