INDUSTRY FEEDBACK On DELAYED GST
Apparel is a labour-intensive sector and the ongoing issues are weakening it. While the refunds from the Centre are pending, the industry continues to make the mandatory payments every month. This is crippling the industry. raja Shanmugham, president, tirupur exporters’ association.
The situation is really bad as we have been waiting for the refunds for a long time. This has created a huge problem for all fellow exporters as cash flow is not available and is restricting our buying and manufacturing strengths. ashok rajani, MD, Midas touch apparels, Mumbai
“The international market is not bad. There is an internal competitiveness problem for drop in exports of not only garments but also other textile products. Sanjay K. Jain, chairman, confederation of indian textile industry
The government has to do something about it and get it cleared as soon as possible. See there are two routes IGST and other is RD 501, while RD 501 Is lengthy and tedious, IGST should be so automatic and simple that it gets cleared swiftly. There is no status on the refunds exporters do not even know whether it has been rejected or approved at least the status of the request should be updated so that people know that the approval is done and it is in process. We have started getting some refunds and finally there is slight movement. However, there will be a lot of problems if it will not come soon. narendra Goenka, MD, texport industries pvt Ltd
The situation is really bad as we have been waiting for the funds to be released for a long time but it has not happened so far. The business if affected due to slow demand and above this if returns will be delayed so much how will we operate? animesh Saxena, neetee clothing, Gurgaon
We are suffering on every front, cash flows have become super tight, bank borrowings are going high, interest components have gone up and profitability has gone down. We have decided to put on hold all expansions that means no further generation of employment. Saad Salman, indian Designs, Bangalore