22 August 2023, Mumbai
Absence of Buyers: The hosiery and garment industry in Ludhiana is facing a significant downturn due to the absence of buyers. Wholesale purchasers from Jammu & Kashmir and the Tibetan markets are still undecided about procuring goods from Ludhiana this year.
Backlog of Unsold Inventory: The situation is further compounded by a backlog of unsold inventory and delayed payments. Buyers are showing limited interest in acquiring new stock, as they still possess remnants from the previous year.
Delayed Payments:
These buyers have yet to settle outstanding payments and have communicated that payment will be made after clearing the existing stock.
Buyers are not particularly inclined to acquire new stock since they still possess remnants from last year. The uncertain status of these payments has put us in a holding pattern."
Dynamics
Moderate orders were dispatched to Jammu and Kashmir due to unresolved payments from the previous season. Manufacturers are awaiting substantial payments from J&K buyers, totalling several lakh rupees."
The scarcity of buyers has led to severe setbacks in production and sales across the hosiery sector. We are banking on a prosperous winter season to facilitate our financial recovery.
The industry is hopeful that a good winter season will help to revive business and improve payments.
