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Dumping of Chinese Fabrics in Indian Market Raises Concerns, Rajya Sabha MP Seeks Measures to Protect Indian Textile Industry

Published: February 29, 2024
Author: TEXTILE VALUE CHAIN

Sanjeev Arora, a Rajya Sabha MP from Ludhiana, raised an alarming issue during the ongoing budget session of Parliament. He expressed his deep concern over dumping Chinese fabrics in the Indian market at unfair import duty rates. Arora, representing the Aam Aadmi Party (AAP) from Punjab, emphasized that this practice has severely impacted the Indian textile industry.

Arora highlighted the critical nature of the problem, stating that the dumping of synthetic knitted fabrics has created immense pressure on domestic players, leading to potential job losses and revenue decline. He revealed that the polyester industry, currently operating at 70 per cent capacity, faces an unprecedented threat due to unfairly priced imports from China over the past year.

The MP argued that urgent action is required to prevent the collapse of the Indian industry. He pointed out that Chinese import prices for knitted fabrics are even lower than Indian yarn export prices, giving Chinese manufacturers an unfair advantage. Arora proposed aligning import customs duties on knitted fabrics with those on woven fabrics to restore balance in the market.

Arora called on the Union Government to take immediate action, enforce effective trade protection measures, and create a fair and sustainable environment for the domestic textile industry. He stressed the need to safeguard the livelihoods of millions of Indian citizens and restore competitiveness to the market.

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