Garment units in Tiruppur plan meeting with textile mills on Sept. 9 to address yarn price issue

Garment industry associations in Tiruppur plan to have a meeting with textile mill associations on September 9 to address the issue of rising yarn prices.

Accordingt to R. Dhamodharan, secretary of the South India Hosiery Manufacturers Association, representatives of nine associations of Tiruppur, including the job workers, had a meeting on September 2 at Tiruppur. “Increasing yarn prices are a growing concern for the garment industry. We had represented to the government, along with the mills, the need to remove the Import Duty on cotton. The government has done so till October. But, we are not getting the benefit of it,” he said.

Prices of cotton yarn spun in Tamil Nadu is ₹18 to ₹ 20 a kg higher than that of mills in Gujarat. Textile mills in Gujarat largely focus on exports and the garment units in Tiruppur and the fabric makers buy yarn mostly from the mills in Tamil Nadu. Cotton yarn is expensive compared with polyester yarn and if the yarn is from the mills in Tamil Nadu, it is more expensive, he said.

Hence, the associations have constituted The Joint Committee of Tiruppur Textile Cluster and invited four textile mill associations for a meeting on September 9. “We want to discuss this issue with the mills directly, see how we can arrive at a solution, and represent to the Central and State governments,” Mr. Dhamodharan told The Hindu.

The value of cotton yarn exported by the mills in India to China in the first quarter of last financial year was ₹348 crore and it was ₹1,668 crore this year. Similarly, yarn exports to Vietnam in April – June of 2025 was ₹263 crore as against ₹500 crore this year. So, there is a huge jump in yarn exports from India. The Indian garment industry’s competitiveness is affected because of this, he added.