Riju Jhunjhunwala, Chairman and Managing Director, RSWM, one of the largest manufacturers and exporters of synthetic and blended spun yarns says, yarn prices are expected to remain stable during the second COVID-19 wave induced lockdowns this year. Jhunjhunwala says, export volumes are pretty much at the levels witnessed previously. Though domestic demand has fallen substantially, factories are running at 85 per cent capacity as manufacturers have diverted some of the domestic capacity to exports markets.

Clothing mills are already in a production mode. Hence, it will be easier for manufacturers to ramp up their capacities this time, adds Jhunjhunwala. The diverting of orders from China by big companies in the US and other global markets will create a huge demand for Indian products, he adds.

Jhunjhunwala expects demand for casualwear to grow while demand for formal wear is expected to dip globally. RSWM is also trying to change its product mix to cater to new demand by expanding denim capacity from 20 lakh meters a month to 27 lakh meters, he informs.