Textile sector seeks changes in customs duty on fabrics

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February 12, 2024 The first-ever meeting of the newly constituted Textile Advisory Group for man-made fibre under the Ministry of Textiles has offered hope for changes in customs duty on knitted fabrics to reduce imports.

R.K. Vij, secretary general of the Polyester Textile Apparel Industry Association, said he raised the issue of “illegal and undervalued import of Chinese knitted fabric”, which is mixed with woven fabric.

Almost 1,000 tonnes of fabric is dumped in India daily due to the difference in customs duty for woven and knitted fabrics.

Currently, the duty on woven fabric is 20% of the value of imports, or ₹115-₹150 per kg, whichever is higher, while the duty on knitted fabric is a flat 20%.


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