SIMA Praises Modi Govt For Abolishing Anti-Dumping Duty On PTA; Says Move Will Enhance Global Competitiveness

In a press release issued on Sunday (2 February), The Southern India Mills’ Association (SIMA) chairman Mr Ashwin Chandran has thanked Prime Minister Modi for considering the long pending demand of the textile industry and abolishing the anti-dumping duty being levied on Purified Terephthalic Acid (PTA) imported from different countries including China, Indonesia, Taiwan, Iran, Malaysia, report Economic Times.

PTA is the basic raw material used for the manufacture of polyester staple fibre and filaments. The textile industry has been demanding the removal of anti-dumping duty imposed on PTA to reduce the production cost and enhance global competitiveness.

The measure comes at a time when the Ministry of Textiles, in its draft Textile policy, has sought to increase the textile business size from the current level of around US $169 billion to US $350 billion by 2025 and to US $650 billion by 2030.

Chandran reportedly said, “PTA attracts anti-dumping duty from US$ 27 to US$160 per metric tonnes depending upon the country of origin and the country often faces shortage of PTA that curtail the capacity utilisation of the polyester segment industry.”

He added, “This announcement has come as a boost for the PTA users and the entire man-made fibre textiles & clothing segment. This would greatly help the country to enhance the global competitiveness, boost exports.”

Additionally, the SIMA Chairman has welcomed the announcement of National Technical Textile Mission. FM Sitharaman has allocating Rs.1480 crores for the next four years for the mission. The country currently imports technical textiles to the tune of US$ 16 billion per year and this Mission would help the industry to strengthen the technical textile segment.