The yarn industry recently urged the government to raise the basic customs duty on polyester yarns from 5 per cent to 10 percent and modify the Free Trade Agreements (FTAs) with Vietnam and Indonesia to exclude this item from the list of items being cleared at zero duty in India or include raw materials for the yarn in this list. These steps will help domestic textile mills get a level playing ground. Textile mills are in huge trouble now due to the two FTAs, which has noted an ‘astronomical’ rise in the quantity of polyester yarn imported from these two countries.

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