Indian Texpreneurs Federation held a virtual press conference on Friday to brief the developments in Textile Industry. Prabhu Damodharan, Convenor, ITF chaired the meet and members of the federation took part.
He shared that the market situation of textiles is slowly and gradually recovering. He said that the low-end goods, essential goods and Value for Money Goods are moving well in this situation but fashionable apparels that depended on showrooms in malls are yet to make a recovery.
The export orders are on a medium performance level now but he expressed that the order-enquiry for the next quarter is good. As the impact of COVID-19 is massive, he said the recovery will be gradual. Mr.Damodaran also mentioned that ITF has advised its members to scale-up production only after carefully analyzing the demand.
He said in a press release “as per new definition of MSME, Units with Rs.50 Cr. Investment and upto Rs.250 Cr. Sales are classified as MSME, At the same time for eligibility of loan under ECLGS scheme for MSMEs – the condition is that the Current Loan Amount should be below 25 Cr. Being a Capital and Working Capital Intensive Industry, Lot of companies in Our Textile Sector naturally have more than Rs.25 Cr. as Loans in their books. We appealed to change this condition of Rs.25 Cr., to Rs.100 Cr. With this change – More number of companies will get benefit & this will help in Textile sector revival.”