Home / Knowledge / News / Textiles / Union Budget ignores textile sector expectations, NITMA

Union Budget ignores textile sector expectations, NITMA

20
Mar '12
The Northern India Textile Mills Association (NITMA) President, Mr. K K Agarwal stated that the budget has not offered to the labour intensive textile and clothing sector which is the largest net foreign exchange earner in the manufacturing sector, contributing to around 17 per cent of India's exports and 14 per cent of industrial output and providing direct and indirect employment to over 90 million people, primarily the weaker sections of the society and women.

The sector is reeling under crisis due to various external factors and it needs Government support at this critical juncture. The industry in its recommendations have asked for reduction of excise duty for MMF, the duty has been increased to 12% from 10%, and this step will make the domestic industry less competitive with the competing countries.

However, Shri Agarwal stated that abolition of the custom duties on automated suttleless looms and its parts is welcome step as this will help the weaving industry. The concessional rate of 5% custom duty applicable to several other machines has been maintained for new machines. The increase in service tax to 12% will have an adverse impact on the industry; this could have been avoided since GST would become operational in August 2012, The government should have delayed the rate increase till GST is implemented. The Government has not reduced the CST from 2% to 1%.

Besides this, there is no reference to the TUF Scheme in the Budget and he hoped that a separate announcement in this regard would be made in the 12th Five year plan.

Northern India Textile Mills Association (NITMA)


Must ReadView All

Pic: Shutterstock

Textiles | On 27th Jul 2021

ACSA, Cotton Australia receive govt grant for market diversification

The Australian Cotton Shippers Association and Cotton Australia have...

Pic: Shutterstock

Apparel/Garments | On 27th Jul 2021

US buyers to raise sourcing of RMG from Bangladesh: USFIA study

Nearly half of US fashion brands and buyers are eager to source more...

Pic: Shutterstock

Textiles | On 27th Jul 2021

Prime Content| Malaysian cotton trade to pick up as world recovers from COVID-19

Malaysian cotton trade is on a rise due to recovery from the pandemic ...

Interviews View All

Textile Industry, Head honchos

Textile Industry
Head honchos

Delay in adopting water sustainability will be both financially &...

Textile Industry, Head honchos

Textile Industry
Head honchos

Multi-functional garments will be next big thing

Water stewardship, Stakeholders

Water stewardship
Stakeholders

Water use efficiency remains relatively unexplored

Andrea Pelissero,

Andrea Pelissero

Located near Milan, Italy, and with 50 years of experience in the textile...

Richard Armitage,

Richard Armitage

Adaptive Control automates, controls and monitors machines, systems and...

Susanna Koelblin,

Susanna Koelblin

Founded in 1920, Eastman is a global specialty materials company that...

Johann-Philipp Dilo, Dilo Group

Johann-Philipp Dilo
Dilo Group

German company Dilo Group is one of the leading equipment suppliers of...

Dr Anup Rakshit, ITTA

Dr Anup Rakshit
ITTA

The Indian Technical Textile Association (ITTA) is the only association of ...

Karan Bose, Hula Global

Karan Bose
Hula Global

Hula Global, a leading isolation gown manufacturer in India, has been...

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...

Seema Agrawal, Artisan Saga

Seema Agrawal
Artisan Saga

Artisan Saga, founded by Kaushik Rajani and Seema Agrawal, is an online...

Archana Jaju, Label Archana Jaju

Archana Jaju
Label Archana Jaju

<b>Archana Jaju</b>’s Hyderabad-based eponymous label works with artisans...

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


July 2021

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


Advanced Search