Even as positive sentiments of increasing export orders prevails, exporters of Delhi-NCR should be prepared for another factor which is going to add to the cost, as textile dyers and printers are set to enhance their charges very soon with a call for a three-day closure of work. These processors who are basically job workers for the garment exporters have witnessed the cost of their raw materials – dyes and chemicals – increase by almost double in the last one year. Although the processors have already increased their charges by 15 per cent recently, but it is not enough as they claim ‘struggle for survival’.
[bleft]The cost of black dye was Rs.170 per kg a year ago and now it is Rs. 450. Meanwhile, coal and power price has also increased 30 per cent, while wages are also rising[/bleft]
The cost of black dye was Rs.170 per kg a year ago and now it is Rs. 450; in the meanwhile, coal and power price has also increased 30 per cent, while wages are continuously rising. “With these increased charges, our total costs have increased by about 40 per cent, while we have hiked price by just 15 per cent; as such 70 per cent units are in loss. Hence, there is no other way but to increase prices by another 15 per cent. Three days’ closure is our humble effort to attract the attention of dyes and chemical manufacturers that they should control their prices and to convince the garment exporters, that we are forced to hike the charges,” says S D Kheterpal, President, Federation of NCR Textile Dyers and Printers. The federation has 80 members, out of which 30 are from Faridabad, considered the hub of textile dyers.
The dependency on China for some specific chemicals and limited manufacturers in India for raw materials that go into dyeing and printing are other reasons for the price hike “H acid is a common item for our use but recent pollution control norms and other developments in China has reduced its supply in India.
In October, we increased price by Rs. 1.5 per metre and soon we will increase it to Rs. 2,” informs Shakti Sachdeva, Marketing Director, Color Fabs, Faridabad. Most of the processors are using old technology and very few have CDR (Continuous Dyeing Range) which controls the cost of production, as it involves huge investment.
