Commercial tax commissioner, Gujarat, P D Vaghela has assured the stakeholders in the country’s largest man-made fabric (MMF) sector in the city of strongly representing the issues and demands related to Goods and Service Tax (GST) before the central government and the GST Council.
Vaghela was on a day’s visit to the Diamond City on Tuesday. Vaghela visited power loom units, knitting units, handwork and embroidery units and textile shops in Pandesara, Bamroli, Sachin, Limbayat and Ring Road.
Addressing a meeting of the textile industry stakeholders at Southern Gujarat Chamber of Commerce and Industry (SGCCI), Vaghela said, “I have heard the problems and issues faced by power loom weavers, traders, embroidery unit owners and women doing embroidery handwork. The issues are genuine and the state government will seriously take up the issues with the central government and the GST Council.”
“Most of the issues related to GST come under the purview of the GST Council. However, the issues like inter-state e-way bill provision etc will be sorted out by the state government,” Vaghela added.
Last week, social media was abuzz when CMO tweeted in favour of Surat’s diamond industry after the GST Council reduced the GST rate on polished diamonds from 3 per cent to 0.25 per cent. The chief minister had to face criticism on social media when the textile industry people raised questions whether the government did not consider Surat as the textile city.
Federation of Indian Art Silk Weaving Industry (FIASWI) chairman Bharat Gandhi said, “The industry is getting assurances since the day GST was rolled out. I think the visit of Vaghela in the textile and embroidery units indicates that the state government is serious in taking a stand at the GST Council to see that the issues related to the textile sector are addressed amicably.” Gandhi said we have put forth three demands, including refund of input tax credit, credit on opening stock and implementation of central government notification on increasing basic customs duty (BCD) on imported fabrics from China.
Leader of power loom weaving sector Ashish Gujarati said, “A single demand of input tax credit will solve 10 other issues pertaining to GST. Vaghela was of the opinion that the state government will have to give a stiff fight at the GST Council to press for the refund demand of the textile sector.”