Textile manufacturing associations in Surat have raised serious concerns over delayed payments and unfavourable credit terms, highlighting mounting financial stress across the local textile value chain amid subdued market conditions.
At a recent meeting, the Surat Weaving Jari Association (SWJA) stated that sustained increases in raw material costs, coupled with prolonged payment cycles, had placed jari manufacturers under significant strain. The association announced that it would fix a maximum payment period of 60 days and would no longer accept arbitrary deductions from final bill settlements.
Representatives of jari manufacturers indicated that the pricing of synthetic jari was no longer aligned with escalating input costs, resulting in a structural imbalance in the trade. Members of the association said that the steady rise in raw material prices was intensifying financial pressures, while extended credit periods were compounding liquidity challenges. They further noted that buyers frequently imposed deductions on final invoices on grounds of quality concerns, despite already compressed margins. The association resolved that such deductions would no longer be entertained.
The SWJA, which represents around 1,500 members, also announced that, following continuous increases in raw material prices over the past month, jari prices would be raised with effect from 15th February.
However, the Rapier Jacquard Weavers Association, which represents nearly 3,000 members and constitutes a major buyer segment for synthetic jari, expressed reservations regarding the proposed price increase. Representatives of the weavers stated that, given prevailing weak market conditions, they were not in a position to support a price hike and had instead sought a reduction in prices. They indicated that further internal discussions would be held, as well as consultations with other textile bodies, before arriving at a final position.
The weavers’ association is also planning to approach the Federation of Surat Textile Traders Association to seek improved payment terms and more favourable business conditions.
The developments underscore growing tensions within Surat’s textile ecosystem, as both manufacturers and weavers grapple with shrinking margins, rising input costs and persistent liquidity pressures.
