Govt must take apt measures to tackle global recession

05 Dec '08

2 min read

As the claws of recession began to tighten its grip, world's richest economies started crumbling. The growth pace slowed down when the global market entered into a major down turn.

The US and EU being the major consumers of garments, this decrease in demand is creating difficulty for the industry to endure the losses. The threat of unemployment is looming large in people's lives.

Mr Akshay Kumar, National Manager, Madeira India Pvt Ltd, while speaking exclusively to Fibre2fashion.com, shared his views on the current critical scenario and its impact on domestic as well as international market.

He said, “The Global recession has started taking grip on the Garment Industry too. Recently I was talking to the leading buyers from USA & EU; all are either downsizing the order or delaying the same. The net resultant of delayed orders for Spring/Summer '09 is around 30 - 40 percent. It will worsen in future, if corrective measures are not taken on time.

“In respect to Indian exporters - they are feeling heat of lower order as well as the transfer of order to Bangladesh and Vietnam as low cost garment producing country as compared to India.”

Mr Akshay Kumar went on saying, “The next quarter will really show the impact of the global recession. Indian Government should prepare itself to tackle the situation by taking appropriate policy measure like reducing import duties, giving more incentive to exporters. I hope the situation will not worsen in year 09 & the world will come over with recession impact soon.”

Madeira is a top player in the embroidery threads industry. The Company has its own team for quality control. This group of competent specialists sequentially checks and tests raw materials in use as well as production processes, according to the most sophisticated criteria applying latest technologies.

Fibre2fashion News Desk - India

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