‘Don’t allow import of processed fabric, yarn’

The Confederation of Indian Weaving Industries has urged the Centre not to allow the import of processed fabric and yarn as it will severely affect the domestic weaving industry.

“We learnt that the government has been planning to allow the liberal import of fabric and yarn from countries such as China, Pakistan and Taiwan by levying minimal customs duty. This will force lakhs of weaving units in the country to shut down,” said M. S. Mathivanan, president of the Confederation, said here on Tuesday.

Mr. Mathivanan told reporters that the garment industries would prefer the imported fabrics as they would be cheaper than those available in the domestic market. As a result, it would affect the pre-weaving activities including ginning, spinning, sizing and warping, and post-weaving activities such as bleaching and dyeing. Lakhs of units doing these activities would be forced to close and labourers depending on the industry would be rendered jobless, he said.

Mr. Mathivanan also wanted the government not to ban the import of second-hand advanced looms. “The power loom industry imports a large number of used looms as they were priced low. A new loom costs about Rs. 40 lakh to Rs. 50 lakh while the used one is just Rs. 5 lakh to Rs. 6 lakh. Hence, many small and medium weaving units import used looms,” he said.

So far, the government had been allowing the import of used looms and extended support under its Technology Upgrade Fund scheme. “This should continue and more support should be extended to the weaving industry,” he said. He added that the Confederation had already submitted a memorandum to the Textiles Ministry regarding these two issues.