: Almost the entire cotton-based textile industry in the region today thanked Union Textile Minister Smrithi Irani for announcing unique terms and conditions for procuring cotton from Cotton Corporation of India for the benefit of MSME textile units.
The new terms and conditions for fully pressed bales of CCI facilitates the registered MSME textile units to procure cotton by paying only 10 per cent deposit money as against 20 per cent, which was applicable only for the sale quantity of 30,000 bales and above, Chairman of Southern India Mills' Association (SIMA), Senthilkumar said in a release.
The deposit money upto 2,999 bales is only 15 per cent, which would greatly help the units that are starving for working capital funds in the post-demonetization regime, he said.
More From This Section
Senthilkumar said the industry requested CCI to opt for coastal movement of bales between Gujarat and Tamil Nadu that would again yield considerable savings for mills and added that SIMA has finalized the rates with a company for the entire cotton season 2016-17, which is cheaper by 10 to 25 per cent when compared to lorry freight.
A total of 26 textile association thanked the minister for the new scheme.
Disclaimer: No Business Standard Journalist was involved in creation of this content