Apparel Resources recently conducted a survey among Tirupur garment exporters to understand the current picture of the region and its various issues. We are grateful to all participant companies for supporting the effort by sharing their opinions and figures. The survey had 10 questions covering many dimensions from environment, order position, market conditions and impact of weak Euro, growth and efforts for growth. It was heartening to see that participant companies of the survey were from a wide base having turnover spanning US $ 200 million to just US $ 0.33 million. Majority of the companies (big or small) have similar opinion on most of the points, and one good thing is that everyone is sure for at least 15 to 20 per cent growth despite weak economic conditions in Europe.
Major Findings…
Environment crises
13 per cent of the companies feel that Tirupur has recovered completely from the environment crises of a few years ago while 50 per cent companies said that the situation has improved to a large extent; while 17 per cent feel that there are still some issues that need to be addressed and 20 per cent were of the opinion that though they are following norms, they are not so sure about others.
Order booking position
42 per cent companies feel that orders are reasonably good, and interestingly 13 per cent companies admit that they have full order bookings for the next 3 months. Only 4 per cent accept that they have full orders for more than next 3 months while 29 per cent respondents claim that orders are good but still they have capacity to take orders. Only 8 per cent said that orders are still not as good, while 4 per cent did not reply to this question.
Survey was done by email as well as face to face. Exporters enthusiastically told that even small and medium level companies are going for compliance certification which is an encouraging sign.
42% companies feel that orders are reasonably good
38% feel that weak Euro will have serious impact on business
Conditions in Europe
42 per cent companies’ surveyed say that Europe is still not okay while 25 per cent accept that now things are okay. 29 per cent respondents are of the opinion that Europe has started picking up and will be okay this year. For 4 per cent of surveyed companies, Europe is not the main market, so they did not comment on this issue.
Weak Euro
Of those surveyed, 38 per cent feel that weak Euro will have serious impact on business, but 21 per cent said that it is a temporary phase and industry need not to worry much. 33 per cent were worried but felt it is too early to say anything; 8 per cent did not comment on the issue.
US business
12 per cent respondents said that the US market is doing very good while 29 per cent said that it has just started picking up. Of those surveyed, 21 per cent say that the US market is slower than their expectation while 38 per cent participants of the survey were not working with the US.
Priorities for growth
92 per cent of the Tirupur industry feels that labour availability is the biggest requirement for the growth of Tirupur, whereas for 8 per cent, 24 hours power supply was the top priority. Better roads, interest subvention, wet processing availabilities, dry port facility and market development fund were other priorities for the growth (almost similar preferences were given to all these points). The industry suggested decent recourse to a resale of cancelled orders and technology upgradation.
Expected growth
Majority of the companies – 58 per cent, are expecting 15 to 20 per cent growth this year while 25 per cent is hoping for 25 to 35 per cent growth. 17 per cent companies (doing business up to Rs. 10 crore per year) are encouragingly sure about 50 per cent growth.
Polyester demand
60 per cent of the companies feel that polyester demand is growing in the international market while 40 per cent disagreed about the same. Out of total participants, 75 per cent think that easy availability and competitive priced polyester (as per the international market) would increase their business. 21 per cent were against this opinion.
Preparations for future
50 per cent of participants have added or will add new markets while 38 per cent have or will have capacities enhancement, IT intervention for better visibility in the supply chain was focus for 29 per cent. 13 per cent did add or will add new automats for better quality and reducing manpower and same percentage of companies were now focusing more on designs/PD.
Bharat Tex Special Report 2026 
