Representative Image.
Credit: iStock Photo
New Delhi: The government on Tuesday extended the minimum import price (MIP) of $3.5 per kg on synthetic knitted fabrics till December 31 this year to help discourage inbound shipments of cheap fabrics.
The MIP was also extended for eight new kinds of knitted fabrics.
"MIP on synthetic knitted fabrics is extended from September 15 to December 31," the Directorate General of Foreign Trade (DGFT) said in a notification.
However, users or downstream industry have expressed disappointment over the move stating that the MIP would push input prices.
"Increase in input prices will impact price competitiveness of Indian textiles products in the global markets," an industry official said.
The official said that if some countries are dumping this product into India, the government should consider imposing anti-dumping duty and not MIP.
The MIP was first imposed on March 16, 2024.
Exports of man-made yarn/ fabrics and made-ups rose by 1.33 per cent to about $2 billion during April-August this fiscal. Ready-made garment shipments grew by 7.12 per cent to $6.39 billion during the period.
Imports of textile yarn fabric and made-up articles have increased by 4.58 per cent to $978.61 million during the five-month period of this fiscal.