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India : Central govt to cut customs duty on technical textiles

2005-12-30

To improve country's performance in technical textiles, the Central government is thinking over a proposal to reduce customs duty on a range of machines and fibres. It says such a measure would promote production and use of technical textiles in the nonwoven category.

The country is lagging behind both in production and consumption of technical textiles, which are value-added textile materials manufactured mainly for their technical use.

"India has the raw material and the right technology in the high-tech field of technical textiles. But yet we are behind many countries," said Mr N M Mugadur, joint commissioner, textiles, while addressing a gathering at Gujarat Chamber of Commerce and Industry.

Mr Mugadur said the government is considering certain measures to promote technical textiles as recommended by a committee appointed by the Ministry of Textiles.

The expert committee was appointed to assess market size, prepare project profiles and suggest measures to be taken for the growth of technical textile sector. One of the suggestions made by the committee is that customs duty on 22 machines and 35 fibres related to these textiles be reduced.

Giving comparative figures he said that while USA had 23per cent consumption, India only three. Similarly US production share in the world was 53per cent and that of India only 10 per cent.

SS Ramkumar, assistant professor Tiehh, Texas Tech University, US, cautioned that India will have to pull up socks to compete with China.

He said nonwovens, industrial textiles, functional textiles, protective textiles are few materials which have global growth opportunities. While nonwovens are at a very nascent stage in India, the US is a leading player in the category, followed by Europe.
 
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