ARTICLE AD BOX
Surat: The controversy over the issue of anti-dumping duty (ADD) on nylon yarn in Surat’s textile industry has become more intense. There has been great displeasure among the powerloom weavers against the final findings given in favor of spinners by the Directorate General of Trade Remedies (DGTR).
Weavers’ organizations have now made a direct representation to the Union Finance Ministry and seriously accused DGTR of adopting a one-sided policy in favour of spinners.
Sachin Industrial Society Secretary Mayur Golwala, Nylon Weavers Association President Mayur Chevali and Weatherod Weavers Association President Bhupendra Chhawala have made a detailed presentation to Union Finance Minister Nirmala Sitharaman and the concerned officials. They have objected to the decision given by DGTR with statistical evidence.
About 13 organizations including Nylon Weavers Association Surat have demanded that the DGTR’s recommendation be made in the office before the Finance Ministry’s notification.
Despite the acute shortage of yarn in the market, the spinners are trying to increase production, which shows that they are not suffering any loss. However, recommending the implementation of ADD is being called harmful for the industry.
Another important issue that the weavers have raised is technical matters. Local spinners still use old machinery, which leads to a decline in quality and efficiency. The DGTR has been accused of encouraging this inefficiency through the ADD instead of addressing it.
Besides, there are concerns that recommending the imposition of duty despite a shortage of around 7,000 tonnes of nylon mother yarn per month could create an “artificial supply crisis”. Weavers say the decision could prove fatal for the powerloom sector and there is a fear of closure of many units.
Weavers have also raised quality issues, which they allege the DGTR ignored despite presenting evidence such as uneven bobbin length and weight. They also said that despite the higher price of imported yarn, there was ample scope for domestic manufacturers to increase prices, but it was not considered.
However, the DGTR’s decision is not final and the final decision will be taken by the central government within 90 days. Therefore, Weavers has appealed to stay away from rumors and not take any hasty decisions.
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