Extend MNREGS scheme to garment sector: Exporters Association

Tirupur Exporters Association on Friday asked the Centre to extend the Mahatma Gandhi National Rural Employment Guarantee Scheme (MNREGS) to the garment sector, which is vibrant now and ready to provide more employment.

Coimbatore: Tirupur Exporters Association on Friday asked the Centre to extend the Mahatma Gandhi National Rural Employment Guarantee Scheme (MNREGS) to the garment sector, which is vibrant now and ready to provide more employment.

In its pre-budget memorandum to the union Finance Minister Arun Jaitley, TEA said the Government was providing employment for 100 days a year and employees in Tamil Nadu are given Rs 138 per day.

If government extends the scheme to the garment sector, exporters would give guarantee to the textile ministry that they would employ a minimum of 50 workers--maximum can be any number, of which 50 percent would be women, and provide employment for 250 days, it said.

With this, exporters can provide employment to the tune of five million people in the garment sector, by which export also be doubled within three years, according to the memorandum.

Other demands include reduction of custom duty on import of synthetic/blended. Speciality fabric of cotton, removing e difficulties in using advanced license scheme, zero percent excise duty for man made fibres and special machinery.

In the tax segment, TEA wanted to increase service tax refund from 0.18 to cent to 0.50 percent, exemption of service tax on ECGC premium and introduction of Goods and Service Tax in this budget.

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