TIRUPUR: The extension of the Technology Upgradation Fund Scheme during the Eleventh Plan has cheered up knitwear exporters of Tirupur.
Referring to the increase in the fund for 2007-08 to Rs. 911 crore as against Rs.535 crore this year, the Tirupur Exporters' Association on Wednesday said this would benefit the textile industry, especially in modernisation.
The increase in the allocation, from Rs.189 crore in 2006-07 to Rs.425crore, for the scheme for integrated textile parks would also boost textile trade, association president A. Sakthivel said. The reduction in the peak customs duty from 12.5 per cent to 10 per cent on capital goods would stand the industry in good stead in modernisation.
The cut in the customs duty on polyester fibres and yarns from 10 per cent to 7.5 per cent would help the garment sector.
He thanked the Finance Minister for maintaining the general CENVAT rate.