The Parliamentary Standing Committee on Labour held a meeting with the heads of the textile industry associations on Tuesday at Tiruppur. The industry sought efforts to boost production of man-made fibre (MMF) textiles in the country.
According to a press release from the National Committee on Textiles and Clothing (NCTC), the committee headed by Bhartruhari Mahtab visited some of the industries in Coimbatore and Tiruppur too.
The officials from the Union Ministry of Textiles explained the schemes and recommendations made by the Ministry to enhance the global competitiveness of the Indian textile and clothing industry and boost MMF production in the country. The Principal Secretary, Handlooms and Textiles Department, Government of Tamil Nadu, briefed about the efforts taken by the State Government to increase MMF manufacturing facilities in the State. He indicated that two mega textile parks were planned under the Mega Textile Parks scheme. The State will focus on increasing technical textile production.
The Standing Committee on Labour Chairman said the Committee will consider the recommendations made by the industry, make suitable recommendations so that Tamil Nadu, especially Tiruppur and Coimbatore, see growth in MMF textiles manufacturing, the press release said.
The NCTC said the Ministry of Textiles has proposed a Focus Product Incentive Scheme for 40 HS lines of MMF Garments and 10 HS lines of technical textiles under the Production Linked Incentive Scheme recently announced by the Central Government. The global trade of these 50 HS line products is around $ 222 billion and the existing share of India is very less.
The anti-dumping duty and customs duty protection given for the domestic manufacturers and 18 % GST on man-made fibres and 12 % GST on MMF yarn have curtailed the growth of the MMF Sector in India. The NCTC appealed to the Standing Committee on Labour to recommend removing anti-dumping duty and also bringing the entire MMF value chain under 5% GST rate on a par with cotton value chain. It also wanted the inverted duty structure issues at processing and capital goods levels to be addressed.
It also sought certain amendments in the new Codes to ensure Ease of Doing Business. Members of trade unions appealed to the Standing Committee to withdraw the new Labour Codes proposed. They also wanted construction of ESI hospital at Tiruppur at a location that will benefit all the workers.
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