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Gujarat weavers oppose planned ADD on nylon yarn

Feb '20
Pic: Shutterstock
Pic: Shutterstock
While anti-dumping duty (ADD) on purified terephthalic acid (PTA), a key raw material for yarn production, was abolished recently by the Indian government, power loom weavers in Gujarat are upset with the Directorate General of Trade Remedies (DGTR), which has issued a disclosure statement on the anti-dumping investigation on the import of nylon filament.

The DGTR has invited objections from concerned parties for fixing the duty on nylon filament yarn imported from China, Korea, Taiwan and Thailand, according to a report in a top English-language daily.

Nylon yarn consumption per annum is pegged at 1.50 lakh tonnes and that it is mostly used in wrap and knitting of fabrics. Anti-dumping duty on such yarn will allow yarn spinners to hike yarn prices in the domestic market.

China and other countries are manufacturing new yarns to meet the growing demand. Imposing anti-dumping duty on such yarns keeps power loom weavers away from getting quality yarn, which ultimately leads to rise in import of fabrics and garments in India, according to the weavers.

Power loom industry leader Mayur Golwala said anti-dumping duty on nylon yarn will not offer any direct benefit to weavers, who were expecting the prices to come down by ₹8 per kilogram.

Fibre2Fashion News Desk (DS)

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February 2020

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