The Indian cotton-spinning sector is in dire straits and is facing a crisis not seen in the past one decade, according to an apex body representing the industry.
‘The space vacated by China is largely occupied by the least developed countries’.
The textile value chain, particularly the cotton-based manufacturing value chain, in India is facing liquidity issues due to slowdown in demand, according to Indian Texpreneurs Federation (ITF). If the situation continues, there may be a need for converting short-term loans in textile manufacturing sector to long-term.
Export earnings in July increased by 8.55 per cent, totalling USD 3.88 billion, compared to the same month in the previous fiscal year, thanks to higher shipments of apparel products that registered a growth of 9.7 per cent in the first month (July) of FY 2019-20.
New rules have been implemented to ensure companies pay MSMEs on time. The guidelines added that the ministry will reserve the right to penalise defaulting entities.
Ludhiana, August 20, The textile industry is passing though its worst phase in the past decade, said Munish Bagrodia, president, Northern India Textile Mills Association (NITMA).