Surat textile industry still under subdued capacity utilisation

As against a 40 mn metres per day of production in the Rs 500 bn synthetic textile hub of Surat, the current production is down to 2.5 mn metres per day

While it may have played a crucial role in helping the ruling Bharatiya Janata Party (BJP) win the recently concluded Assembly elections in Gujarat, the Surat-based textile industry is still reeling under the goods and services tax (GST) impact.

According to industry sources, especially in weaving and trading, capacity utilisation at most of the power looms and trading units is still down by 50 per cent or lesser. While spinning units are finding takers in the knitting industry — which is currently doing better due to the winter season — the other verticals in the textile chain, such as weaving