Categories: News & Announcements

Minimum Import Price Imposed on Synthetic Knitted Fabrics

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The Indian government has taken a significant step to support domestic manufacturers of synthetic knitted fabrics by implementing a minimum import price (MIP). This policy aims to create a more level playing field for Indian producers facing competition from cheaper imports.

Key Points

Effective Date: March 16, 2024 (immediate)

Affected HS Codes: Specific HS codes under Chapter 60 of the ITC (HS) 2022, including:

  • 60063100 (unbleached or bleached)
  • 60063200 (dyed)
  • 60063300 (yarn of different colors)
  • 60063400 (printed)
  • 60069000 (other)

Minimum Import Price: US$ 3.50 per kilogram (CIF value)

Policy Duration: Until September 15, 2024 (subject to extension)

Impact on the Industry

  • The MIP is expected to curb the import of low-cost synthetic knitted fabrics, potentially leading to price adjustments and changes in sourcing patterns.
  • Industry experts anticipate a positive impact on domestic manufacturers, allowing them to compete more effectively.

Government’s Commitment

This policy reflects the government’s dedication to:

Boosting Domestic Production: The MIP aims to strengthen domestic production capabilities and create a more favorable environment for Indian textile businesses.
Balanced Trade Growth: The policy seeks to safeguard the interests of domestic stakeholders while promoting sustainable economic growth through strategic trade regulations.

Moving Forward

Stakeholders in the textile industry, particularly those involved in importing and selling synthetic knitted fabrics, will need to adapt their operations to comply with the new regulations.

S. Periasamy

View Comments

  • Great move by GOI. But my main concern is product development along with innovation is lagging and we need to counter the buying houses with our similar products for which, the database to be strengthen.

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