Surat's MMF sector that contributes to around 40 per cent of nation's MMF fabric demand with daily production of MMF fabric in the city pegged at four crore meter has been facing issue over import of under invoiced Chinese fabrics, which resulted in around 45 percent of the weaving units-around over three lakh powerloom machines have shut down in the last three months.
This has been due to dumping of under-valued Chinese fabrics at the cost less than Rs8 per meter. In the last one year, nearly around eight crore meter of Chinese fabrics have been dumped in various parts of the country.
During the recent visit of Union commerce minister Nirmala Sitharaman to Surat, their issue has been finally heard at the top level.
The Ministry of Textiles, Government of India, has asked the textile commissioner to gather details on the state of Surat's man-made fabric (MMF) sector from the textile associations and Southern Gujarat Chamber of Commerce and Industry (SGCCI).
Industry sources said that the textile commissioner's office has sought data on the number of powerloom units closed in the last few months, decrease in the production of MMF, workers rendered jobless, production of yarn and finished fabrics.
Pandesara Powerloom Weavers Federation (PPWF) president Ashish Gujarati said that in Pandesara GIDC, only 70 percent of the weaving units are operational at the capacity less than 60 percent, while the rest have shut shops. Around 90 percent of the units are not getting job-work from the traders. All the individual weaving associations in the city have been asked to submit details to the textile commissioner's office. They have already sent the report.
South Gujarat Textile Processors' Association (SGTPA) president Jitu Vakharia said that due to Chinese fabrics and depleting demand of polyester fabrics in the country, most of the textile dyeing and printing mills are without job-work.
Due to the shutdown, there would be around 1.5 lakh workers who are currently jobless. Most of them have moved out of the city to their hometowns in Bihar, Uttar Pradesh and Odisha.
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