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Surat textile units see healthy festive sales

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BS Reporter Mumbai/ Ahmedabad

This festive season Surat-based textile makers are shifting their target market from conventional major destination, Telangana, to other parts including northern and eastern parts of the country.

The industry, despite turbulences in Telangana region, expects to achieve about 70 per cent sale during Diwali and upcoming marriage season.

The industry has also started increasing its efforts to sell goods in Eastern and Northern parts of the country. The industry supplies most of its synthetic ladies textile items and sarees in southern part of the country mainly focusing on Andra Pradesh.

"Our sales were depleting due to trouble in Telangana. This has come at a crucial time, when we anticipate increased business during festivals. But now with our focus spread across country, we are hopeful to have at least 70 per cent sales during Diwali and marriage season thereafter," said an industry source.

 

The Surat-based industry is having an annual turnover of Rs 35,000 crore, with a share of more than 40 per cent in the overall synthetic textile industry of Rs 80,000 crore in India. The synthetic products include ladies dress materials, sarees, shirting and garments.

"The textile industry had started receiving cancellation of orders due to Telangana crisis in Andhra. The despatches dropped sharply and many units had to downsize their production. But now we are looking at other markets including Rajasthan, West Bengal and Bihar for our festive sales," said Yuvraj Desale, president, Surat Textile Goods Transport Association (STGTA).

Meanwhile, he also mentioned that a rise in input costs including synthetic yarn, labour cost and fuel charges hampered the profitability of the industry.

The despatches at present hover in the range of Rs 100-200 crore per day. The festive season starting from September onwards to November-end constitutes about 70 per cent of the industry's total annual sales.

"We have witnessed good demand from Kolkata and anticipate demand rising from Orissa in coming days. With this, presently there is no worry about the crisis in our main market, Telangana," said a trader from Surat.

There are nearly 1500 units engaged in the manufacturing of synthetic textiles in Surat. Surat made Dani and Russian style of sarees and dress materials are acclaimed benchmark varieties, while embroidered dress materials too are high in demand.

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First Published: Oct 07 2011 | 12:02 AM IST

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