The Southern India Mills’ Association has sought extension of the special package, which was announced by the Union Government recently, to home textiles and made-ups.
The association chairman M. Senthil Kumar has said in a press release that made-ups and home textiles segment produced high-end products that were exported to all major textile markets globally. These products attract tariff on a par with other garments in most of the international markets.
The Indian made-ups and home furnishing exports have been facing challenges in the recent years because Pakistan enjoyed duty free access in European Union and few other markets. The processes and technologies required to manufacture these are capital intensive and the manufacturers pay higher conversion charges compared to the garment sector.
Hence, the Government should extend the benefits announced for the garment sector to the made-ups sector too, he said.
The Clothing Manufacturers Association of India president Rahul Mehta has said in a press release that inclusion of State-level taxes in duty drawback for the garment sector will be a major relief to the exporters. The announcements will unshackle the garment sector and this will lead to additional employment and exports, he said.
