Raja M Shanmugham, President said the All Industry Rate of Duty Drawback for garment sector was announced recently and in the revised drawback rates list, the rates have been reduced from 2 per cent to 1.8 per cent for some garments and 1.9 per cent for few garments and added that the new revised list has totally disappointed Tirupur knitwear garment sector when they were expecting hike in the rates.
Raja M Shanmugham pointed out that when the raw material cotton and subsequent processed item cotton yarn drawback rates were enhanced how could the value added garment sector, employment generator has been neglected and the rate revised downwards. Shanmugham said he has made a representation to Hon’ble Prime Minister and Hon’ble Textile Minister with a requisition to look into the issue and help to revise the drawback rates upwards.
