Probe the reasons for yarn price hike: OPS to Stalin

Chennai, May 16

The Tamil Nadu government has the responsibility to probe into the reasons for increase in yarn prices despite the reduction in taxes, said former Chief Minister and AIADMK Coordinator O.Panneerselvam on Monday.

He also said the state government has the responsibility to find out the people who are hoarding the cotton to create an artificial scarcity resulting in the price increase.

Panneerselvam said the Central government has removed import duty on cotton and halted the hike in goods and services tax (GST) to 12 per cent on textiles.

The garment industry expected the cotton prices would come down due to these measures. But on the contrary, prices of cotton and yarn have gone up, he said.

According to Panneerselvam, Chief Minister M.K. Stalin, if need be, should discuss with the Central government and take steps to reduce the yarn prices.