Feb 26, 2020
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Textile processors could soon hike processing costs as dyes become expensive

Feb 26, 2020

The South Gujarat Textile Processors’ Association is considering raising the price of textile processing job charges, as the price of coloured textile dyes has increased by 7% due to the coronavirus epidemic.

As imported raw materials from China rise in price, textile dyeing in India has become more expensive

The SGTPA plans to call a meeting with textile processing businesses around Surat to discuss increasing job prices by between 5% and 7%, to accommodate the rising price of textile dyes, TNN reported. Many textile dyes used in India require raw materials imported from China and the continued trade disruption caused by the coronavirus has hiked up the price of these raw materials.
“Colour dyes are an important content in dyeing and printing of finished fabrics,” the SGTPA’s president Jitu Vakhariya told the Times of India.

“The prices of colour dyes have gone up by 7% in the last few days due to [the] coronavirus epidemic. This has increased [the] production cost of textile processors in the city. We have called an urgent meeting of textile processors in the next few days to decide on hike in job charges. We may increase job charges by 5% to 7%.” 
Textile traders, who purchase fabrics from textile processors, may themselves struggle if the price of textiles increases. This is expected to lead to increased textile prices per-metre and increased prices for finished garments.

As the wedding season is kicking off, many clothing businesses have an influx of orders for traditional wear and may face difficulties fulfilling clothing orders, due to higher production prices per-piece.

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