Home / Knowledge / News / Apparel/Garments / 'High production cost, most challenging' – Mr Channa, CEO, Orit Apparels
'High production cost, most challenging' – Mr Channa, CEO, Orit Apparels
25
Feb '09
Mr Channa Palansuriya
Mr Channa Palansuriya
The CEO of Orit Apparels, the Rs 4 billion company headed by Mr Channa Palansuriya, was very candid when he said that, “The greatest dilemma facing the clothing industry in present times was the high manufacturing costs”. He said this at the annual general meeting of Apparel Exporter's Association held last week.

He added by saying, “Above from the above, the sector was also faced with the challenges of a slowdown in the US and EU economies, along with the issue of renewal of GSP benefits by the EU, but the sector was performing well with growth generated from the EU, while a nominal decline was noticed from the US”.

Divulging statistics, he said, “Total apparel exports showed a growth of 3.5 percent growth in 2008, despite a fall of 5.3 percent in December, when compared with the corresponding periods of the previous year and though shipments to the US recorded a marginal decline of 5.5 percent, those to the EU registered a boost of 10.7 percent”.

He advised the government to devalue the local currency by 15 percent and announce stimulus packages to reduce the negative growth rate in exports from the sector, but added by saying that it cannot be done with current situation of the Sri Lankan economy. He saw a pall of gloom over the sector since 50 percent of exports are destined for the US.

Commenting on the weaknesses of the industry he said, it was afflicted by low productivity, higher dependence on imports of fabrics, lack of designing capabilities and a very high concentration on the markets of the U and the US. He urged the exporters to diversify their markets in order to beat the slowdown in these key markets.

He was also highly appreciative of the government when he said; the government has to be appreciated for its policies like providing a liberal business environment, educated and trainable labour, quality supplies, logistics, and speedy turn around time as well as adhering to compliances, to enable the sector stand apart from its competitors.

Fibre2fashion News Desk - India

Must ReadView All

Apparel/Garments | On 25th May 2017

AAFA reinforces opposition to Border Adjustment Tax

The American Apparel & Footwear Association (AAFA) has reinforced its ...

L-R Manish Singhai, COO, Peter England; Vinai Kumar Saxena, chairman, KVIC; Ashish Dikshit, business head, ABFRL and Anshu Sinha, CEO, KVIC while signing agreement. Courtesy: ABFRL

Textiles | On 24th May 2017

Aditya Birla & KVIC enter into a strategic partnership

Aditya Birla Fashion and Retail Ltd (ABFRL) and Khadi and Village...

Courtesy: Jabong

Apparel/Garments | On 24th May 2017

Jabong Mood Store redefines online shopping in India

Jabong, India's leading online fashion retailer, has launched the...

Interviews View All

Pratik Bachkaniwala
Palod Himson Machines

Fabric processing machines are picking up

Neel Sawhney
One Friday

‘The share of kidswear segment in the online sector is still small in...

Shawn Honeycutt
Bolger & O'Hearn

‘The Indian market is interesting and rather persistent in seeking new...

Iago Castro Asensio
RCfil Distribuciones S.L.

Iago Castro Asensio, International Business Manager of RCfil...

Paolo Ocleppo
Sandvik Hyperion

Paolo Ocleppo, Rotary Cutting Segment manager, Sandvik Hyperion discusses...

Kai Poehler
Voith Paper GmbH & Co. KG

The glass mat industry is growing by five to eight per cent annually. Kai...

Mike Hoffman
Gildan Activewear SRL

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

Jay Ramrakhiani
Occasions Elegance Wear

It is believed that by early 19th century, Varanasi weavers had moved away ...

Rupa Sood and Sharan Apparao
Nayaab

Nayaab, an exhibition meant to celebrate Indian weaves, is in its second...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

news category


Related Categories:
May 2017

May 2017

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

SUBSCRIBE


Browse Our Archives

GO


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search