Budget 2021-22: Knitwear capital Tiruppur hopes for revival

The Covid-19 pandemic lockdown severely affected Tiruppur, known as the 'knitwear capital of India'. In order to bounce back, the industrialists hope Union Finance Minister Nirmala Seetharaman announces schemes like the development of Coimbatore Airport as an international airport, multi-storey apartments for the workers, high-tech hospital, interest-free loan for workers and entrepreneurs.

Tiruppur (Tamil Nadu): Tiruppur, a major textile and knitwear production centre in the country, is eagerly awaiting the Central Government budget, hoping for a revival of the industries. The garment exporters from the knitwear capital hope the Centre allots sufficient funds and special schemes in the Budget for the revival of the industries.

India is the second-largest exporter of textiles and apparel with a five per cent share of global trade. Tiruppur contributes to 90 per cent of total cotton knitwear exports from India and it contributes to a huge amount of foreign exchange in India.

Tiruppur had become a major hub for knitwear industries in the country about four decades ago. A large number of small and medium entrepreneurs are engaged in producing apparel. It has more than 1,500 companies involved in exports and 10,000 ancillary units depend on these companies.

They manufacture, among other things, T-shirts, shirts, trousers and jeans, and export them to European countries like Russia, France, and other nations like Nepal, Singapore, Sri Lanka, US, and Australia. Many leading companies in the world depend on these industries for the products. Tiruppur knitwear products are also sold in almost all the states including Tamil Nadu. It provides employment opportunities to more than eight lakh persons.

The Covid-19 pandemic lockdown badly affected the 'knitwear capital of India' and work resumed only four months ago. Many companies have been producing personal protective equipment (PPE) kits during the lockdown.

The companies registered an export to the tune of Rs 4,374 crore during the last four months. However, it exported apparel worth ₹200 billion in 2014–15.

In order to bounce back, the industrialists hope Union Finance Minister Nirmala Seetharaman would announce in the Budget 2021-2022 schemes like the development of Coimbatore Airport as an international airport, multi-storey apartments for the workers, high-tech hospital, interest-free loan for workers and entrepreneurs.

Raja M Shanmugham, President of Tiruppur Exporters' Association said this industry provides employment opportunities to a large number of people. Most of them are from other states. The Tiruppur Exporters Association has been taking steps to provide accommodation facilities to the workers and construct houses for them.

The Association has requested the Department of Industries to provide support in the initiative.

He said the entrepreneurs should allot funds for the accommodation facilities. The Central and State Governments must take steps to set up a Special R&D centre in Tiruppur. This will benefit small and medium entrepreneurs. "We hope the government allows sufficient funds and announces special schemes in the Budget for the revival of the industries," he said.

Sundara Pandiyan, a Small and Medium Entrepreneur, said after the Coronavirus lockdown norms were relaxed, the industries are showing a sign of gradual recovery. Central and State Government must provide interest-free loan and defer the loan repayment for a few more months, Pandiyan said. The governments must come forward to support the industries and allocate more fund for its revival.