Bhopal (Madhya Pradesh): The rise in prices of cotton and synthetic fabrics has come as a whammy for cloth traders and consumers in the state. The market, hit by the pandemic, was struggling to recover when the demand rose by the roof due to prolonged closure of the market, said the industry players whom Free Press talked to on Thursday.
The price of the most basic quality cotton cloth has also risen by 25 per cent. Those of other varieties have increased by 35 per cent, said president of the cloth traders’ association Kanhaiyalal Israni. The mills do not have the goods despite ever-increasing prices.
Madhya Pradesh gets cotton cloth mostly from southern parts of India, Surat and Ahmedabad. Recently, the South India Spinners Association, Coimbatore, sent a letter to traders informing about halting the production due to rise in prices of raw materials, said Israni.
Cloths worth Rs 500 crore are sold every year in the wholesale textile market in Bairagarh. Out of this, cotton fabrics constitute 40 per cent. Cotton dresses and dress materials are sold in rural areas, said body’s general secretary Dinesh Wadhwani. The sales have come down due to price rise, affecting their business, he added.
Inflation can be attributed to increase in exports apart from increase in yarn price. Now, the prices may subside as the government has recently reduced exports.
Dinesh Wadhwani, general secretary, Textile Traders Association
A handful of companies have established monopoly over yarn. They charge prices arbitrarily, making cloth unaffordable for common man, small businesses. Synthetic fabric has also become costlier by 30 per cent. The government has no control over their prices.
Nanak Chandnani, state vice president, All India Vyapar Udyog Mandal