Home / Knowledge / News / Textiles / Hike in import duty will strengthen local industry: SRTEPC
Hike in import duty will strengthen local industry: SRTEPC
19
Jul '18
Courtesy: SRTEPC
Courtesy: SRTEPC
The Government of India’s decision to increase basic customs duty (import duty) to 20 per cent on 76 textile and apparel items at 6-digit level, is a significant move and will strengthen the domestic textile industry, The Synthetic & Rayon Textiles Export Promotion Council (SRTEPC) has said. The duty has come into effect from July 16, 2018.

One of the main MMF fabrics tariff line included in the list of 76 items is other woven fabrics dyed containing 85 per cent or more by weight of textured polyester filaments covered under ITC HS code 540752. Major products in this tariff line are polyester shirting, suitings and saris. 

Highlighting the Government’s initiative as encouraging, SRTEPC chairman Narain Aggarwal pointed out that the step was very critical to protect the domestic fabrics segment, as post GST imports have substantially surged due to withdrawal of CVD and SAD on imports.

“Increase in the basic customs duty rates on these textile and apparel items will help in protecting the domestic manufacturers from cheap imports from countries like China, Vietnam, etc,” he added.

Besides fabrics, import of man-made fibres and MMF yarns have also surged in the post GST regime. Around $1.6 billion worth of man-made filaments and man-made staple fibre products were imported into India during 2017-18 alone. Import of PSF and VSF have increased by 5 per cent and 20 per cent respectively. In case of PFY, NFY and VFY the imports have gone up by 13 per cent, 3 per cent and 38 per cent respectively. In case of import of polyester spun yarn, viscose spun yarn and nylon spun yarn the increase was 94 per cent, 526 per cent and 15 per cent respectively which is impacting domestic man-made fibre and MMF yarn manufacturers in a big way. Increasing imports is also against the Government’s ‘Make in India’ initiative. Therefore, it also needs to consider increase in customs duty on other products of MMF textile value chain, Aggarwal said in a statement.

In case of MMF based fabrics, Government had increased customs duty from 10 per cent to 20 per cent in October 2017. However, important tariff lines in the knitted fabrics segment such as 60011020, 60059000 and 60069000 were left out through which substantial imports still continue. Therefore, duties on these three fabric lines also need to be increased to 20 per cent, he said. (RKS)

Fibre2Fashion News Desk – India


Must ReadView All

Pic: Shutterstock

Textiles | On 5th May 2021

India-UK launch Enhanced Trade Partnership

To unleash the trade potential between the 5th and 6th largest...

Pic: Shutterstock

Textiles | On 5th May 2021

EURATEX welcomes revamped EU Industry Strategy

EURATEX, the voice of the European textile and apparel industry, has...

Pic: Shutterstock

Textiles | On 5th May 2021

US economy could see fastest growth in 3 decades: NRF

With more businesses reopening and bringing employees back to work,...

Interviews View All

Textile Industry, Head honchos

Textile Industry
Head honchos

Increased need for online fitting solutions as retailers shift to...

Textile Industry, Head honchos

Textile Industry
Head honchos

The pandemic has reinstated need for organised retail spaces in Tier II...

Textile Industry, Head honchos

Textile Industry
Head honchos

We are staring at livelihood crisis for weavers

Ritu Oberoi,

Ritu Oberoi

Established in 2018, Forsarees is a socially driven business enterprise,...

Yawer Ali Shah,

Yawer Ali Shah

Synthetic colours and dyes were all the rage till the very first ban on...

Ujjval Saraf,

Ujjval Saraf

Founded by Jimmy Lai, Giordano International Ltd, a Hong Kong based...

Sachin Pendharkar, Dieffenbacher India Pvt Ltd

Sachin Pendharkar
Dieffenbacher India Pvt Ltd

Germany-based Dieffenbacher Group is a producer of high-quality composites ...

Ian Russell, Pireta

Ian Russell
Pireta

UK-based Pireta has developed a unique free-form process to add durable,...

Suresh Patel, Non Woven Federation of India

Suresh Patel
Non Woven Federation of India

The Non Woven Federation of India (NWFI), representing the regional...

Megha Kumari & Jigar Mali, Label Megha & Jigar

Megha Kumari & Jigar Mali
Label Megha & Jigar

New Delhi based label Megha & Jigar blends India's unique handcrafts...

Vidur Adlakha & Riccardo Bennidini, La Fuori

Vidur Adlakha & Riccardo Bennidini
La Fuori

With an active presence in US, Italy and India, clothing brand La Fuori...

Ruma Devi, Gramin Vikas Evam Chetna Sansthan

Ruma Devi
Gramin Vikas Evam Chetna Sansthan

Ruma Devi is a jet-setting promoter of artisans who has empowered...

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

Leave your Comments


April 2021

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


Advanced Search