Summary:
Total employment in power looms in MMF sector is 18 lakh and the average ITC refund per loom per year comes to about Rs 10,000. The textile sector is passing through a tough phase and many units have shut post GST.” However, the total ITC refund amount per year in decentralized MMF weaving sector comes to about Rs 750 crore.President of Federation of Gujarat Weavers Association (FOGWA) Ashok Jirawala said, “We have been running between Gandhinagar and New Delhi from the last one year to get ITC refund. Power loom sector is on the brink of collapse and it is in the hands of the central government to approve the refund of input tax credit (ITC).”The power loom sector has pointed out that individual knitters and power loom weavers are unable to sustain against the integrated unit due to the non-refund of ITC. If they are not going to allow the refund, then we are prepared to shut down our units once and for all.”Talking to TOI, SGCCI president Hetal Mehta said, “The SGCCI has strongly represented the CBIC to consider the refund of ITC for weaving sector and they have agreed to put the demand in the GST council..