Central government removes 1% market committee cess on cotton, cotton waste: Industrialists stress Tamil nadu government to release GO soon
Coimbatore: A long pending request by industrialists of the Indian textile sector to remove 1% market committee cess has been fulfilled in the New farm bills and this initiative has given a big relief. The delay in releasing the Government Order by Tamil nadu government has made more confusions.
Textile industry stands second in generating more employment throughout the nation, next only to agriculture. There are more than 52 million spindles in spinning sector. More than 25.5 lakh power looms and 22.5 lakh handlooms. On an average each year, 350 lakh bales of cotton are produced in the country in which, 300 lakh bales are used inside India.
50 lakh bales are been exported. Total textile exports account to, 38 billion us dollars. Textile industry shares, 4.3% in the GDP.Overall 110 million peoples have got employment both directly and indirectly in the entire textile value chain. In Global garment exports, India share is, 5.2%.
In spite this sector has more importance, there are still some issues which is affecting the overall textile industry sector. Levy of 1% Market committee feeon cotton, cotton waste was hitting very hardly on the industrialists. Inspite various representations made, this request was not fulfilled for more than 10 years.
The Central government in the recently introduced Farm bill has addressed this issue by Removing 1% market committee cess on cotton and cotton waste. While this initiative has given a big relief to the textile industrialists, but the delay in releasing Government Order by the state government has created many confusions.
The South India Spinners Association(SISPA) President, Murugesan said, "We whole heartedly welcome this initiative by the central government. Tamil Nadu government also has removed the 1% market committee cess. But the Government Order is yet to be released. We request Tamil Nadu government to release it soon. Only then this would help all the textile industrialists in the state."
Tamil Nadu Open End Spinners Association (OSMA) members said, "Industrialists of the textile sector were making this request for more than 10 years. Removal of 1% market committee cess will help the Open End spinners in a big way. Ther are more than 500 OE mills in Tamil nadu and all the mills belonging to OE sector use only cotton waste as raw material. Unfortunately till now we are paying 1% market committee fee for cotton waste which is unfair. Now the central government has removed the 1% market committee cess. But till now Tamil nadu government has not passed the Government Order.Hence presently we are witnessing a lots of confusions. We urge the state government to release the GO at the earliest."
Textile industry stands second in generating more employment throughout the nation, next only to agriculture. There are more than 52 million spindles in spinning sector. More than 25.5 lakh power looms and 22.5 lakh handlooms. On an average each year, 350 lakh bales of cotton are produced in the country in which, 300 lakh bales are used inside India.
50 lakh bales are been exported. Total textile exports account to, 38 billion us dollars. Textile industry shares, 4.3% in the GDP.Overall 110 million peoples have got employment both directly and indirectly in the entire textile value chain. In Global garment exports, India share is, 5.2%.
In spite this sector has more importance, there are still some issues which is affecting the overall textile industry sector. Levy of 1% Market committee feeon cotton, cotton waste was hitting very hardly on the industrialists. Inspite various representations made, this request was not fulfilled for more than 10 years.
The Central government in the recently introduced Farm bill has addressed this issue by Removing 1% market committee cess on cotton and cotton waste. While this initiative has given a big relief to the textile industrialists, but the delay in releasing Government Order by the state government has created many confusions.
The South India Spinners Association(SISPA) President, Murugesan said, "We whole heartedly welcome this initiative by the central government. Tamil Nadu government also has removed the 1% market committee cess. But the Government Order is yet to be released. We request Tamil Nadu government to release it soon. Only then this would help all the textile industrialists in the state."
Tamil Nadu Open End Spinners Association (OSMA) members said, "Industrialists of the textile sector were making this request for more than 10 years. Removal of 1% market committee cess will help the Open End spinners in a big way. Ther are more than 500 OE mills in Tamil nadu and all the mills belonging to OE sector use only cotton waste as raw material. Unfortunately till now we are paying 1% market committee fee for cotton waste which is unfair. Now the central government has removed the 1% market committee cess. But till now Tamil nadu government has not passed the Government Order.Hence presently we are witnessing a lots of confusions. We urge the state government to release the GO at the earliest."