Branded garment retailers up in arms

The budget proposal of a 10% hike in excise duty has left branded garment retailers high and dry. Rachit Vats reports.

The budget proposal of a 10% hike in excise duty has left branded garment retailers high and dry.

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To protest against the government’s decision, players such as Shoppers Stop, Provogue, Pantaloon and others (translating into around 600,000 large and small shops) have decided to shut shops on March 7.

Retailers are demanding a rollback of the proposal. “The government is encouraging imports and in the process killing the domestic market. The garment industry is not a high-margin sector and is already reeling under price pressures.

Garments are expensive because of the hike in raw material prices and this will add to clothing inflation,” said Viren Shah, president, Federation of Retail Traders Welfare Association.

“As of now all Shoppers Stop stores will be shut on the designated day. The entire industry is joining this protest,” said Govind Shrikhande, managing director, Shoppers Stop.

Others too are voicing similar thoughts.“The government’s move is harsh and we are completely supporting this protest,” said Nikhil Chaturvedi, managing director, Provogue.