Home textile exporters are doing relatively well

According to the analysis of rating agency Crisil the home textile exporters from India are seeing the sharp recovery in demand with the de-growth of around 10-12 per cent in comparison to the 30-35 per cent for the whole textile sector. Demand is expected to upscale in the third quarter owing to the festive seasons.

Being one of the most export driven sectors about 80 percent of Indian home textile export is shared between the United States and the European Union.

As per the report, lower capacity utilisation and benign realisations in the first quarter will lead to suboptimal coverage of fixed costs despite cheaper cotton prices and favourable currency movement.

The sector worth Rs 55000 crore includes products such as bed sheets, linen spreads , pillow cases, curtains, terry towels and rugs and carpets, derives as much as 60-70% of its revenue from exports.

Cover image by Fashionating World