For synthetics industry:
- Reduction in excise duty on man-made staple fibres of Chapter 55 and filament yarns of Chapter 54.
- Interest rates to be capped at 7% for exporters.
- Expansion of interest subvention scheme to the entire MMF textiles sector.
- Best FTA treatment to SEZ units.
- Special Additional Duty (SAD) on MMF. 4% SAD on all man-made fibres should be abolished.
- Central excise registration for merchant exporters.
- Reduction in the rate of service tax. Service tax rate has been increased to 12.36%, which is too high.
- To reduce power costs because, in Western India, power costs have gone up substantially.
- The infrastructure at ports has to be improved to take care of growing export volume. Logistic part has to be addressed.
- The Marketing Assistance available under the MDA/MAI scheme to the Councils to be enhanced further.
- Integrated textile policy is the need of the hour.
- Liquidate CENVAT balances, since the MMF textile processing industry has accumulated CENVAT balances, because of an inverted duty structure.
- Other than timely disbursement of Technology Upgradation Fund Scheme (TUFs) payment, promotional schemes like focus markets to reach out to untapped overseas countries are a MUST
- Streamline scattered textile production chain.
- Reduce basic custom duty on PTA, MEG, PSF, POY and also textile machinery and SAD on all of these to be lowered from 4% to 0%.
For cotton industry:
- Integrated textile policy is the need of the hour.
- The government should review the draft recommendations of the Ajay Shankar committee.
- Create a level-playing field for all the sectors in the global environment.
- The new policy should be in line with the present era of development, should not be sectoral, but quite comprehensive.
- Issues related to TUFS will have to be addressed immediately.
- The government should also launch the much-awaited National Fibre Policy.
- Restrict cotton export and allow duty-free import of cotton.
- Do not allow cotton yarn export, except counts of 60s & above.
- Stop duty drawback facility on cotton yarn export.
For garments industry:
- Continue excise duty exemption on branded garments.
- The government should consider the definition of a ?Brand? under excise laws.
- Excise will be levied on all garments and not only on the high-end brands.