Meg is likely one of the most important uncooked supplies for the manufacturing of polyester fibers and filaments. | Picture credit score: Periasamy m
The textile trade is interesting to the federal government to not gather anti-damping obligations for monoethylene glycol (MEG), one of many most important uncooked supplies used within the manufacturing of polyester fibers and filaments.
RK Vij, govt director of the Polyester Textile Attire Business Affiliation, Hindus The textile trade consumed 70%-75% of refined terephthalic acid (PTA) and consumed Meg, the primary uncooked materials for the manufacturing of polyester fibers.
The annual requirement for MEG is 280,000 tonnes, with almost 120,000 tonnes imported from Singapore, Qatar and Saudi Arabia. The trade can not import MEG from China as a result of restrictions on high quality management orders.
“One of many key uncooked supplies for synthetic fibers, yarn, filaments, materials and clothes can be 20% dearer as anti-dumping mandates are proposed,” he mentioned.
India imports 40% of the MEG consumed by home producers. Moreover, the pipeline won’t have any tasks for the subsequent 3-4 years to extend manufacturing of MEG within the nation. The federal government eliminated the addition of PTA in its 2020 union funds, making certain the provision of uncooked supplies at worldwide costs within the home MMF trade. There shouldn’t be any extra prices on Meg.
The federal government has just lately decreased GST in MMF thread and materials to present thrust to the manufacturing of MMF textiles. If MEGs are topic to anti-dumping obligations, the MMF sector won’t see progress because the uncooked supplies for the manufacturing of artificial merchandise will grow to be dearer, he mentioned.
Ashwin Chandran, chairman of the Indian Textile Business Federation and chairman of the South India Mills Affiliation, Durai Paranisammy, mentioned that polyester fibers are primarily made out of PTA and meg. Uncooked supplies should be accessible at worldwide costs within the textile trade.
The trade is wanting ahead to conferences with textiles, finance and chemical ministries to debate the problem, Vij added.
