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Impact of COVID-19 on the exports by the Textile and Apparel Industry in India



India is ranked 2nd in textile export and 6th in apparel export all around the globe. The widespread impact of the COVID-19 pandemic has not spared any sector of the Indian economy, which is further going to have its negative impacts on the growth projections. The textile and apparel industry is one of the major contributors to India's export. 

Indian manufacturers are facing a major issue with uncertainties in the commencement of production and majorly because of the supply of raw materials from countries like China. The overall country's economy has been hit very hard, mainly because of the lockdown, disrupting crucial services like transportation of goods and thereby hurting the domestic operations very badly. With the virus looming on the global supply chain for the last 3 to 6 months now, the situation is having a serious effect on India's overall economy.

Export of raw materials and readymade apparels

The pandemic has adversely affected the impacts on export and the nationwide lockdown has further made the markets volatile. The US and the EU together account for around 60% of Indian export of textiles and apparel. The pandemic has forced nations to either hold orders or cancel them leading to a humungous inventory built up with the slower realization of the same and thereby forcing industries to incur higher capitals.

Designer dress material dealers are supplying the best quality material to fulfill the demand of the market so that a perfect designer outfit can be manufactured.

Issues about working capital and no investment in business have lead industries closing down, temporarily or permanently leading to unemployment and recession. Additionally, the domestic market has also been deeply impacted, due to the national lockdown. No new stores are opening up and even the existing ones are facing the brunt of the pandemic.

Issues related to cash flow

Due to a sharp decline in exports or cheaper than ever imports, the issues with funds and non-availability of cash flow have further been aggravated creating a big hole in the overall industry.

The economic development in our country is largely dependent on earnings from the export of textiles and apparel. As the export of yarn and readymade garments have fallen by almost 90% due to the COVID-19 situation and several units in other countries have also been shattered, contributing to the sharp decline in Indian products.

Online purchasing and making payments online has to boost up the industry. you can buy ladies' top online and embroidery Kurtis online from a reputed brand online at wholesale prices. 

The Indian textile and apparel sector is the most severely hit sector by the deadly duo of COVID-19 and lockdown. This is one of India's prime sectors in terms of GDP, earnings from export, employment, and also output. All of this has impacted the total chain starting from manufacturers, retailers, wholesalers, and exporters. It has made one thing clear for all of us – the global supply chain is highly vulnerable and fragile to any disruptions, 

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