FIEO seeks inclusion of textile job work under 5% GST slab

The body suggested lowest GST bracket as such works are highly outsourced by manufacturers

Federation of Indian Exports Organisation (FIEO) has asked the government to include textile job works such as cutting or garmenting, embroidery under the 5 per cent goods and services tax (GST) slab.

The industry body has demanded cutting or garmenting, embroidery, finishing, washing or pressing, packing, bleaching, dyeing, printing, knitting to be brought under the lowest GST bracket as such works are highly outsourced by garment manufacturers.

"The above job work in cotton, blend, MMF, should be included under 5 per cent GST uniformly for yarn, fabric, garments, and made-ups, whether woven or knitted and irrespective of fibre-base," FIEO said in a letter sent to finance minister Arun Jaitley on Wednesday.

FIEO said the apparel manufacturing industry heavily depends on job works and they should not be left out from the overall 5 per cent tax treatment for the sector.