Rajasthan’s woollen industry, centred in Bikaner, has appealed to the Central government for urgent relief measures after the US administration under President Donald Trump imposed 50% tariffs on Indian goods.
Kamal Kala, President of the Rajasthan Woollen Industry Association, said the sector is under severe pressure and called for immediate government support. He demanded removal of the 33% income tax slab on the wool industry and an increase in carpet duty from 5% to 15%, arguing it would help offset the tariff shock.
“The carpet industry was exempted from income tax till 1996. We need such relief again. Orders are being cancelled, and if the government does not step in, the industry will suffer irreparably,” Kala told ANI.
Kamal Bothra, Vice President of Bikaner Industrial Chambers, also expressed alarm. “Around 60% of the carpet business is dependent on America. With tariffs now at 50%—up from just 9% earlier—production has already been cut from 24 hours to 12 hours a day. Orders are drying up, and jobs are at stake,” he said.
The US tariffs, which took effect on August 27, were raised in two phases: 25% initially and another 25% as a punitive measure against India for purchasing oil from Russia.
Trade experts warn that such steep tariffs will not only hurt wool and carpets but also have a wider impact on sectors such as textiles, chemicals, and machinery, risking long-term losses in the US market.
