Tirupur garment exporters upbeat on business prospects

L N Revathy Coimbatore | Updated on April 29, 2014

Higher costs in China and non-compliance of factory norms in Bangladesh give India an advantage

Exporters in the knitwear hub of Tirupur are gung-ho about business prospects.

With exports surging to ₹17,817 crore in the just concluded fiscal after stagnating at around ₹13,000 crore for almost three years in a row, exporters are now confident of the country’s prospects on the garment export front.

FTA with EU

Índia will emerge as the number one country in export of garments in the near future if the new government that comes to power at the Centre clinches the free trade agreement (FTA) with the European Union, which has been delayed by administration and technical hurdles, said the past Chairman of the Apparel Export Promotion Council and President of Tirupur Exporters’ Association A Sakthivel.

India Knit Fair

Briefing reporters about the 38{+t}{+h} edition of India Knit Fair – Spring/ Summer Collection 2015, scheduled between May 7 and 9 at Tirupur, he said around 75 buyers and 120 buying agents are expected to attend the Fair.

The fair will be inaugurated by Zohra Chaterjee, Secretary, Union Ministry of Textiles.

Referring to the achievements made on the export front, he said, “We have achieved 30 per cent growth in rupee terms compared with last year,” without quantifying the volume.

Advantage India

He attributed the achievement to increased manufacturing cost in China and non-compliance of factory norms in Bangladesh.

“More than 95 per cent of the factories in Tirupur adhere to the importers compliant norms very stringently,” he said, adding that the fall in rupee value and increased purchasing power in the EU market have also helped increase export turnover from this region.

Further, revival of the US market and penetration into newer territories such as Japan, Australia and South America have helped improve India’s garment export prospects.

Published on April 29, 2014

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