News & Insights

In Gurugram and Faridabad, the $3 billion textile export industry has been affected by the European lockdown.

Published: April 7, 2021
Author: Manali bhanushali

The textile export industry of Gurugram and Faridabad, which is still struggling to recover from its economic woes, has been struck by the pandemic once more. With the Covid crisis escalating in European countries like Spain, Germany, and France, and subsequent lockdowns, the $3 billion industry is facing a setback, with approximately 60% of orders being cancelled or decreased.

Over 1,800 export units in Faridabad and Gurugram thrive on garment production for units in Germany and France and according to the unit owners they have been asked to hold on to shipments or reduce the agreed quantity of winter clothes produced or the orders have drastically gone down, spelling a doom for them.

“We all are worried as we are mostly dependent on European countries. The number of orders are way less than what we get annually and the customers are not ready to even lift the finished products. Despite the industry being hit by the lockdown and the migration of workforce last year, we had expected to revive ourselves this year but all in vain. From May till August it is a lean period for our industry if the situation continues many ancillaries or small units dependent on us will be affected,” said Animesh Saxena, president of Udyog Vihar Industries Association.

“Cases are rising here also and we are expecting stringent curbs and restrictions. There is panic among our workforce and another migrant exodus may be the last nail in the coffin. We have appealed to the government to keep industries in the loop and consider while planning any curbs or restrictions,” added Navneet Goel, a garment exporters’ representative from Faridabad.

The rise in Covid cases in Delhi NCR, as well as speculations of restrictions and curbs, are driving exporters to the brink, according to the exporters.

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