Home / Knowledge / News / Apparel/Garments / Chennai apparel export units struggle to survive
Chennai apparel export units struggle to survive
Jun '12

Rising labour and power costs, along with stiff competition from Bangladesh, is forcing garment exporting units in the southIndian city of Chennai, famous for woven menswear including the Madras Checks, to struggle for their survival.

“Thirty three leading export-oriented units closed down recently in and around Chennai leading to job loss for approximately 45,000 people,” Mr. Ranjit P Shah, President of the Apparel and Handloom Exporters Association, told fibre2fashion.
“One reason for this is the intense competition from Bangladesh after the Indian Government allowed import of 46 apparel items duty-free into India. Bangladesh has low labour cost and high productivity advantages compared to Chennai,” says Mr. Shah.
“Local retail brands are also importing garments from Bangladesh as it is cheaper to source apparels from the neighbouring country. The cost of production in India is more due to high minimum wage and electricity problems, especially in south India,” he explains.
“To avoid full closure of apparel units in Chennai and surrounding areas, there is an urgent need to lobby with Government to save jobs,” avers Mr. Shah.

Fibre2fashion News Desk - India

Must ReadView All

President Donald Trump; Courtesy: White House

Textiles | On 23rd Jan 2017

US textile industry eager to work with President Trump

The US textile industry is eager to work with President Donald Trump...

Textiles | On 23rd Jan 2017

LyondellBasel expands Texas plant ethylene capacity

US based producer of petrochemicals and speciality chemicals...

Textiles | On 23rd Jan 2017

China’s cotton imports down 39% in 2016

China’s total cotton imports declined by 39.1 per cent to ...tons in...

Interviews View All

Viral Desai
Zenitex Mill Pvt Ltd

Full of green energy

Rashi Menda

Every fifth sale we make on Zapyle is a repeat purchase

Manfred Mentges
Sedo Treepoint GmbH

We see a higher demand in colour management systems, as customers see big...

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Johan Berlin
InvestKonsult Sweden AB

Investkonsult Sweden AB has been buying and selling second-hand textile...

Marcel Alberts

Coating at a fibre level is a practice not usually seen in the...

Ritu Kumar
Label Ritu Kumar

‘Classics will return’ "There are a lot of people wearing western clothes ...

Karan Arora
Karan Arora

Bridal couture created with rich Indian heritage, exquisite craftsmanship...

Sonam & Paras Modi

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies

January 2017

January 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.


Browse Our Archives


Subscribe today and get the latest News update in your mail box.
Advanced Search