Textile sector in chaos facing internal & external crisis
27 Dec '05
2 min read
The October 1 fuel price increases saw the prices of premium gasoline and diesel fuel nearly double and that of kerosene triple.
This in the end also leads to higher transportation and labor costs.
Company infrastructure also needs upgrading as the industry still uses the second-hand machines, which is a major hurdle in competing with large cats like China.
The Ministry estimated that the industry would have to at least invest about $5 billion to renovate the old machinery.
Textile players calculated that they require about $100 million for the first phase of the revamping.
This would require the support of the banking sector, which unfortunately remains reluctant to grant loans to textile companies. Not to mention the currently high interest rates.
-Ltd..jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "Thermore (Far East) Ltd.")
.jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "Telangana State Industrial Infrastructure Corporation Limited (TSllC Ltd)")
.jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "Taiwan Textile Federation (TTF)")
