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Wednesday, 04 January 2023 17:05

Federation urges zero VSF duty in India

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There should be no anti-dumping duty on viscose staple fiber. So says the Tamil Nadu Federation of Powerlooms Associations, India.

In Tamil Nadu, says the federation, over two lakh powerlooms have switched over to 100 percent viscose staple fiber and contributed significantly to fabric exports. The removal of the anti-dumping duty of 28 per cent levied on imported viscose staple fiber enabled the sector to increase 100 per cent viscose staple fiber fabrics exports from 25.49 million sq m during 2019-20 to 61.39 million sq m during 2021-22.

The federation says the powerloom sector in India is the largest woven cloth manufacturing sector, accounting for 85 per cent of the total cloth produced in the country. The country currently has around 3.86 lakh powerloom units in the decentralized sector and 25 lakh power looms, including around 1.5 lakh shuttle-less looms, providing direct jobs to around 5 million people.

The high volatility in cotton prices had had a severe impact on the powerloom sector and the removal of the anti-dumping duty on purified terephthalicacid, monoethylene glycol, polyester staple fiber, acrylic fiber and viscose staple fiber enabled the powerloom sector to diversify into manmade fabric, which is the future growth engine of Indian textiles and the clothing sector, says the federation.