The spinning sector, considered one of the important segments of the textile industry value chain, is left to fend for itself. What else can one say about the segment which has been struggling with surplus stock due to subdued demand at home and falling exports. The industry has no option but to cut back on production by about 15-30 percent to help keep inventory at a safe level. The government is not coming to the aid of the industry dispite several representations. There is no refund of Central and State taxes and levies under the Rebate of State and Central Taxes and Levies (ROSCTL) scheme. Cotton yarn is ineligible, while garments and made-ups receive refunds. This has only raised the cost of yarn exports eroding their competitiveness. The Merchandise Exports India Scheme (MEIS), introduced in 2014-15 is also not available to cotton yarn. The scheme should be extended to all types of spun yarn, cotton yarn bended yarn and 100 percent non cotton at 5 percent.