The Federation of Indian Art Silk Weaving Industry (FIASWI) and power loom weaving associations based in Surat led by FIASWI Chairman Bharat Gandhi recently met Lok Sabha’s house committee Chairman CR Paatil, a member of parliament from Navsari, to seek his intervention in appraising the government not to impose anti-dumping duty on nylon filament yarn.
Out of 12 yarn spinners in the country, only two leading yarn spinners have applied to the Directorate General of Anti-Dumping Duties (DGAD) for imposing anti-dumping duty on nylon filament yarn imported from China, South Korea and other Asian countries, quoted anonymous sources from FIASWI as saying.
If DGDA agrees, then over two lakh power loom machines will shut down, rendering over 1.5 lakh workers jobless. Over 10,000 weavers and their families in Surat will suffer if anti-dumping duty is imposed on nylon filament yarn, said Gandhi. The industry suffered for 11 years due to anti-dumping duty on nylon yarn, which was removed in 2018 and now is being reviewed by DGAD. Gandhi said anti-dumping duty on yarn will increase import of cheap fabrics from China and Bangladesh.
Domestic weavers cannot compete with cheap fabrics imported from China and Bangladesh. Yarn spinners are not able to manufacture nylon yarn compatible with Chinese standards. However, the spinners are seeking anti-dumping duty so that they can run a price cartel in India, Gandhi alleged. Power loom sector leader Ashish Gujarati said power loom centres like Ludhiana, Bhiwandi, Amritsar, Bhilwara and Varanasi will also suffer due to anti-dumping duty on nylon yarn.