Home / Knowledge / News / Textiles / 'Government should provide furnace oil without any duties'
'Government should provide furnace oil without any duties'
09
Jul '14
Industry experts proclaim that Indian government should exempt furnace oil from duties and taxes to improve profit margins in textile industry in the upcoming Union Budget, 2014-2015.

While speaking to Fibre2Fashion correspondent, Mary Christine Joy, Mr. Avinash Mayekar, Managing Director and CEO, Suvin Advisors Pvt. Ltd. said, "Indian government should provide furnace oil without any duties and taxes to the textile industry. It will improve profit margins of players in domestic market to safeguard them from current industrial turmoil."

On an explanatory note, Mr. Viren Malhotra, SME Scale-up Specialist states, "Furnace oil is used for captive power generation in textile industry. When the price of furnace oil goes up, the users (to prevent depletion in margins) switch to diesel - which is subsidized by oil companies - thus increasing oil company losses. This switch neither works for the users nor for the oil companies, and should be avoided."

Power costs are a major contributor to expenditure in the textile business, after raw material costs.  If the Indian Textile industry is eyeing on strong positioning in global textile trade, it has to reduce its power cost, according to Mr. Mayekar.

"In the short term, exempting duty on furnace oil is a good idea. However over the longer term, textile industry users should be encouraged to move to solar or a similar clean and renewable source of energy," Viren Malhotra concludes.

Fibre2Fashion News Desk - India


Must ReadView All

Textiles | On 21st Aug 2017

GST payment & filing for July extended till Aug 25

The GST Implementation Committee, consisting of state and Central...

Textiles | On 21st Aug 2017

India’s cotton production may grow by 3.76% in 2016-17

India’s cotton production is likely to rise by 3.76 per cent to 345...

Textiles | On 21st Aug 2017

Telangana announces sops for textile, apparel sector

The Telangana government recently announced a string of incentives,...

Interviews View All

Yash Maniyar
Rekha Maniyar

Indian fashion market is growing at a staggering rate

Darshan Mehta
Infinium Polychem

We are spending double digit figures on R&D

Anshul Sood
Oceedee

‘Indian footwear market is nascent and largely a trend follower’

Iago Castro Asensio
RCfil Distribuciones S.L.

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

Lynda Kelly
Suominen Corporation

Suominen Corporation is a manufacturer of nonwovens as roll goods for...

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Akta Adani
India Boulevard

India Boulevard is a San Francisco-based curated fashion marketplace that...

Madhu Jain
Madhu Jain

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

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

August 2017

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

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
67.7%
No
16.1%
Skip
16.1%

Total Votes: 31

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
45.2%
No
35.5%
Skip
19.4%

Total Votes: 31

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
83.9%
No
6.5%
Skip
9.7%

Total Votes: 31

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
61.3%
No
9.7%
Skip
29.0%

Total Votes: 31


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