Stating that the man-made fibre and synthetic yarn sector would have inverted duty structure problem, Confederation of Indian Textile Industry (CITI) chairman J Thulasidharan said, “The textile sector is suffering from various disadvantages like high energy costs and infrastructure bottlenecks. Keeping the rates of key inputs at a higher level will further affect the competitiveness of the sector.”
“India is already suffering a huge competitive disadvantage in the global textile market as the MMF based textile products are attracting higher rates of import duty. Keeping the GST rates at this rate will undoubtedly cripple hundreds of small and medium synthetic textile manufacturers,” he said. He urged the government to reconsider the rates of MMF products and bring it at 12 per cent.
He also pointed out that the high rates announced for MMF fabric and yarn, dyeing and printing units, embroidery items at 18 per cent can lead to an increase in input costs and can adversely affect the entire textile value chain.
While mentioning that the GST of 5 per cent on fabrics is quite favourable for the industry, Synthetic and Rayon Textile Export Promotion Council (SRTEPC) chairman Narain Aggarwal said, “The GST of 18 per cent on synthetic fibre is again not a bad news, because the tax rate is same as it was earlier.”
Meanwhile, The Southern India Mills’ Association (SIMA) and CITI have appealed to the government to exempt the textile jobs from service tax as it would benefit the predominantly decentralized and MSME nature of the industry, especially the powerloom, knitting, processing and garmenting sectors. (RKS)
Fibre2Fashion News Desk – India
Apparel/Garments | On 17th Oct 2018
Readymade garment exports from Bangladesh increased by 14.66 per cent ...
Textiles | On 17th Oct 2018
A World Trade Organisation (WTO) panel recently rejected Panama’s...
Mukesh Agarwal & Rajesh Agarwal
Madhuram Fincap Pvt Ltd
Increasing prices and lack of demand main issues facing industry
We have broad range of options in durable fabrics
Sunil Kumar Sharma
Loknayak JPNSSSG Ltd
'The blend of cotton–linen yarn has high demand in the domestic and...
Breya is a brand of Indo-Western clothes for women owned by ABP Apparels...
Italy-based Tessimenti E Orditi Tinti (T.O.T SRL) specialises in stocking...
Reckon Industries is into manufacturing of textile process house machines, ...
Prof Seokheun (Sean) Choi
Binghamton University, State University of New York (SUNY)
A team of researchers from the State University of New York (SUNY),...
The Association of the Nonwoven Fabrics Industry (INDA) has created a new...
Sensoria is a leading developer of smart garments and IoMe (Internet of...
She grew up in the walled city of Old Delhi, completed her studies, and...
India Boulevard is a San Francisco-based curated fashion marketplace that...
Aditi Somani specialises in luxury fusion wear with international cuts and ...