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Textile Export: Trump fee boon for Tirupur's dress – Textile Export Trump Duty a Boon for Tirupurs Garment Industry


The sounds of spinning and weaving, which are often rejected as a noise of clothes, are music for Tirupur's ears. Outsiders may have the smell of dyeing, chemicals emanating from printing there, but for the local people, it is the fragrance of their economy, which has been going on for thousands of years. For example, it is said that Kodumanal, a nearby village, dressed in ancient Rome 2,500 years ago.

Earlier this month, when US President Donald Trump announced the imposition of retaliation, many people felt that after this, the story of Tirupur would be over, since it was still overwhelmed by the global epidemic. Instead, the roads of Tirupur have become even more alive for the last two weeks. Agents are seeing a strong increase in information related to shopping and order and most manufacturers are also gearing up to expand the business to fulfill this new wave of demand. After all, what is the reason for this sudden change.

Experts say that countries like China, Vietnam and Bangladesh have imposed heavy counter -duty on countries and that is why buyers are now turning to trusted suppliers of Tirupur. Sources said that India has received only 10 to 15 percent of the orders received by China and most American customers are seeking delivery within 90 days. If this situation continues, then this year there may be a 20 percent increase in exports from the city.

The largest cluster of costumes in India is Tirupur. It holds 90 per cent stake in the country's cotton cloth exports and about 55 per cent in total woven clothing exports. A micro, small or medium unit runs in every house almost in the city. Buyers from all over the world have increased interest at a time when the city has acquired revenue from the largest exports of Rs 40,000 crore in the year 2024-25, which was strengthened by political uproar in Bangladesh. President of Tirupur Exports and Manufacturers Association, M. Mutturatnam said, “The buyers who used to shop from Bangladesh, China and Vietnam before are now turning to India.

They are demanding exemption, but we have been watching huge crowds for the last two-and-a-half weeks. The Tirupur Exports and Manufacturers Association has mostly members who have small enterprises and their total business is also less than Rs 10 crore. A few months ago (in the last days of FY 2023-24), he warned about the closure of about 500 units associated with his organization after a global epidemic.

KM Subramanian, president of the Tirupur Exports Association, said, “Trump's decision not to impose retaliation for 90 days has worked in our favor. Buyers are finishing old orders and new diversion industry is getting new life. Everyone is trying to expand, new units are being invested and old units are being advanced. We are expecting a 15 percent increase in exports in this financial year.

He said, 'If the counter duty of America in competitive countries remains intact at these levels, then India will remain an affordable option for American buyers. Boying agents are saying that they cannot retain the flow of order. Last year, the customers of Tirupur included International Companies such as Primarc, Tesco, Next, Mark and Spencer, Walmart, Tommy Hilfiger, Warner Brothers, Discovery Global Consumer Products, Gap, Carter, Dons Sweden, Target and Wulworths. Most of these brands have now increased the order.

Alangovan Vishwanathan, president of the Boying Agents Association and managing director of SNQS International, said, “The current American buyers are questioning their order from China to Tirupur. The import of cotton clothes has already started here due to being competitive. The biggest problem is that China's prices are about 15 percent low, due to the price of cheap raw materials like polyester. Buyers are also pressurizing for delivery till this time due to lack of retaliation for 90 days. The scenario is excellent for Tirupur, but a lot depends on how many of these orders can be maintained when the fee starts.

Tirupur's exports to Rs. 30,960 crore last year, with the conflict and supply chain disruptions between Russia-Ukraine, touched a record figure of Rs 40,000 crore in FY 2024-25. It is noteworthy that in the financial year 2023-24, American had about 35 per cent stake in India's woven cloth exports worth Rs 56,000 crore. After that the European Union had a 29 per cent stake. 95 percent of costumes sold in the US are imported.

According to ICC National Textile Committee Chairman Sanjay K Jain, India has a strong start in categories like Made-up article, jersey and blankets, but China is still ahead. Tirupur's return at the same time, the process of closure of large -scale units continues in the Jam Bangladesh's Apparel Center Chittagong. Of the 611 units registered there, only 350 are operating and more than 54 units have been closed in the last six months. But analysts have warned that the exporters of Tirupur should take a cautious stance instead of being more happy.

Trade policy analyst S Chandrasekaran said, 'These 90 days will shape the new global value chain. We should proceed fast to capitalize on this opportunity as much as possible. But they have warned that in view of the increasing use of US access to raw cotton and increasing use of automation, American companies may soon take advantage of artificial intelligence and turn to robot or sewbot stitching in the future.


First Published – April 21, 2025 | 10:25 PM IST



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