Punjab Knitwear, Textile units Oppose Cotton Export Policy.

Chandigarh: Over 1,000 Ludhiana-based knitwear and textile units have come out against the cotton export policy of the Union government.

The knitwear and textile manufacturers under the umbrella of a registered organisation “Knitwear Club” have sent a memorandum to Union commerce and industry minister Anand Sharma saying, “It looks that our cotton export policy is more concerned about the welfare of our neighbouring countries and a few cotton exporters of our country. Our economy suffers badly at the cost of low garment export”.

“It will not be out of place to mention here that knitwear and textile industry is the second-largest segment after agriculture, as it absorbs highest number of employees in the industry despite stiff competition at the international level. Almost every dyeing and knitting unit is going through the recessional phase due to the shortage of cotton yarn,” Vinod K Thapar, president of the Knitwear Club told FE .

Knitwear Club is an association of more than 1,000 members of manufacturers and traders of hosiery goods. The organisation has been incorporated for the growth of the knitwear and textile units in the state.

Narinder K Miglani, general secretary of the Knitwear Club told FE that the government should monitor the quantum of cotton arrivals and assess the domestic requirement before allowing exports. First the government should ensure enough cotton for the local markets to safeguard the livelihood of crores labours associated with the knitwear and textile industry, he said.

Meanwhile, hosiery knitwear season has started in Ludhiana. Customers from Delhi, Haryana, Jammu and Kashmir, Uttar Pradesh and Bihar are purchasing goods for the winter. The manufacturers say that rise in prices has hit the sales with increase in cotton prices from Rs 22,000 per bale last year to Rs 41,000 per bale this year.

The rise in prices of cotton yarn and acrylic yarn has a clear effect on business of hosiery and knitwear products as acrylic is now costlier by Rs 100 per kg. Blended yarns cost Rs 400 to Rs 450 a kg, said Thapar.

Source : financialexpress.com