As per Synthetic and Rayon Export Promotion Council (SRTEPC), plagued by recession and tax issues, India’s export of polyester fabric declined 13 per cent to $945 million in April-September compared to $1 billion in the same period last fiscal. Polyester fabric export to the United Arab Emirates (UAE) and Bangladesh fell by 23 per cent and 32 per cent respectively in that period.
Export of Indian MMF during April-September increased by just 1 per cent to $3.1 billion compared to $3 billion during the same period last year. The export of fabric to Bangladesh and UAE decreased due to external factors. The United States, UAE and Brazil were the leading markets for Indian MMF and polyester fabrics, a leading Indian newspaper reported quoting SRTEPC.
Polyester fabric manufacturing has been adversely affected due to power loom weavers reducing their capacity by almost 60 per cent in the last 12 months due to goods and services tax (GST) and recession. The production of polyester fabric has come down to almost 2.5 crore metre per day, against the daily average of 4 crore metre.