Surat: Representatives of textile associations from South Gujarat on Tuesday raised concerns over yarn pricing, rising electricity costs, power outages and labour compliance challenges at a meeting convened by the Southern Gujarat Chamber of Commerce and Industry (SGCCI), which said the issues would be taken up with the govt.The meeting, attended by representatives of several textile associations, discussed issues affecting micro, small and medium enterprises (MSMEs) and possible responses by the industry.Participants highlighted the impact of global crude oil price volatility on textile raw materials, particularly polyester and other man-made fibres, as well as transportation and production costs. Industry representatives demanded that reductions in crude oil prices be reflected promptly in yarn prices, arguing that yarn rates are increased quickly when crude prices rise but are not reduced proportionately when they fall.Energy-related concerns also featured prominently. Members expressed apprehension over higher electricity costs following an increase of Rs 0.15 per unit in the Fuel and Power Purchase Price Adjustment (FPPPA) rate and the introduction of a 3.99% variable FPPPA charge from July.Frequent unannounced power cuts by Dakshin Gujarat Vij Company Ltd (DGVCL) were also flagged as a major concern, with members saying the outages lead to idle machinery, lower production, delayed deliveries and financial losses.Labour law compliance requirements were reviewed in detail. While industry representatives said units were committed to complying with Provident Fund (PF) and Employees’ State Insurance Corporation (ESIC) norms, they pointed to practical difficulties, including workers’ preference for cash wages over bank transfers.Concerns were also raised over eight-hour work norms and weekly offs for embroidery workers. Suggestions discussed at the meeting included productivity safeguards, output-linked compensation, partial recovery for negligence-related damage and restrictions on mobile phone use within units.SGCCI president Ashok Jirawala said MSMEs are the largest source of employment after agriculture and assured industry representatives that the issues raised during the meeting would be taken up with the govt.
