Home / Knowledge / News / Apparel/Garments / GEA expectations from Budget 2010
GEA expectations from Budget 2010
23
Jan '10
An apex body of garments exporters called for an overall reduction in interest rates and corporate tax rates, besides removal of anomalies in excise and custom duties to reverse the recent slowdown in garment export industry. As the international market, which was already highly competitive, has become more tough, GEA in its Pre-Budget recommendations has requested the Government to reduce the transaction cost and grant necessary fiscal and commercial relief for the garment sector of the Textile Industry to enable it to face increasing international competition.

According to Mr.Rakesh Vaid, President, Garments Exporters Association(GEA), the basic objective of the budget should be to make exports competitive as well as profitable. The wish-list of GEA from the Budget is that following GEA Pre-Budget recommendations would receive due consideration of the Finance Minister while finalizing the Budget proposals:-

Gea Pre-Budget Recommendations:-

1. To hike duty drawback rates by 5 per cent by increasing the scope and coverage of duty drawback scheme so as to ensure full reimbursement of excise duties, custom duties, service tax, education cess and various state level taxes.

2. To provide adequate and need-based funds to exporters at reasonable rates of interest which should not exceed 7 per cent as applicable to agriculture sector and restore 4 per cent interest rate subvention on export credit.

3. To restore 100% exemption to export earnings under Section 80 HHC of Income Tax Act atleast for the next five years.

4. In view of acute power shortage, Government should encourage captive power generation by providing diesel at International prices and exempted from Excise Duty and Local Levies.

5. To exempt from Service Tax all the export related services to avoid blockage of capital of exporters, as the procedure for refund is time-consuming, resulting in unnecessary delays and harassment.

6. GEA would like the Government to implement GST (Goods & Service Tax), at the earliest.

7. Apart from taxation relief, GEA would expect the Government to reduce the transaction cost by simplifying administrative procedures by avoiding delays at customs clearance of goods; improving loading and unloading of cargo and infrastructure at ports to avoid congestion at various ports.

8. Import duty on manmade fibres to be reduced to zero, so that the garment exporters can get cheaper manmade fabrics available in the country for manufacture and export garments at more competitive prices.

9. The Government should also arrange refund of State Levies on exports, amounting to 6% of f.o.b. value.

10. The Custom duty on import of textiles machinery, accessories and fabrics should be abolished allowing free import at nil rate.

Must ReadView All

Courtesy: India ITME

Textiles | On 8th Dec 2016

Industry needs to create 1cr jobs in 3yrs: Kavita Gupta

Sharing several initiatives laid out by the government in R&D,...

Textiles | On 8th Dec 2016

Package will boost made-ups sector: SIMA

The reforms package approved by the Union Cabinet to boost employment ...

Textiles | On 8th Dec 2016

Cabinet okays reforms to boost jobs in made-ups sector

The Union Cabinet chaired by prime minister Narendra Modi has given...

Interviews View All

Divyesh Mashruwala
Akshar Industries

Surat dominates foiling, embossing and pleating

Nuno Venda
ROQ

‘There has been an increase in demand for water based inks, rather than...

Angelina Francesca Cheang
MY ANJE

'Consumers in the age-group 21 to 38 are driving the activewear trend'

Paolo Ocleppo
Sandvik Hyperion

Paolo Ocleppo, Rotary Cutting Segment manager, Sandvik Hyperion discusses...

Iago Castro Asensio
RCfil Distribuciones S.L.

Iago Castro Asensio, International Business Manager of RCfil...

Eric Scholler
Groz-Beckert

The Indian market has huge potential in technical textiles, and by far,...

Silvia Venturini Fendi
Fendi s.r.l

"Yes, my confidence and positive attitude are my strengths and should be...

Jay Ramrakhiani
Occasions Elegance Wear

It is believed that by early 19th century, Varanasi weavers had moved away ...

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
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