Apparel Online India Magazine October 1st Issue 2018 | Page 9

MIND TREE other payments, buyers raise the issue to adjust the same. Whatever product they were taking earlier in for US $ 3 to 4, they want to get the same now in US $ 3, just because of the weakening rupee. So, it is not a big difference for exporters like us. Yes, there is little ease in market competition, that is the only benefit. I do hedge but only some times, and not on regular basis; if rupee goes above 75, then only I will hedge. As we are more into value-added garments rather than bulk, so we can always cover the small amount within our own workmanship rather than hedging. Anil Peshawari, MD, Meenu Creation, Noida Indian currency depreciation is not going to benefit the Indian apparel exporters much, especially looking at the global perspective. The Chinese Yuan depreciated nearly 10 per cent and China’s has 34 per cent share in the global apparel trade and this country does every product. So, we don’t have any benefit against China which is our main competitor. Turkey’s Lira depreciated more than 50 per cent. Turkey, which earlier was doing mainly knitted garment, is now focusing on woven garments also. Due to these two latest developments and proximity advantages, Europe is importing more from Turkey. Now coming to Bangladesh, it is okay that Bangladeshi Taka depreciated just 2 per cent or little more in recent months, but Dhaka already has a lot of NEXT MINDTREE QUESTION Fabric sourcing is one of the most challenging tasks, no matter whether you directly work with mills, C&F agents or source yarn and get it weaved and processed… What is your strategy to ensure smooth fabric sourcing from selection to quality assurance to timely delivery? Have conditions improved over the years on this front? advantages against India. India’s exporters were already working on nominal margins and now to get orders, they are passing or having to pass through the minor benefit of rupee depreciation to the buyers. Major depreciation in Indian rupee has happened in recent three months only. One should not forget that if US imposes the tariff on Chinese apparel, China will move more aggressively to EU, and can also supply apparel on extremely low cost as they have to keep their capacities occupied. POST YOUR COMMENTS www.apparelresources.com [email protected] www.apparelresources.com | OCTOBER 1-15, 2018 | Apparel Online India 9