Staff Reporter

Urge Centre to remove import duty on shuttleless weaving machinery

COIMBATORE: The South India Auto Loom Cloth Manufacturers’ Welfare Association has appealed to the Centre to remove import duty on shuttleless weaving machinery.


In a memorandum to the Union Textile Minister, the association president, C.R. Ponnusamy, said import duty was recently increased from 5 per cent to 18.64 per cent. Hence, weavers were finding it difficult to import machinery.


Further, the import duty on accessories and spares for shuttleless looms was currently 28.64 per cent.

The weaving sector had to be modernised and the weavers would not be able to go in for technology upgradation with high duties for imported machinery and spares.

Mr. Ponnusamy also sought increase of duty drawback rates by 5 per cent to offset the duties suffered by the sector at various stages.


With the rupee appreciating against the dollar, an increase in interest rates and high cotton prices, the industry was reeling under crisis and a higher duty drawback rate would provide relief to some extent.

The Government should also consider dual exchange rate for exporters.

Yarn prices were going up due to an increase in cotton prices. Hence, the Government should levy 5 per cent customs duty on cotton exports.

This would bring down the domestic cotton and yarn prices.

Coimbatore region had about 4.5 lakh power looms, 5,000 shuttleless weaving machinery and nearly 500 warping and sizing units, he said.