Surat: The standoff between textile traders and weavers over transportation costs seems to be here for a longer haul with weaving unit owners continuing their demand for payment of transportation charges by the traders and vice versa. Weavers want 10 paisa transport cost per metre cloth.
In the multiple meetings held in the recent past between the association of weavers and textile traders the matter remained far from any resolution with both parties refusing to accept each others’ terms of business. A meeting of Federation of Gujarat Weavers Welfare Association (FOGWA) was held in Utran on Saturday. It was decided in the meeting that the weavers will sell grey cloth if the trader is ready to pay for the transportation cost.
Over 40,000 weaving units in and around the city produce four crore metre grey cloth daily.
“There is price rise in all products. We are paying a higher price for the yarn. In almost all products, the buyers pay transportation cost for the product and likewise we are demanding the same,” said Ashok Jirawala, president of FOGWA.
“The traders are not only refusing to pay the transport cost but are also demanding a discount. It is not affordable for the weavers now as yarn prices too have risen in the recent past,” said Vijay Mangukiya, president of Anjani Industrial Estate, Gothan.
Textile traders purchase grey cloth from the weavers, get it printed, embroidered and processed before selling it to buyers across the globe. They are not accepting the weavers’ terms. Manoj Agarwal, president, Federation of Surat Textile Traders Association (FOSTTA), told TOI, “Earlier, traders used to get discount and weavers also paid for the brokerage. But after GST was introduced, they stopped giving discounts and paying the brokerage.”
He further said that weavers now also want traders to bear the transport costs. “It is a matter between buyer and seller and associations have no role to play in it. But if weavers are taking a stand, we have no option but to oppose it,” added Agarwal.
“Textile traders continued business even when discounts were discontinued as the industry was in crisis. But now, the weavers are making unacceptable demands,” said Devkishan Manghani, advisor in textile trade committee of SGCCI.