Members of Southern India Mills’ Association (SIMA) will reduce the price of hosiery yarn by Rs 5 from May 1 and extend all support to the handloom sector. A decision to this effect was taken at a meeting of the SIMA members in Coimbatore last Friday.
SIMA chairman, J Thulasidharan said,? At an urgent meeting of the member mills on Friday, an appeal was made to the members to adhere to the textile minister Dayanidhi Maran’s advice and see that the down stream sectors (handloom and garments) are not adversely affected. The members present in the meeting agreed to reduce the hosiery yarn prices by Rs 5 per kg with effect from May 1. The members also agreed to extend their full support to the handloom sector by supplying adequate quantity of hank yarn?.
He said the association has also appealed to all its member mills to extend similar support to the downstream sectors.
Thulasidharan has also pointed out that the warp yarn prices and hank yarn prices have already started showing a downward trend.
Meanwhile, the SIMA chairman has appealed the textile minister to drop the proposal of withdrawing the duty drawback for cotton yarn. He said the government had already withdrawn the DEPB benefit of 7.67% and the removal of drawback would make the Indian yarn very expensive in the global market and the mills would lose their customers.
?The Indian spinning sector could achieve a 15% share in the global yarn trade owing to the concerted efforts made over decades. Any further negative steps against this sector like levying export duty on cotton yarn or any other control on cotton yarn exports would become counter productive. The competing countries like China, Pakistan, Thailand, Indonesia, Bangladesh etc., would grab the opportunities?, Thulasidharan said.