There is very good news for India’s garment export hub, Tirupur, as garment exporters are looking at a potential 15 per cent growth for the October-December quarter.
The garment manufactures are expecting international sales for the current fiscal to surpass the previous financial year’s total of ₹25,000 crore.
Also, anti-China sentiment amongst the buyers has will play an important role in a strong revival of demand, reports Times of India.
Favourable INR/Euro ratio is also aiding the traders because the European Union is one of the largest importers of garments from Tirupur. To compound to China’s problem, American embargo on exports from China and knitwear made from Chinese cotton is also proving advantageous for Indian traders and exporters.
Tirupur which is located in the Southern state of Tamil Nadu employs around 6 lakh workers, which includes around 3 lakh individuals who belong to other states. A Sakhtivel, head of Apparel Exports Promotion Council remarked, “Exports are back, with a bang. The growth that we are seeing is here to stay.”
Raja Shanmugham, head of Tirupur Exports Association, said, “exports will enhance 15 per cent by volume and 10 per cent by value in the ongoing quarter but we must remain cautious of the ongoing trends given that certain European nations are witnessing further waves of Covid-19 infections that might impact the Christmas sales.”
Given that 40 per cent of Tirupur’s goods are usually circulated to the local markets, he claimed, “Domestic demand is matching exports. We expect domestic supplies to overtake exports if the present demand continues.”