With several businesses said to be affected in China due to the coronavirus, the Indian textile and clothing sector should seize the opportunity in global trade, T. Rajkumar, chairman of the Confederation of Indian Textile Industry, said.
“We expect China will take 3-4 more months to return to normalcy [following the outbreak of the coronavirus]. Indian textile and clothing exporters should be aggressive and tap overseas orders that will shift from China,” he told mediapersons here.
Higher orders expected
“We hear that several businesses have been hit in China, especially during the last one week. Indian exporters are beginning to get enquiries from importers in different countries as they cannot source from China now.
“I expect higher orders for apparel and made-up exports from India even before the end of this financial year,” he added. Countries such as Bangladesh that are strong in garment exports may also face challenges as they import raw material. For Indian exporters, the entire textile value chain is available. They should reach out to buyers and tap opportunities, he said.
On the announcements in the Union Budget, Mr. Rajkumar said that abolition of anti-dumping duty on PTA would lead to 20-25% of textile mills switching over to synthetic yarn production from cotton. The anti-dumping duty on PTA was $26 to $160 a tonne depending on the country from where it was imported.
With removal of the anti-dumping duty, the raw material for production of MMF (man-made fibre) will be available at international price. At present, cotton yarn production in India is higher than synthetic yarn. Several mills will move to MMF now, he said.
Textile Secretary Ravi Capoor will visit Coimbatore on February 12-13 and hold meetings with representatives of textile associations from the southern State, Mr. Rajkumar said.