Opening of Indo-Chinese trade through Nathula in Sikkim in June would allow cheaper silk products from China to enter into Indian market.
Anti-dumping duties already exist under World Trade Organisation (WTO) and Government cannot impose further anti-dumping duties on Chinese silk, Union Textiles Minister Shankersinh Vaghela said after inaugurating textile committee's new building at Salt Lake city.
He was responding to apprehensions of China dumping its silk products on opening of trade route, expressed by West Bengal Chief Minister Buddhadev Bhattacharjee.
Other options would be brought into play for silk industry to compete effectively with its Chinese counterparts, said the Textile Minister.
Vaghela informed that Indian textile was able to capture 25 percent of the US and 20 percent of European markets, in comparison to China capturing 40 percent of the US and 60 percent of European markets.
Central Government has announced abolition of excise duty and sanctioning 20 percent capital subsidy in some areas of textiles, as incentives for textile sector to compete effectively.
The Textile Minister emphasized on setting up an FDI cell for increased inflow of foreign funds in the textile sector.
marketing@alchempro.com
