Home / Knowledge / News / Textiles / North Indian spinning mills mull once-a-week shutdown
North Indian spinning mills mull once-a-week shutdown
Aug '15
Textile spinning mills affiliated to the Northern India Textile Mills' Association (NITMA) are considering cutting back production and shutting down their mills once a week against the current trend of operating a mill 24x7.

In a press release, NITMA said the decision to take this step has come in the wake of domestic excess spinning capacity in the country and poor demand for yarn from overseas markets leading to accumulation of yarn stocks and poor liquidity.

Sharad Jaipuria, president of NITMA said, “States like Madhya Pradesh, Gujarat, Maharashtra, Rajasthan, Andhra Pradesh and Telengana are attracting new investments in spinning due to their new textile policy, which is loaded with incentives and sops and thereby adding more than required capacity in the country. Tamil Nadu too is going to announce a new textile policy soon.”

“On the other hand, China which was a major importer of Indian yarns for the past few years, has cut-down imports in the past few months, thus worsening the situation, leading to accumulation of yarn stocks in Indian spinning mills,” Jaipuria observed.

H.S Cheema, senior vice president, NITMA stated, "The spinning industry is under crisis and the situation is moving from bad to worse and spinners are making losses. We are therefore considering various options to reduce our daily production, including closing the plant for one day in a week.”

Additionally, to add to the woes of the textile mills, TUFS reimbursements are pending for cleared cases from the July-September 2014 quarter. The government has also reduced allocation for TUFS from Rs 1,864 crore to Rs 1,520 crore in the 2015-16 budget.

The NITMA also blamed the Cotton Corporation of India (CCI) partly for its woes. It said that while CCI sells to Central, Western and Southern India, from their godowns in the respective regions, spinning mills in Northern India have to pay higher cotton transportation charges than their counterparts in these regions. This has also added to the cost of running textile mills in Northern India. (SH)

Fibre2Fashion News Desk – India

Must ReadView All

Mike Preston, executive director of the Arkansas Economic Development Commission (AEDC), signing MoU with Tang from Suzhou Tianyuan Garments company. Courtesy: Government of Arkansas

Apparel/Garments | On 21st Oct 2016

Suzhou Tianyuan to open $20 mn garment factory in US

Suzhou Tianyuan Garments company, a Chinese manufacturer of casual...

Textiles | On 21st Oct 2016

Pakistan’s textile exports fall 5.96% y-o-y in Q1 FY17

The value of textile and garment exports made by Pakistan decreased...

Textiles | On 21st Oct 2016

ITMA Asia + CITME 2016 opens with record exhibitors

The fifth ITMA ASIA + CITME 2016 exhibition opened today in Shanghai, ...

Interviews View All

Sanjay Yagnik
Maa Tex Speciality

‘We suggest reducing dosage of sizing chemicals to reduce sludge...

Yash Agarwal
Hitansh Online

Every market region has its own culture and trends

Riddhika Shah
SS Homme

'Worsted wool is the ideal fabric for menswear'

Kevin Nelson

Kevin Nelson, Chief Scientific Officer, TissueGen discusses the growing...

Steve Cole
Xerium Technologies

Steve Cole of Xerium Technologies discusses the industry. Xerium is the...

Lynda Kelly
Suominen Corporation

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

Jay Ramrakhiani
Occasions Elegance Wear

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

Mike Hoffman
Gildan Activewear SRL

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

Tony Ward
Tony Ward

"You have to truly understand what your client wants, know her needs, what ...

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