A Sakthivel, Chairman of the Federation of Indian Exporters (FIEO), said that the government decided to remove cotton import tariffs in April 2022 until the end of September. This move will make yarn, fabrics Prices will be further rationalized, helping to promote the export of value-added textiles and accessories and reducing consumer costs.
In the past, India would impose a 5% basic tariff (BCD) and a 5% agricultural infrastructure development tax (AIDC) on imported cotton. The cotton industry has always put forward the demand for tax exemption. Reduce domestic prices.
At present, the Central Board of Indirect Taxes and Customs of India (CBIC) has announced that cotton imports are exempt from customs duties and agricultural infrastructure development tax.
Sakthivel said: As high cotton prices weaken competitive advantages, this policy will further promote cotton textile exports.
He added that India’s recent increase in apparel export market share in the United States and other countries, and the free trade agreements signed with the United Arab Emirates (UAE) and Australia, will accelerate This process.
Sakthivel pointed out: The Indian government provides all support to the textile industry, and we should strive to achieve the goal of reaching $100 billion in textile exports by 2030.
