Related Keywords: accumulation of excess credit, affect independent weaving, become a blocked credit, eighteen percent rate on yarn, increase fabric cost, MMF, reduction of GST rate on manmade fiber, refund to be permitted for fabric manuafacturers, spinning units, Textile mills, to twelve percent, yarn
Textile mills demand reduction of GST rate on manmade fiber (MMF) and yarn to 12 percent from 18 percent and refund should be permitted for fabric manuafacturers.
According to Prabhu Dhamodharan, secretary of Indian Texpreneurs Federation, about 430 mills have recently sent their appeal to the Prime Minister’s Office in this regard.
While the rate for fabric is 5 percent that for yarn and fibre is 18 percent. Fabric manufacturers do not have the provision of refund and hence, this would become a “blocked credit”.
