Indian textile minister hinted that brand apparel consumption tax will be cancelled

At present, the apparel industry in India is struggling with many continuing obstacles. First of all, the biggest impact on the apparel industry is a 10% consumption tax on branded apparel, followed by a slowdown in the economy, affecting export orders, weakening consumer purchasing power, and rising raw material prices, all of which ultimately hit the apparel industry. As a result, many textile companies are negotiating with banks, hoping to restructure their ties, hoping to get some relief from the government.

Rita Menon, the textile minister, is trying to provide the apparel industry with some of the necessary stimulus. She said that the most important thing on the agenda of the textile industry is to cancel the consumption tax on branded clothing. She revealed that this year is likely to cancel the consumption tax. At the same time, the government is still studying the extension of the TUF plan and the establishment of a textile park industry in the country.

Menon said that the national fiber policy will be part of the 12th five-year plan. This move is an important reform. It will not only help exporters, but it will also promote the domestic market. The Ministry of Textiles took a number of initiatives to revive the Indian technology textile industry. For example, the Technical Textiles Growth and Development Plan (SGDTT), which includes the inclusion of machinery in the revised technical reform fund program, can enjoy a 10% financial subsidy and so on. The Ministry of Textiles has also established a Technical Textiles Technical Task Force, divided into two small task groups for five years, investing 2 billion rupees from 2010-11 to 2014-15, which may also be included in the 12th Five-Year Plan. .