TIRUPPUR: Trade unions in Tiruppur have urged the central government to take action on a war footing to protect workers and the knitwear business from the likely impact of high US tariffs imposed on Indian goods.
A consultative meeting of trade unions held in Tiruppur on Saturday discussed the issues faced by the Tiruppur knitwear sector and the workers who depend on it due to the 50% tariff imposed by the US. Various resolutions were passed in the meeting; in particular, one demanded the central government to allocate a special fund and provide incentives for exports in line with the increased tax burden.
Financial support through more bank loans should be provided to meet the export credit needs of exporters. Interest concessions and credit assistance will help them overcome the impact of US tariffs and compete in the international market, the unions stated.
The government should create trade opportunities for exports to other countries. Steps should be taken to strengthen the domestic market. In order to protect the Tiruppur knitwear sector, the domestic market should be protected by imposing taxes on textiles and clothing imported from Bangladesh.
Steps should be taken to provide relief to workers who lose income due to job loss, the unions demanded.
Speaking to TNIE, N Sekar, General Secretary of Baniyan Union of AITUC, said, "Tiruppur is an important hub for the production and export of ready-made garments internationally. Last year, the trade was up to Rs 44,000 crore. Of this, goods worth about Rs 15,000 cr were exported to the United States. The US tariff hike will severely affect the knitwear sector in Tiruppur. Thousands of knitwear factories are at risk of shutdown and lakhs of workers may lose their jobs. Therefore, the central government must immediately take action on a wartime basis to protect workers and businesses. The government should take steps to protect the textile industry, including the knitwear sector."
"We have decided to send a letter in this regard to the Prime Minister, Finance Minister, and Textile Minister through the District Collector on Monday," he added.
K Ramakrishnan, General Secretary of Baniyan Union of LPF, led the meeting. Key functionaries of trade unions, including LPF, AITUC, CITU, INTUC, HMS, ATP, MLF, BMS, Dand TMS, attended.