Home / Knowledge / News / Apparel/Garments / Forex woes of Indian apparel exporters
Forex woes of Indian apparel exporters
May '08
The picture isn't clear as yet but it seems that the rise in the Rupee over the last two years or so resulted in many apparel exporters getting into some of those exotic currency deals. It seems that some of the more aggressive banks persuaded apparel exporters to sign some cross currency swaps that could offset losses suffered by them because of the weak dollar.

Most of such exporters have been taken aback by the sudden surge in the dollar and are now faced with a double whammy. While the Rupee has not depreciated adequately against the dollar, the currency cocktails they had bought as a hedge have turned sour, the end result being losses on both the fronts.

Stories of several of Tirupur's knitwear exporters having burnt their fingers in currency trading are doing the rounds. The extent of their exposure isn't known but amounts involved are not insignificant by any standards. Possibility of textile and clothing exporters in other centres also having suffered similar losses cannot be ruled out.

Much would depend upon how the dollar performs against major currencies such as the yen and the Swiss franc, besides the euro and the pound, over the next few weeks. Should the surge continue, there may be significant upheaval in the industry.

Fibre2fashion News Desk - India

Must ReadView All

Union textiles minister Smriti Irani addressing at the Texprocil Annual Export Awards. Courtesy: PIB

Textiles | On 22nd Oct 2016

Govt to extend special package to home textiles segment

The Central government is likely to extend the recently approved Rs...

Reebok Liquid Speed Grey. Courtesy: Business Wire

Apparel/Garments | On 22nd Oct 2016

Reebok’s Liquid Factory brings sneaker creation to US

Reebok, a pioneer in the sporting goods industry, has brought sneaker ...

Courtesy: GHCL

Textiles | On 22nd Oct 2016

GHCL to invest Rs 67.25 crore in textile division

Chemicals and textiles firm GHCL will invest Rs 67.25 crore in its...

Interviews View All

Vasanth Kumar
Max Fashion India

‘Traditional high-street retailers are now willing to offer franchisees to ...

Siddharth Biyani
Mangalam Industries Pvt Ltd

‘The manufacturing sector is improving day-by-day, becoming better in...

Anvita Mehra
Confidential Couture

‘It is going to take some time for Indian buyers to get accustomed to...

Urs Stalder
Sanitized AG

Urs Stalder, CEO, Sanitized AG, talks about the increasing use of hygiene...

Eric Scholler

The Indian market has huge potential in technical textiles, and by far,...

Larry L Kinn
Suominen Corporation

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

Mike Hoffman
Gildan Activewear SRL

Gildan Activewear, a manufacturer and marketer of branded clothing and...

Prathyusha Garimella
Prathyusha Garimella

Hyderabad-based designer Prathyusha Garimella is known for blending...

Silvia Venturini Fendi
Fendi s.r.l

"Yes, my confidence and positive attitude are my strengths and should be...

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

October 2016

October 2016

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


Browse Our Archives


Advanced Search