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Suggestion for hike in fabrication charges

TIRUPUR: The Knit Cloth Manufacturers' Association and the South India Imported Machine Knitters Association have suggested a hike in fabrication charges. According to industry sources, there are about 1,500 fabrication units in Tirupur and most of them take up jobwork for knitwear exporting and domestic market units. Some of the exporting units have their own fabrication facility. Different types of fabrics were used by the garment manufacturers and even those that had their own production facility opted to produce some of their fabric requirements through jobwork.

The sources said that though a price increase was suggested three years ago, it was not followed by all the units. However, now the production cost had gone up due to increase in labour cost and power charges, it was suggested that the fabric cost could be increased around 15 per cent. A special meeting of the two associations was held at Tirupur recently and the increase was recommended from September. — Our Staff Reporter

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