Fabric shortage affects Surat textile units

With the intervention of Saurabh Patel, the energy minister of the state, the problem of lignite supply to 400 processing units in Surat after the flood was resolved. However, only 65 percent of the units are able to pull through, while the rest are waiting to recover.

About 25-30 per cent of the units are not functioning properly due to the delay on the part of the insurance companies, while another 25-30 per cent are not able to revive, due to a dearth in the production of grey fabric. The shortage in the supply of the fabric has impacted the entire textile industry in Surat.

There are around six lakh power looms in Surat, which produce 2.25 crore mt of grey fabric. After the flood, only four lakh power looms have started working in a full-fledged manner.

"Currently, only 1-1.5 crore mt grey fabric is produced and the rest one-third power looms are still to get back on track. This results in disturbance in the production cycle of the ultimate fabric obtained in the retail outlets," said Arun Jariwala, former president, Surat Chamber of Commerce and the current president of Surat Art Silk Cloth Manufacturing Association.

"Those processing houses, which have upgraded technology have started working to the full extent, while those with low-graded technology have not resumed work,'' said Jariwala.

Most of the workers in the processing houses hail from Uttar Pradesh, Bihar and Orissa and the exodus of these workers is not as alarming as it was in 1992, when the plague broke out."

The fact that many of them are not going back to their hometowns is a positive sign to the processing houses, added Jariwala.

Already, the affected units of processing houses are bearing capital loss worth Rs 30 crore and the production loss is of Rs 27 crore, while the number for those units unaffected was Rs 120 crore.

"There were many shops in the market affected by the floods and are yet to recover. So, though processing houses have started working and are ready to fetch orders, they do not as the shops are affected," said Ajoy Bhattacharya, honorary secretary, Southern Gujarat Chambers of Commerce and Industries.

"We hope that this problem gets solved in a few days," he said.