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Implement uniform tax policy
July, 31st 2009

The Southern Gujarat Chamber of Commerce and Industry (SGCCI) has urged Union textile minister Dayanidhi Maran to implement uniform tax policies to enable growth of the decentralised synthetic textile industry in Surat.

A delegation led by SGCCI president, Nilesh Mandlewala, met Maran in New Delhi and asked him to extend a slew of rebates like reduction in the excise duty on textile machinery, raising the capital subsidy in Textile Upgradation Fund (TUF) scheme from 15 per cent to 20 per cent, revision of the 8 per cent excise duty on the synthetic fibre and filament yarn etc.

The demands are part of a multi-pronged strategy proposed by the SGCCI to drive the growth of the country's largest synthetic textile hub, which meets around 40 per cent of the synthetic fibre demand of the country.

Mandlewala said, "The proposed increase in the excise duty on synthetic fibre and filament yarn from 4 per cent to 8 per cent will increase the raw material prices for the small weavers. Since most of the polyester sarees are supplied by Surat, the women across the country would feel the pinch. Thus, we have urged the textile minister to extend a slew of rebates to make the synthetic textile industry to sustain in the domestic and the international market."

The delegation members also met minister for micro, small and medium enterprises (MSME) Dinsha Patel and requested him to increase the audit limit of the MSMEs from Rs 40 lakh to Rs.1 crore and make special provisions to provide bank loans on low interest rates.

 
 
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