Textile bodies submit pre-Budget demands to TN govt

23 Mar '15

2 min read

Ahead of the Tamil Nadu state Budget which is to be presented on 25 March, 2015, various associations have submitted their pre-Budget demands to the government.

The Tirupur Exporters’ Association (TEA), in its Pre-Budget Memorandum 2015-16, submitted to chief minister O Panneerselvam, urged the government to address the issues like infrastructure, workers’ stay, non-availability of working women’s hostel etc., and stated that once these issues are resolved, exports will grow significantly from Tirupur.

TEA has also asked the state government to set up a State Textiles Board, and formulate a separate textile policy for Tamil Nadu. Having a Textiles Board and framing a textile policy would help the government in taking a focused approach to the development of textile industry, said TEA president A Sakthivel in the memorandum.

Similar to the textile policies of Maharashtra and Gujarat governments, the Tamil Nadu textile policy should provide 5 per cent interest subsidy and 10 per cent capital subsidy towards modernisation and expansion of capacity in existing units, TEA said.

Incentives for promotion of technical textiles, and capital subsidy for setting up various types of effluent treatment plants (ETPs), setting up of a dedicated power station for the Tirupur knitwear cluster, and widening of the Tirupur-Oddanchathram road were among the other demands put forward by the association.

In a separate pre-Budget representation made to the state government, Coimbatore-based Indian Chamber of Commerce and Industry (ICCIC) requested a reduction in the value-added tax levied on cotton, cotton yarn and synthetic yarn to 2 per cent.

Stating that the current system of e-payment of VAT is cumbersome, ICCIC also urged the government to liberalise the mode of VAT payment by allowing payment through other options like RTGS/NEFT, through post offices and by a/c payee cheques etc. (RKS)

Fibre2fashion News Desk - India

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