| Date: |
25-08-2015 |
| Subject: |
Govt may slap 30% import duty on raw silk |
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The government will consider slapping 30 per cent import duty on raw silk to protect mulberry farmers in the three southern states of Karnataka, Andhra Pradesh and Tamil Nadu.
Prime minister Narendra Modi has asked finance minister Arun Jaitley to examine the request made by Karnataka chief minister Siddiramaiah who led an all-party delegation of state MPs, ministers and top leaders on Monday.
Responding to a request made by Siddiramaiah, Modi said he would get the request examined.
Several states have asked the centre to enhance import duty on raw silk to 30 per cent from the prevailing 10 per cent as a protective measure to help domestic mulberry farmers.
Cocoon prices have fallen by over 60 per cent after finance ministry slashed import duty on raw silk to 10 per cent from an earlier 15 per cent in June this year.
As against an annual demand of 26,000 tonnes, domestic silk output has been pegged at 23,000 tonnes. In the last one year, India has imported about 4,000 tonnes of raw silk from China.
Cocoon prices have been fluctuating between Rs 170 – 300 per kilo pushing mulberry farmers to desperation and suicides in several southern states after the raw silk duties were lowered.
Prime minister Modi has also directed agriculture minister Radha Mohan Singh to depute a central team for assessing the drought situation in Karnataka.
The Siddiramaiah-led delegation also sought the prime minister’s intervention for an out-of-tribunal settlement on the Mahadayi river water issue that concerns Karnataka, Goa and Maharashtra. The matter is currently before a tribunal.
Modi suggested that consensus needed to be evolved among different political parties in all states before attempting an out-of-tribunal settlement. A PMO statement said that “mutual consultations” were the way out for Mahadayi river issue.
Karnataka chief minister Siddiramaiah also asked Modi to convene a meeting of all three chief ministers to find a solution to sharing 7.56 tmc ft of water from Mahadayi to tackle the drinking water crisis in Belagavi and Hubballi – Dharwad. The issue is pending before water disputes tribunal constituted in 2009 whose verdict is expected by this year-end.
On the plight of sugarcane farmers, prime minister Modi said that the fall in sugar prices has impacted farmers across the country and the government was taking several steps to address their issues.
Apart from Karnataka chief minister Siddiramaiah, Congress leader in Lok Sabha Mallikarjuna Karge, union ministers M Venkaiah Naidu, Ananth Kumar and Sadananda Gowda were also present at the meeting.
Source : mydigitalfc.com
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