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Textile sector showing signs of upturn
Oct '10
After the economic slowdown, the textile sector of the country is again showing signs of upturn though, at present, it is facing the pressure to fulfill the textile requirements of its European clients.

The most important challenge that the country is currently facing is that of locating contract producers. Although it has demands from its clients, yet facilities to manufacture the textiles are lacking. The orders can be passed over to those units, which still possess the machinery but have no workers, as the customers are prepared to shell out money for restarting the machines.

The textile industry is currently functioning at its optimum capacity and is also in a position to select its customers. In spite of the challenges, the present scenario has extended several opportunities of exporting textile products to the producers, who had never exported their produce earlier during the recession.

It is the most appropriate time when the textile producers can resume their business as currently the profit margins are also quite high. For an instance, the cost of a blouse has increased to 1.65 liras from 0.65 liras earlier.

A 12.3 percent year on year rise in exports has been registered in September, 2010 by the textile sector.

Fibre2fashion News Desk-India

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