Duty slash on textile machinery possible in Budget 2006-7
17 Feb '06
1 min read
Textile industry might welcome Budget 2006 cheerfully as it is likely cut down import duties on textile machinery imports.
If the Finance Minister accepts all recommendations from Textile Ministry then statge is set for reduction in import duty on textile machinery for the overall benefit of the sector.
At present, the spinning sector faces problems in receiving machines from domestic manufacturers as they fail to maintain inventroy ratio between demand and supply.
The segment is currently valued at more than Rs4000 crore with spinning machines alone amounting to Rs1500 crore.
In its efforts, textile industry has made the Finance Minister realise that without considerable domestic production, import needs to be encouraged, and what better way can that be by slashing import duty.
However, Finance Minister was not forthcoming on any exact figure pertaining to the duty cut, but he indicated positive response to Textile Industry's recommendations, said an official in the Textile Ministry.
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