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Rajesh Masand, President, Clothing Manufacturers Association of India (CMAI) welcomed the Union Budget 2021-22.
He hailed the announcement of seven mega textile parks as being in line with the government’s intention to encourage mega projects and increase the scale of textile operations in the country. He particularly applauded the incorporation of the Plug and Play model in these parks to avoid huge capital expenditure outlays.
Masand urged the government to study the reason behind the failure of textile parks in the country so far. He also pointed out increasing import duty on cotton and cotton fiber may not impact the industry too adversely as it is still reeling from an unprecedented increase in yarn prices.
Masand said the Budget will positively impact consumer spending. The permission to form a one-person company will directly benefit smaller apparel manufacturers as they will receive more support from banks. The increase in tax audit slabs will benefit smaller members of the sector, added Masand.
