One Industry, One Voice: Garment Trade Associations across India want Group of Ministers (GoM) to Abandon Proposal to Modify GST Rates
In a unique initiative towards strengthening the domestic garment sector, Clothing Manufacturers Association of India (CMAI) and 14 leading Garment Trade Associations from across India collectively met as a Group of Associations and under ONE INDUSTRY, ONE VOICE passed a unanimous resolution for submission to Group of Ministers (GoM) to abandon a proposal to modify GST ratesin the Garment Sector, and retain the existing structure of 5% and 12%. It is perhaps the first time that so many large Associations from across the country got together to discuss common issues and programs, as also to submit a common representation to the Government. The main aim of the meeting was to foster a united, collective approach to secure long-term growth. Other key decisions encompassed vital budget recommendations to boost the apparel trade, drive sustainable growth and address critical industry needs. The five key recommendations are stated as below:
supplying to large Corporations, and ultimately contribute to higher trade volumes and tax collections.
recommended to either: – eliminate this provision or – extend the rule to the Medium Segment, ensuring equal growth opportunities, or – introduce a gradual reduction of the payment period: 90 days in Y1, 60 days in Y2, and 45 days in Y3.
Speaking after the meeting, Santosh Katariya, President, Clothing Manufacturers Association of India (CMAI) stated, “We are glad that all the leading associations have come together under Group of Associations to address these concerns and create a unified voice for the industry. As CMAI, we are committed to presenting comprehensive recommendations to the Government on critical matters such as GST, Supply Chain Disruptions, Rising Input Costs and the need for Policy reforms. These are essential to ensure long-term growth and sustainability of the Apparel sector.” Rahul Mehta, Chief Mentor, Clothing Manufacturers Association of India (CMAI) expressed, “While we are seeing shift in consumer sentiments, it is crucial to recognize that without timely policy interventions, the sector will continue to face challenges. The Apparel industry requires policies that nurture its growth and ensure a balanced approach that fosters both immediate stability and long-term sustainability. A supportive policy framework will be vital in unlocking the sector’s full potential and translating positive consumer trends into tangible, sustainable growth for the industry.” Other leading Garment & Textile Trade Associations from across India who participated included Garment Exporters Association of Rajasthan (GEAR) – Jaipur; Bangalore Apparel Manufacturers Association (BAMA) – Bengaluru; South India Garment Association (SIGA) – Bengaluru; Karnataka Hosiery & Garment Association (KHAGA); Karnataka Innerwear Association (KIA) – Bengaluru; Knitwear & Apparel Manufacturers Association of Ludhiana (KAMAL) – Ludhiana; Woolen Garment Manufacturers Association – Ludhiana; Tirupur Exporters Association (TEA) – Tirupur; Federation of Surat Textile Traders Association (FOSTTA) – Surat; GVS – Surat; Indore Readymade Vastra Vyapari Sangh (IRVVS) – Madhya Pradesh; Gujarat Garment Manufacturing Association (GGMA) – Ahmedabad; Sholapur Garment Manufacturers Association (SGMA) – Maharashtra; Noida Apparel Exporters Cluster (NAEC) – Noida, UP and others. The apparel industry, with a robust retail market size of INR 5.4 lakh crore, stands as a cornerstone of the Indian economy. Beyond its economic significance, the sector is a major employment driver, providing livelihoods to approximately 39 million people, including 16 million blue-collar jobs in domestic production. While the industry has demonstrated impressive growth and resilience, there is immense potential for even greater success. By implementing targeted support and initiatives, the sector can unlock new opportunities for sustainable growth and long-term stability. 2025-01-10 By:Indian Apparel On:January 10, 2025 In:Apparel and Textile News, Apparel Brands and Companies, Events and Exhibitions News, Manufacture, National News
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