Indian VSF imports to surge as govt removes ADD: TexPro

06 Aug '21

2 min read

Pic: Shutterstock

India’s imports of the Viscose Staple Fibre (VSF) are expected to go up from a monthly average of $25.47 million in the first half of 2021 to $33.38 million in the second half of this year due to the change in the Indian government’s policy regarding the protection tariffs of the country for trade of products and removal of anti-dumping duty (ADD).

The import will rise because the government has removed the anti-dumping duty (ADD) on VSF which was in force for the past 10 years. It will also be supported by the surging international demand for apparel due to the global recovery from the pandemic and increasing rate of vaccination in most countries.

According to the former textiles minister Smriti Irani (who presently holds the women and child development portfolio), this decision to remove ADD would boost the man-made fibre (MMF) sector of the country. VSF is obtained from wood pulp and cotton pulp and possesses characteristics like cotton. It has a wide range of applications in apparel and home textiles.

The Apparel Export Promotion Council (AEPC) chairman A Sakthivel said the removal of ADD on VSF is a key milestone in India’s apparel industry.

VSF imports of India were $104.12 million in 2019, which significantly increased by 66.53 per cent to reach $173.38 million in 2020. The monthly average went from $8.68 million in 2019 to $14.45 million in 2020, according to Fibre2Fashion’s market analysis tool TexPro.

The monthly average of VSF imports is expected to have surged by 76.31 per cent in H1 2021 to reach $25.47 million and may further increase by 31.03 per cent to reach $33.38 million in H2 2021.

Fibre2Fashion News Desk (KD)

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