Chennai, May 15: Tamil Nadu Chief Minister C. Joseph Vijay has urged Prime Minister Narendra Modi to immediately remove the 11 percent import duty on cotton. He warned that the rising costs of raw materials are putting the state’s textile and apparel sector in serious jeopardy.
In a letter to PM Modi, CM Vijay stated that the significant increase in the prices of cotton and yarn has placed immense pressure on clothing manufacturers, endangering the livelihoods of millions of workers dependent on this sector.
Highlighting Tamil Nadu as India‘s largest exporter of textiles and apparel, the Chief Minister noted that this industry provides direct and indirect employment to millions.
CM Vijay emphasized that the textile and apparel industry in Tamil Nadu is facing a grave crisis due to the unprecedented rise in cotton and yarn prices. He attributed this increase mainly to a decline in domestic cotton production and heightened commercial activities across the country, which have disrupted the supply chain and adversely affected textile manufacturers.
He further explained that the continuous supply of raw materials can now only be ensured through imports, but the current 11 percent import duty makes this process expensive and unviable for the industry.
According to the Chief Minister, the price of cotton has surged from ₹54,700 to ₹67,700 per candy over the past two months, marking a substantial increase of nearly 25 percent. During the same period, yarn prices have also risen from ₹301 to ₹330 per kilogram.
CM Vijay reiterated that the rise in prices is primarily due to the reduction in domestic cotton production and increased commercial activities nationwide, which have disrupted the supply chain and impacted textile manufacturers.