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Surat Textile Industry: Many global and local brands, that used to buy textiles from Bangladesh, are now looking towards Indian manufacturers to meet their demand. These brands are becoming uncomfortable with the ongoing instability in neighboring country Bangladesh. According to textile businessmen of Surat, they are getting inquiries from such brands for the production and supply of ready-to-wear garments. If these inquiries are converted into orders, then they estimate that the growth of Surat's garment sector can increase from the current 12% per year to 20-25%. Also, textile centers of Tamil Nadu, Punjab, and Noida can also benefit from new orders.
Bangladesh is the second-largest exporter
Bangladesh is the second-largest exporter of readymade garments after China but is heavily dependent on fabric supplied from India's textile hub Surat.
As big brands look for alternatives to Bangladesh amid growing political instability and law and order issues as well as unrest among workers in the garment industry, this could be a big opportunity for Indian companies.
What all things are produced in Surat
Ashish Gujarati, former president of the South Gujarat Chamber of Commerce, said Surat's garment sector has mainly been producing ethnic wear, kurtis, and low-priced women's apparel, and some denim, ET reported.
He said there has been a significant increase in inquiries from big brands since the crisis began in Bangladesh, which will definitely benefit the sector in a big way.
Monthly turnover of Rs 600 crore
Surat currently has a monthly turnover of about Rs 600 crore. Surat deals mainly in man-made fiber, but cotton hubs in Tirupur and Coimbatore in Tamil Nadu, Ludhiana in Punjab, and Noida in Uttar Pradesh are also expected to benefit from the upheaval in the neighboring country.
"Although we will see some gains in the short term, if the situation is leveraged well, we will be able to see good growth in the garment manufacturing sector," Gujarati said.
