13 October 2022, Mumbai:
Financial support provided by many governments during COVID-19 created aggregate demand for many commodities such as textiles, and electronic items, which led to price hikes and hence volatility in the market.
“When we are in crisis, efforts are needed to plan and act differently,” stated Velmurugan Shanmugam in India". The economic tailspin and monetary interventions are dampening the demand, which is affecting many sectors particularly, the textile sector. Cotton price has come down steeply since this Summer and spinning mills are operating at a loss in India and other countries.
Textiles and other manufacturing sectors are looking for strategies to ride out the economic storm.
The textile industry needs rethinking, retooling, and skill enhancement. The articulated “4S principle,” proposed by the United States’ Department of Defense says Sense; Shape, Shield, and Sustain. How apt this strategy is for the textile industry now!
The plan should involve: 1) Disaster Recovery and 2) Business Continuity (when the business runs smoothly).
According to Mr. Sampath, companies should identify risks (some may not be known such as the COVID-19 pandemic), and identify resources, strengths, and weaknesses, such as financial and personnel to handle demanding situations.
(CREDITS: Seshadri Ramkumar, Professor, Texas Tech University, USA)
