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 10th Dec 2016

India’s 2016-17 cotton import to touch 17 lakh bales

The import of cotton from international markets by spinning mills in...

Textiles | On 10th Dec 2016

US textile & apparel imports fall 6.50% in Jan-Oct ’16

The import of textiles and apparel by United States dropped 6.50 per...

Textiles | On 10th Dec 2016

Indian textile hubs adopt cashless payment modes

The textile ministry is promoting cashless payment within the...

Interviews View All

Vidhyaa Shankar. S
A Ganapathi Chettiar

'The usage of knits is getting into the boundaries of woven fabrics'

Karan Toshniwal
Orange O Tec

Contemporary industry is paying more and more attention to the...

Karel Williams
Dow Microbial Control

'Silvadur is most rapidly adopted in areas where hygiene-conscious and...

Marten Alkhagen
Swerea IVF AB

Marten Alkhagen, Senior Scientist - Nonwoven and Technical Textiles of...

Urs Stalder
Sanitized AG

Urs Stalder, CEO, Sanitized AG, talks about the increasing use of hygiene...

Kerem Durdag
Biovation II LLC

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

Karan Arora
Karan Arora

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

Ritu Kumar
Label Ritu Kumar

‘Classics will return’ "There are a lot of people wearing western clothes ...

Rupa Sood and Sharan Apparao
Nayaab

Nayaab, an exhibition meant to celebrate Indian weaves, is in its second...

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
December 2016

December 2016

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

SUBSCRIBE


Browse Our Archives

GO


Advanced Search