At least 35% of spinning mills and fabric manufacturers in Coimbatore and Tiruppur districts are grappling with a significant decline in orders from the West, impacting their operations.
Despite the price of cotton falling from Rs 1.10 lakh to Rs 60,000, these industries find themselves unable to compete with countries like Bangladesh, China, and Vietnam. The imposition of an 11% duty on cotton imports, along with quality control measures on specific fibre varieties, has exacerbated the situation.
Industry associations, including The Southern India Mills’ Association (SIMA) and the South Indian Spinners Association (SISPA), are calling on the union government to address these challenges. They emphasise the need to remove import duties, ease synthetic fibre norms, and enhance competitiveness in the global market.
The Indian Textreneurs Federation (ITF) stresses the importance of building competitiveness and diversifying products to navigate the intense competition from Bangladesh and Vietnam.
