Surat: The deadlock between textile traders and weavers seems to be here for a bigger trail over transportation cost. Weaving units continue to demand transportation charges from the traders and vice versa. Weavers demand 10 paisa transportation cost per metre cloth.

Both the parties continue to disagree over each other’s business terms during the multiple meetings held by the association of weavers and textile traders in the recent past. In a meeting that was arranged by Federation of Gujarat Weavers Welfare Association (FOGWA) in Utran on Saturday, it was confirmed that traders will have to pay the transportation cost to the weavers against the transportation of the grey cloth they purchase.

40,000 weaving units in and around the city produce four crore metre grey cloth daily.

“There is price rise in all products. We are paying a higher price for the yarn. In almost all products, the buyers pay transportation cost for the product and likewise we are demanding the same,” said Ashok Jirawala, president of FOGWA .

“The traders are not only refusing to pay the transport cost but are also demanding a discount. It is not affordable  for the weavers now as yarn prices too have risen in the recent past,” said Vijay Mangukiya, president of Anjani Industrial Estate, Gothan.

Traders dye, print and make surface ornamentation on the grey fabric purchased from the weavers. Manoj Agarwal, president, Federation of Surat Textile Traders Association (FOSTTA), told TOI, “Earlier, traders used to get discounts and weavers also paid for the brokerage. But after  GST was introduced, they stopped giving discounts and paying the brokerage.”

He further added that weavers now demand traders to bear the transport costs. “It is a matter between buyer and seller and associations have no role to play in it. But if weavers are taking a stand, we have no option but to oppose it,” said Agarwal.

“Textile traders continued business even when discounts were discontinued as  the industry was in crisis. But now, the weavers are making unacceptable demands,” said Devkishan Manghani, advisor in textile trade committee of SGCCI. ..