Textile mills in Tamil Nadu that make polyester or polyester cotton yarn are exploring new markets and products in an effort to go in for value addition and get better prices for their yarn. As many as 90 textile mills that make synthetic yarn in the state had stopped production for two days a week for four weeks as prices of yarn had dropped and the mills were finding it unviable.

With export orders too declining, the yarn that was for overseas markets was also coming into the domestic market. Some mills that found it difficult to stop production for two days a week went in for a 30 per cent cut in production.

There are positive enquiries now and mills are able to sell some of the stocks. Prices too have improved. Mills have decided that individual units will decide production based on their stock and order book position. Most mills sell the yarn to weaving units in Bhiwandi, Malegaon and Ichalkaranji. Weaving units had reduced production for several reasons for the last few months and are reviving operations only now. So textile mills in Tamil Nadu are hopeful of orders going up in the coming days.