China is fast being taken over by Bangladesh and Vietnam in apparels and Vietnam and Indonesia in case of leather and footwear. But Indian companies are struggling in face of a set of common challenges related to logistics, labour regulations, tax & tariff policy and disadvantages emanating from international trading environment compared to competitor countries, it added. The introduction of GST offers an excellent opportunity to rationalise domestic indirect taxes so that they do not discriminate in apparels against the production of clothing that uses man-made fibers; and in the case of footwear against the production of non-leather based footwear, the Survey said. India imposes a 10 per cent tariff on man-made fibers vis-a-vis 6 per cent on cotton fibres. (This article has not been edited by DNA's editorial team and is auto-generated from an agency feed.)

Source: dna January 31, 2017 08:26 UTC