TN powerlooms decide to slash production by 50% amid rising cotton price

Tirupur, May 9 (KNN) Due to hike in cotton price and drop in demand, powerlooms in Tamil Nadu have decided to bring down the production by 50 per cent for 15 days. 

This will coincide with garment units in Tirupur district going on strike from May 16 to 21 to protest against the rising prices of cotton yarn.

K Murugeshan, mentor of Tamil Nadu Textile Entrepreneurs’ Association has said that this will impact processing houses in Ahmedabad as from Thursday, around 2.5 lakh looms cut down production by 50 per cent for 15 days. 

Around 1 crore metres of grey fabric to Ahmedabad daily for processing, he said. 

With an increase of Rs 40 per kg for May, Former chairman of Powerloom Development & Export Promotion Council Bharat, Chhajer said the decision to cut production made by the South Indian powerloom players will impact our spinning and processing industry which will eventually hurt exports. 

Chhajer urged the government to ban cotton yarn and cotton export temporarily so that supply to the local market can improve.  (KNN Bureau)