After the announcement by government to reduce the GST rate on yarns from 18 per cent to 12 per cent and increase in basic customs duty on polyester fabric imports from 10 per cent to 20 per cent, textile traders in Gujarat still not content with the GST implementation. Relief in the filing of GST returns was also pronounced.

The traders in the state feel these measures are just to appease the sulking industry ahead of the assembly polls next month.

‘The weaving sector is observing month-long Diwali vacation. Around 70 per cent of the textile shops are shut. The damage has already been done to the textile industry’, Ashok Jirawala, President, Federation of Gujarat Weavers’ Association (FOGWA) said.

On the contrary, others are satisfied and thanked the government for the initiative taken.

Pandesara Weavers Cooperative Society Ltd. President Ashish Gujarati said “Since last three years, we have been making representations to the central government to increase basic customs duty on imported fabrics. Two days ago, it took a decision to increase customs duty by almost 25 per cent, which is a welcome step. However, the Government is yet to take a call on most of our demands, he added.

Meanwhile, textile traders hailing from Rajasthan are scheduled to meet Congress leader Ashok Gehlot on Tuesday to discuss their issues and challenges faced by small traders in the market due to GST implementation. The traders want an assurance that GST will be removed on man-made fabrics.

– Apparel and Textile News, Apparel Talk, Indian Apparel