Textile manufacturers in Gujarat expect tax cuts in the Union Budget, which will be presented later this month, to help the industry come out of its current crisis.
Industrialists here said that they were facing crisis due to the rise in prices of raw materials like yarn and colour chemicals.
"This time we expect the government to do away with anti-dumping duty and excise duty of 12 percent. For polyester, which is worn by the middle-class people, it should be nil like it is for cotton. We have recommended this to the government and this time we are very hopeful," said South Gujarat Textile Processors Association president Jitendra Vakharia.
The Textile Secretary and Commissioner have already given us some assurance. So, if it happens the industry will benefit," he added.
Vakharia further said that a favourable budget will being relief for one-and-a-half million people associated with the industry.
The South Gujarat Textile Processors Association president also hoped for relaxation in the prices of acquiring land.
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"If the Prime Minister allots land to us at reasonable prices for setting up industries, it will lead to cluster development and speedy revival of Surat's textile industry," he said.
Finance Minister Arun Jaitley, who will present the General Budget on February 28, had earlier this month said the overall economic situation in the country is looking better and added that basic parameters of the Indian economy are moving in the right direction.