India working on tax plan for textile sector

The Centre is building an integrated tax framework for India’s textile sector. The aim is greater tax certainty and wider relief on raw material and machinery duties. Officials hope this will sharpen the industry’s competitiveness in global markets.

The framework could cover three separate tools. The first is goods and services tax on textile products and inputs. The second is basic customs duty on raw materials and imported machinery. The third is anti-dumping duty on certain man-made fibre and yarn imports.