Powerloom Body Urges Reduction In Excise Duties

The Federation of Indian Art Silk Weaving Industry (Fiaswi), the apex body of the decentralised power loom sector in the country, has submitted an eight-point pre-budget memorandum to the Union finance minister Jaswant Singh.

Among the eight main demands, is a plea to reduce excise duty on all fibres and yarns to a uniform rate of eight per cent.

Fiaswi chairman Arunbhai Zariwala has argued that besides the uniform reduction in excise duty, the excise duty on polyester filament yarn should be reduced to eight per cent BED plus eight per cent SED, which brings the total to 16 per cent in the coming budget. Subsequently this should be reduced to eight per cent.

According to Zariwala, this demand was being made as the prices of textiles are not to be decided by rate of tariff but by consumer preferences. Secondly, textile being a prime necessity and was necessary to bring the industry out of the present crisis.

Further, additional excise duty on BED on all man-made fabrics and filament yarns and certain fabrics should be scrapped.