Love for synthetics has overshadowed the demand of naturals, and this is true in the case of fibres also.
While the consumption of man-made fibres (MMF) has increased worldwide, natural fibre has consequently taken the backseat. In this situation, Indian Government should also promote man-made fibres by reducing not only excise duty but also slashing import duty to give boost to India's $46 billion textiles and clothing industry.
However, preferential treatment given to cotton and other natural fibres by Government might allow Indian competitors like China, Indonesia, Korea and Taiwan to take the lead in world market.
In these countries, MMF items like polyester staple fibre (PSF), partially oriented yarn (POY) and polyester filament yarn (PFY) are available at lower prices compared to Indian markets.
In global fibre consumption, MMFs amounts to 60 percent, while cotton accounts for just 37 percent. On the contrary, India's MMF share in fibre consumption is 43 percent and of this, polyester's share is about 35 percent. Cotton, wool, silk and jute account for the rest, while cotton has a share of more than 90 percent in natural fibre consumption.
The solution is to end or reduce import duty on MMF to lead world market, which is dominated by synthetics.
India's export of textile and clothing is $18 billion and 82 percent of this is natural fibre-based.
http://economictimes.indiatimes.com/News/News_By_Industry/Cons_Products/Garments__Textiles/Moderate_tax_on_man-made_fibres/articleshow/1101343.cms
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