December 31, 2010 6:37 PM

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Textiles Ministry to seek Cabinet clearance soon for National Fibre Policy

The Textiles Ministry will soon seek Cabinet clearance for a National Fibre Policy. It is aimed at ending the tax disparity between cotton and man-made (synthetic) fibre. Official sources said that the Draft Fibre Policy has been prepared after consultation with all stakeholders. In its draft policy, which is in public domain since June, the ministry had expressed concerns over the historical discrimination of man-made fibres and textiles vis-a-vis cotton and cotton textiles in the form of higher excise duties. The draft said although there has been a substantial reduction in excise duties on man-made fibres (MMF), the levies are still high.

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