Home / Knowledge / News / Textiles / CMAI urges Govt to reduce import duty on garment machinery
CMAI urges Govt to reduce import duty on garment machinery
11
Feb '08
Mr. Rahul Mehta,President, The Clothing Manufacturers Association of India (CMAI), in a pre-budget memorandum sent to the Hon'ble Union Finance Minister, has urged that import duty on all machinery for use in the garment industry and accessories should be charged at a fixed 5% duty, without CVD or any other charges.

He further stated that the appreciation of the Rupee Vs. Dollar has further lowered the earnings of Indian Exporters, whereas those of our Asian Competitors have either appreciated less or even depreciated.

As a result, prices of Indian garments have become uncompetitive as compared to offers by our Asian counterparts. The recent increase in duty drawback rates has helped to some extent but the major burden of state & corporation levies continue to hinder exports.

These collectively work out to approx. 6% of the FOB value. He urged that in the ensuing budget, Govt. should exempt export from all direct and indirect taxes (rather than pay and later refund).

CMAI also suggested that the introduction of VAT was expected to reduce prices but since fabric has not been included in VAT, garment units are not able to offset taxes & duties paid on inputs.

The Govt has placed imports of secondhand clothing (worn clothing) on the restricted list with 15% import duty calculated on the weight of the garment. Importers import fresh clothing in the garb of worn clothing since such clothing are discarded after being used once or twice.

Must ReadView All

Textiles | On 25th May 2017

Huntsman and Clariant to have merger of equals

Huntsman Corporation and Clariant have announced that their boards of ...

Apparel/Garments | On 25th May 2017

AAFA reinforces opposition to Border Adjustment Tax

The American Apparel & Footwear Association (AAFA) has reinforced its ...

Courtesy: CBRE

Apparel/Garments | On 25th May 2017

European cities preferred for retailer expansion: CBRE

European cities were the preferred new destination for international...

Interviews View All

Varinder Singh Jawanda
Trendy Bharat

Sizing and fitting issues are inherent problems for companies expanding...

Darshan Mehta
Infinium Polychem

We are spending double digit figures on R&D

Yash Maniyar
Rekha Maniyar

Indian fashion market is growing at a staggering rate

Larry L Kinn
Suominen Corporation

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

Kai Poehler
Voith Paper GmbH & Co. KG

The glass mat industry is growing by five to eight per cent annually. Kai...

Marten Alkhagen
Swerea IVF AB

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

Rupa Sood and Sharan Apparao
Nayaab

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

Prathyusha Garimella
Prathyusha Garimella

Hyderabad-based designer <b>Prathyusha Garimella</b> is known for blending ...

Tony Ward
Tony Ward

"You have to truly understand what your client wants, know her needs, what ...

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:
May 2017

May 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