The Hindu Business Line : Textile machinery makers seek policy support

Coimbatore, Aug.16 The Textile Machinery Manufacturers’ Association (TMMA) has called for policy support from Centre to boost the domestic textile engineering industry’s competitiveness.

It has sought changes in fiscal structure, removal of hurdles facing the industry and special thrust in the form of assistance to improve technology and production.

Focusing on these issues, the TMMA outgoing Chairman, Mr R.S. Bachkaniwala, at the association’s 47th AGM last week, pleaded for eight per cent excise duty on all textile machinery, parts, accessories and spares as well as on raw materials.

Similarly, he sought uniform rate of Customs duty on all textile machinery items.

He wanted the anomalies in both Customs and excise duties, wherein spares, parts, components or accessories attract higher duty than complete machinery, be removed.

While pleading for creation of an umbrella development fund for R&D on new technology and modernisation of textile engineering industry (TEI) units, the TMMA has urged the Centre that used textile machinery should not be given five per cent interest subsidy under the technology upgradation fund scheme (TUFS) or any similar scheme benefits.

Mr Bachkaniwala referred to a meeting convened recently by the national manufacturing competitive council, which discussed critical issues relating to the long-term growth of the textile machinery industry, including the adverse impact of import of second-hand machinery and difficulties of the weaving machinery sector in supplying modern shuttleless looms at competitive prices due to high rates of duties on inputs.

The association has felt the need for shifting the textile engineering industry from the administrative control of the Heavy Industry Ministry to the Textiles Ministry.

This is because that major input for the textile industry which comes under the Textiles Ministry is the machinery and hence transfer of the textile machinery industry to Textiles Ministry would facilitate better co-ordination.

It wanted the Confederation of Indian Textile Industry (CITI) to take up this issue vigorously with the Centre.