Tiruppur Anticipates 20% Growth in Garment Exports Amidst Global Challenges

ENA Sectors 2024-09-02 16:52:55 Tiruppur, Sep 2 (KNN) Tiruppur, the renowned textile hub in Tamil Nadu, is set to experience a significant boost in garment exports this financial year, with projections indicating a 20 per cent increase. A. Sakthivel, chairman of the India Knit Fair Association, revealed these optimistic forecasts during a press briefing on Friday in Tiruppur. According to Sakthivel, garment exports from Tiruppur were valued at Rs 33,500 crore in the last fiscal year. This year, the figure is expected to rise to Rs 38,000 crore. Despite ongoing geopolitical tensions, including the conflicts in Ukraine and Israel, Tiruppur's export performance remains robust. Sakthivel noted that recent months have shown a promising upward trend, which he expects to continue. Sakthivel attributed part of this growth to the diversification of yarn sources by local manufacturers, who are now sourcing materials from various regions within India. This strategic shift has played a role in maintaining the steady growth of exports. However, Sakthivel also highlighted challenges, particularly from Bangladesh. While recent developments in Bangladesh have not directly increased orders for Tiruppur, the cost advantage for buyers sourcing from Bangladesh—due to its duty-free access in multiple markets—has impacted competitive dynamics. Sakthivel emphasised that a forthcoming free trade agreement between India and the UK, as well as with the European Union, could offer a similar cost advantage and further enhance Tiruppur's export prospects. In light of these challenges, Sakthivel urged the Indian government to address the influx of garment imports from Bangladesh, which he believes is adversely affecting the domestic market. Moreover, Sakthivel assured that Tiruppur's garment exporters are well-prepared to comply with the Environmental, Social, and Governance (ESG) requirements of European buyers in the near future, positioning themselves strategically for continued success. KM Subramanian, president of the Tiruppur Exporters Association, also weighed in, reporting a 10 per cent increase in exports over the past three months. Subramanian highlighted that nearly 90 per cent of exporters have benefitted from the rising demand, underscoring the sector's resilience and growth potential. As Tiruppur navigates these complex global dynamics, the region remains optimistic about its export growth, driven by strategic adaptations and a strong market presence. (KNN Bureau) 39142 https://knnindia.co.in/news/newsdetails/sectors/tiruppur-anticipates-20-growth-in-garment-exports-amidst-global-challenges 2024-09-02 16:52:55 knnindia.co.in Tiruppur Anticipates 20% Growth in Garment Exports Amidst Global Challenges