The $15 billion garment export sector faced a big blow as many states in India announced lockdown and restrictions on industries due to the Covid-19 pandemic.
Browsing: Clothing Manufacturers Association of India
Manufacturers in the garment industry fear the problem of dead inventory due to order cancellations and contemplate the reduction of workforce. More than 20% believe the industry will begin to recover only in 2022.
The Clothing Manufacturers Association (CMAI) of India has urged the Centre to reduce GST on all readymade garments to 5 per cent from 12 per cent and retain the same on all types of cotton yarn, synthetic yarn, fabrics and made-ups.
Home textiles have been a major part of global textile trade and it comes as no surprise. The ever-improving economic status of people supported by various modern financial innovations has enabled families to invest higher amounts into the home textiles segment.
Covid-19 virus that has thrown the economic activity out of gear across the world has also halted the Indian textile industry to a grinding halt.
There could be as many as one crore job cuts in the textiles sector, which has been severely hit by the ongoing lockdown, if there is no support and revival package from the government, according to apparel industry body Clothing Manufacturers Association of India (CMAI)..
While the Covid-19 pandemic has completely halted production and new orders, exporters say that payments have also been delayed for the shipments sent before the lockdown.