Tiruppur's Textile Challenge: Seizing Opportunity Amid Labor Shortage

Tiruppur, known as India's knitwear capital, stands at a crucial crossroads as global apparel dynamics shift. With U.S. tariffs on Asian competitors rising, the city is poised to see a surge in demand from American giants like Walmart and Costco. However, the advantage is tempered by a pressing issue: a shortage of skilled labor.

Despite India's potential to outshine Bangladesh and China in pricing due to tariffs, manufacturers in Tiruppur struggle with workforce challenges. Migrant labor is difficult to source and retain, with many workers opting for smaller units that offer more flexible hours and better pay. This labor crunch highlights the country's limitations in scaling up operations efficiently.

The urgency is palpable in factories like Raft Garments, which faces expansion constraints despite new orders. The Managing Director, R.K. Sivasubramaniam, acknowledges the pressure to compete with Bangladesh's cost-effective production. As India seeks to fortify its position in the global apparel market, overcoming these hurdles will be key to unlocking its true potential.

(With inputs from agencies.)