The upcoming festival season and export opportunities emerging from the crisis-ridden textile sectors in neighboring countries may help the textile industry in India battle the declining global demand. “Textile industries of Bangladesh and Sri Lanka are in complete boredom both on account of political instability and their complete reliance on exports for survival. This is a great opportunity for the Indian textile industry” said, Chintan Parikh, chairman of Ahmedabad-based Ashima Group.
In this situation, textile players in India forecast huge opportunities on the export front too. “The USA and Western European nations are exploring alternatives post the Covid-19 outbreak in order to reduce their exposure to Chinese exports. Sri Lanka and Bangladesh garment industries, too, are in deep trouble. Fortunately, the Indian textile industry will be able to tide over the problem of slowing global demand due to a huge domestic buying in the coming festive season,” Parikh added.
“As far as intermediate and low-cost textile products are worried, there would be a huge domestic demand. However, high-end textile product makers will have to wait for an improvement in global demand,” said, Chintan Thaker, chairman, Assocham Gujarat. He also feels the upcoming festive season would definitely help the Indian textile industry to overcome the challenge of muted global demand by the end of the third quarter of the current financial year.
All these factors are directly connected with the exports of high-end textile products ranging from fabrics, garments, bedsheets, and towels. Hopefully, things will start improving once the fresh arrival of cotton starts in October and prices of the important input for the textile industry would become affordable,” Thaker added.