Home / Knowledge / News / Textiles / Mixed impact of coronavirus spate on Indian textile sector

Mixed impact of coronavirus spate on Indian textile sector

10
Feb '20
Pic: Shutterstock
Pic: Shutterstock
China’s coronavirus outbreak would affect Indian exporters and importers of readymade garments, cotton yarn, fibres and fabric, with both pros and cons. As the outbreak has done away with the Chinese option for garment importers, mainly in the West, Indian exporters can now target these markets. However, growing yarn exports to China would be badly affected.

With several businesses said to be affected in China due to the coronavirus, the Indian textile and apparel sector should seize the opportunity in global trade, T Rajkumar, chairman of the Confederation of Indian Textile Industry, said recently in Coimbatore.

If China doesn’t produce for 30 days, he said, its main clients in Vietnam, Cambodia, Thailand, South Korea and the European Union could possibly turn to India for buying finished goods, clothing and fabrics, according to Indian media reports.

With India’s textile exports falling in the past couple of years, this surge would help the industry become buoyant, he added.

Chinese buyers generally begin their annual sourcing from Indian exporters in January every year and that has not happened this year. The Southern India Mills’ Association (SIMA) feels India’s exports of cotton, viscose, polyester yarn and fibre to China will be hit.

According to the Cotton Textile Export Promotion Council (TEXPROCIL), India exports 90 million kg of yarn a month and China alone imports 30 per cent from India every month.

European buyers, who normally begin negotiating with the garment exporters of India, Bangladesh and Indonesia for their annual requirements in January at Hong Kong, have cancelled their visit due to the outbreak there as well, said the Tirupur Exporters’ Association (TEA). The exporters have been asked to trade through videoconferencing, and many exporters in India find it difficult to bargain for a better price of their products through that mode, a TEA spokesperson said.

Indian readymade garment exporters also import over ₹1,000 crore worth accessories like buttons, metal buttons, zips, hangers and needles from China as these are nearly 40 per cent cheaper. Though these exporters don’t see any immediate impact, but if the outbreak continues for some time, they need to look at an alternate sourcing of these accessories, which in turn may increase the finished goods cost by 3-5 per cent, according to TEA.

With China further extending its Lunar Year holidays for a week or 10 days, the trade negotiations between China traders and Indian exporters is expected to be further delayed, SIMA feels.

According to the Cotton Association of India, there is no panic now as far as cotton exports to China are concerned.

Fibre2Fashion News Desk (DS)


Must ReadView All

Pic: Shutterstock

Textiles | On 2nd Mar 2021

China plans mega transport network to boost trade, economy

China plans to build a global rapid logistics circle for goods by...

Pic: Shutterstock

Retail | On 2nd Mar 2021

US retail sales projected to exceed $4.33 trillion in 2021:

The National Retail Federation has projected that US retail sales...

Pic: Shutterstock

Apparel/Garments | On 2nd Mar 2021

Garment, hard goods exports in Philippines may hit $2 bn:

Exports of garments and hard goods in the Philippines may reach $2...

Interviews View All

Prabu Mohanram, Balavigna Weaving Mills Pvt Ltd

Prabu Mohanram
Balavigna Weaving Mills Pvt Ltd

The biggest challenge that the weaving industry faces is high price

Top executives, Machinery Company

Top executives
Machinery Company

We will promote latest technologies at ITMA Barcelona

Riddhika Shah, SS Homme

Riddhika Shah
SS Homme

'Worsted wool is the ideal fabric for menswear'

Ravi Kant Prakash,

Ravi Kant Prakash

A crucial role in the process of fabric manufacturing is played by the...

Anupam Chakrabarty,

Anupam Chakrabarty

Headquartered in Finland, Helsinki, Lindström Group is a textile rental...

Poonam Naik Desai,

Poonam Naik Desai

Peekaboo is a sustainable, high quality, luxury sleepwear brand providing...

Giorgio Mantovani, Corman S.p.A

Giorgio Mantovani
Corman S.p.A

Giorgio Mantovani, MD of Corman, with a presence in both Milano and New...

Dr. Rene Wollert, Freudenberg Nonwovens

Dr. Rene Wollert
Freudenberg Nonwovens

Dr. Rene Wollert discusses the current scenario of the global nonwovens...

Marcel Alberts, Eurofibers

Marcel Alberts
Eurofibers

Coating at a fibre level is a practice not usually seen in the...

Sanjukta Dutta, Sanjukta's Studio

Sanjukta Dutta
Sanjukta's Studio

<b>Sanjukta Dutta</b> creates unique garments by clubbing prints of...

Sarah Denise Cordery, Sarah Denise Studio

Sarah Denise Cordery
Sarah Denise Studio

Manchester, England-based Sarah Denise Studio provides relevant fashion...

Igor Chapurin, Chapurin

Igor Chapurin
Chapurin

"Now we can see the Russian trend in international fashion. And Russian...

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

Leave your Comments


February 2021

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


Advanced Search