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LPG Price Surge Squeezes Textile Exporters’ Margins Amid Global Pricing Pressure

LPG Price Surge Squeezes Textile Exporters’ Margins Amid Global Pricing Pressure

India’s textile exporters are facing a tough situation as a sharp rise in commercial LPG prices is significantly increasing their production costs.

LPG is a critical fuel used in processes like dyeing, washing, and finishing garments. With prices of commercial cylinders crossing ₹3,000 after recent hikes, manufacturing hubs such as Tiruppur and Noida are seeing a direct hit on their margins.

At the same time, global buyers are demanding lower prices for textile products, creating a double pressure on exporters. This means companies are forced to absorb higher costs while selling at reduced prices, squeezing profitability even further.

Industry experts warn that if this trend continues, exporters may lose competitiveness in global markets, leading to reduced orders, shifting of business to other countries, and possible impact on employment in the sector.

Overall, the sector is currently stuck between rising input costs and falling selling prices, making it one of the most challenging phases for textile exporters.

Do you think rising fuel costs can push textile manufacturing out of India to cheaper countries? 

This news is for information only and is not investment advice. Please do your own research before making investment decisions.