Related Keywords: dumping yarn into Punjab, E-Trip system, increase tax revenue, losing out, other states, Punjab Spinners Association, Punjab Yarn Dealers Association, Punjab yarn industry, reducing VAT on yarn, to cheap yarn
Punjab yarn industry are losing out to cheap yarn coming from other states, making a serious dent on their business volume. After state government rolled back controversial E-Trip system, yarn makers in the state have now pitched for reducing VAT on yarn in order to compete with the commodity from other states.
Punjab levies 6.6 per cent VAT on yarn while some states like Gujarat, Uttar Pradesh, Rajasthan do not impose any tax on it, resulting into “dumping” of yarn into Punjab.
