Seeking government intervention to stabilise yarn and fibre prices, manmade fibre (MMF) textiles exporters said this had badly impacted exports which had declined sharply in the last two quarters.
Addressing a press conference here on Monday, Synthetic and Rayon Textiles Export Promotion Council Chairman V. K. Laida said the prices of polyester yarn had gone up by 40 per cent since October last.
The feedback from the industry confirms that the manufacturers were faced with acute non-availability of fibre and yarn, coupled with erratic and unreliable supplies, he added.
“This is making difficult for the exporters to plan their shipments and to adhere to the delivery schedules committed to overseas buyers,'' he said.
Unlike most other sectors of Indian industry and export segments, the MMF textile sector was resilient to the recent global financial crisis and even achieved positive growth until recently.
But now MMF textile exports were faced with the worst ever crisis due to a number of factors. Exports declined by one per cent to Rs.3,852 crore during April-June 2010-11 from Rs.3,898 crore in the corresponding period last year. It further worsened as exports dropped by around 20 per cent to Rs.3,464 crore in the second quarter of this fiscal as compared to Rs.4,910 crore during the same period of the last fiscal.
Keywords: textile industry