Home / Knowledge / News / Textiles / Demonetisation hurdle hits textile & apparel sales
Demonetisation hurdle hits textile & apparel sales
12
Nov '16
The Central government’s decision to withdraw Rs 500 and Rs 1,000 denomination notes has severely affected the textile and apparel trade in India. A large number of textile traders and manufacturers are worried over the sudden drop in sales of textile apparel. The traders are however hopeful of catching up with the business in coming weeks.

“We are into seasonal business of selling winter wears. The first fifteen days of November are crucial. The scrapping of old notes of Rs 500 and Rs 1,000 has affected us tremendously. Last year, the sales of winter clothes were not good, we were hopeful of good sales this year. With the prevailing situation, chances are high that we will miss the sales this year as well,” Sudershan Jain, president of Knitwear and Apparel Manufacturers Association of Ludhiana, told Fibre2Fashion.

Expressing concern over the sudden dip in sales of garments, Chainroop Banthia, president of Mumbai based The Fabric Suppliers’ Association, said, “The situation is critical and I do not know how to do business in such a situation. We hope that the condition improves in the coming weeks.”

The textile trade representatives are hopeful that the sales will pace up once the money circulation begins in the market.

“The demonetisation of Rs 500 and Rs 1000 has affected the retail industry like all other industries. The government’s initiative is great for the long run, but our sales both traditional and online have taken a hit due to this. Our COD system stands affected by the sudden change in policy. However, we are hopeful that the situation will normalise in due course of time,” said Vivek Mehta, CEO, MAS Brands India and amanté.

“This a temporary phase. Most of the people in the urban areas do shopping through online or via credit/debit cards. A number of shops in the market are doing business on credit. Hence, it is unlikely that the sales would have affected adversely. Though, door-to-door sales may face a problem,” said Atul Mishra, economist with Confederation of Indian Textile Industry.

“The market will do brisk business once the inflow of money begins. For time being, there is stagnancy in the market. The recovery will take months,” said Jitendra P Vakaharia, president of South Gujarat Textile Processors Association. (RR)

Fibre2Fashion.com – India

Must ReadView All

Textiles | On 10th Dec 2016

India’s 2016-17 cotton import to touch 17 lakh bales

The import of cotton from international markets by spinning mills in...

Textiles | On 10th Dec 2016

US textile & apparel imports fall 6.50% in Jan-Oct ’16

The import of textiles and apparel by United States dropped 6.50 per...

Textiles | On 10th Dec 2016

Indian textile hubs adopt cashless payment modes

The textile ministry is promoting cashless payment within the...

Interviews View All

Mukesh Agarwal & Rajesh Agarwal
Madhuram Fincap Pvt Ltd

Increasing prices and lack of demand main issues facing industry

Jim Desai
Blaiva Fabricaa

Fashion industry likely to remain labour-intensive in coming years

Karan Toshniwal
Orange O Tec

Contemporary industry is paying more and more attention to the...

Lynda Kelly
Suominen Corporation

Suominen Corporation is a manufacturer of nonwovens as roll goods for...

Urs Stalder
Sanitized AG

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

Paolo Ocleppo
Sandvik Hyperion

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

Silvia Venturini Fendi
Fendi s.r.l

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

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

Bani Batra

Bani Batra’s couture wedding collection is inspired by traditional Indian...

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
December 2016

December 2016

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

SUBSCRIBE


Browse Our Archives

GO


Advanced Search