rationalization marks a landmark reform that will strengthen the MMF value chain nationwide, fostering growth, innovation, and global competitiveness across the industry.
Speaking on the development, Mr. Sidharth Khanna, President of NITMA, stated:
“We are pleased to share that the long-standing issue of the inverted duty structure in GST for MMF textiles has been successfully addressed.
These reforms will play a pivotal role in achieving our collective goal of a Viksit Bharat, and in realizing India’s ambition of reaching USD 100 billion in textile exports by 2030.
The Northern India Textile Mills Association (NITMA) proudly announces a transformative milestone for India’s Manmade Fibre (MMF) textile sector. The recent Goods and Services Tax (GST) rationalization marks a landmark reform that will strengthen the MMF value chain nationwide, fostering growth, innovation, and global competitiveness across the industry.
Speaking on the development, Sidharth Khanna, President of NITMA, stated:
“We are pleased to share that the long-standing issue of the inverted duty structure in GST for MMF textiles has been successfully addressed.
This reform includes:
Reduction of GST on Manmade Fibres from 18% to 5%
Reduction of GST on Manmade Yarns from 12% to 5%
These changes will significantly lower costs across the MMF and Technical Textiles value chain, enhancing efficiency and export competitiveness.”
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This rectification, coupled with the removal of import duty on cotton (HSN 5201) until December 31, 2025, arrives at a critical juncture for the industry. Amid global headwinds such as U.S. tariffs and a volatile trade landscape, these measures inject fresh momentum into India’s textile ecosystem and empower exporters to navigate challenges more effectively.
On behalf of NITMA and its member units, we extend our deepest gratitude to the Hon’ble Prime Minister, Narendra Modi Ji, for his visionary leadership and unwavering support for the MMF textile sector.
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We also express our special thanks to:
Hon’ble Union Finance Minister, Smt. Nirmala Sitharaman
Hon’ble Union Textile Minister, Giriraj Singh
Smt. Neelam Shami Rao , Secretary (Textiles),
and the dedicated officials of the Ministry of Textiles & Finance.
Their tireless efforts have paved the way for a more resilient and globally competitive textile industry.
These reforms will play a pivotal role in achieving our collective goal of a Viksit Bharat, and in realizing India’s ambition of reaching USD 100 billion in textile exports by 2030.
CREDITS: This information was compiled from NITMA press release and has not been edited or reviewed by our team.
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