Home / Knowledge / News / Textiles / CMAI urges Govt to reduce import duty on garment machinery
CMAI urges Govt to reduce import duty on garment machinery
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 24th Oct 2016

Baba Ramdev’s Patanjali to enter textile manufacturing

Patanjali Ayurved, an enterprise initiated by yoga guru Baba Ramdev,...

Textiles | On 24th Oct 2016

German technology to help in energy saving in textiles

German technology can play a major role making the environment...

Courtesy: Trupik

Apparel/Garments | On 24th Oct 2016

Virtual 3D fitting rooms revolutionising online shopping

Virtual fitting rooms meant to bridge the gap between e-commerce...

Interviews View All

Amardeep Singh
Orient Craft

'In export markets, the trend in terms of embroidery, is towards matte...

Angelina Francesca Cheang

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

Saket Garg
Garg Corporation

The biggest challenge is lack of skilled workforce and competition from...

Lynda Kelly
Suominen Corporation

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

Kerem Durdag
Biovation II LLC

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

Steve Cole
Xerium Technologies

Steve Cole of Xerium Technologies discusses the industry. Xerium is the...

Silvia Venturini Fendi
Fendi s.r.l

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

Sonam & Paras Modi

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies

October 2016

October 2016

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


Browse Our Archives


Advanced Search