Chennai [Tamil Nadu], May 14 (ANI): Tamil Nadu Chief Minister Vijay on Thursday wrote to Prime Minister Narendra Modi urging the Centre to remove the 11 percent import duty on cotton, citing a deepening crisis in the textile sector and the need to safeguard employment.
In his letter, Vijay expressed concern over the condition of the textile industry, which he described as the state’s largest employer of rural women. He attributed the “severe crisis” in the sector to rising cotton and yarn prices caused by production shortages and increased trading activity.
“Tamil Nadu is India’s largest textile and apparel exporting state. Lakhs of people are dependent on this sector for both direct and indirect employment, especially women primarily from rural and semi-urban backgrounds,” Vijay wrote.
“Of late, the industry is facing a severe crisis due to an increase in cotton prices and, consequently, yarn prices. I understand this is caused primarily due to the shortage of cotton production and increased trading activity in the country,” he added.
The chief minister said cotton prices had surged by 25 percent over the last two months, rising from Rs 54,700 to Rs 67,700 per candy, while yarn prices increased from Rs 301 to Rs 330 per kilogram.
“The continued supply of raw material can be ensured only through imports. However, there is an import duty of 11 percent on cotton,” he said.
Vijay noted that after agriculture, the textile and apparel industry is among the largest employment generators in the country, particularly for women from rural and semi-urban areas.
“In such a situation, permitting duty-free cotton imports will help the industry meet increasing export commitments and remain globally competitive,” he wrote.
“After agriculture, the textile and apparel sector is one of the largest employment-generating sectors. Hence, there is a significant responsibility on the government to safeguard the employment of lakhs of people and ensure the sustainability of the textile value chain,” the letter stated.
The chief minister urged the Centre to reduce the cotton import duty from the current 11 percent to zero in order to ensure the availability of raw materials and support the industry.
“Hence, I request your intervention to remove the import duty on cotton from the existing 11 percent to 0 percent to ensure the availability of raw material. This measure will enable the textile and apparel industry to remain globally competitive, enhance exports, and protect jobs,” Vijay said. (ANI)
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