TIRUPPUR : THE Federation of Labour Unions in Tiruppur has blamed the bad policies of the Union Government for causing huge problems in the knitwear industry based in the industrial city.
The implementation of demonetisation and Goods and Services Tax (GST) greatly impacted the cotton and textile industry, stated a press release. (GST was introduced in India on July 1, 2017.)
Moreover, the Indian government allowed imports of cotton garments from Bangladesh. This has caused traders and cloth merchants to move towards cheap garment import and this caused a huge loss of business for the Tiruppur knitwear industry, the unions alleged.
Labourers, small garment units as well as labour unions are aware of the problems faced by small garment and commercial units for the past several months. Tiruppur has seen tremendous growth with the hard work of entrepreneurs and active support of labourers.
With economic growth fuelling development and employment, it has become a hub for migrant workers from all districts and other states.
In the early 2010s, changes began to happen. When the new Bharatiya Janata Party government took power, new economic decisions were taken and this has directly affected the small units in Tiruppur city.
Later, unstable yarn prices affected small-scale garment units causing immense hardship for small entrepreneurs, the release further stated highlighting the issuing plaguing the industry.