# Tiruppur garment makers seek minimum floor price for yarn

2026-09-14T07:34:58+00:00 | Governance | Indian Opinion Desk

Corroboration: 2 independent outlets

Garment makers and textile mills in Tiruppur have asked the Union government to fix a minimum floor price for yarn. The Joint Committee of Tiruppur Knitwear and Textile Cluster, at a recent meeting, said frequent and steep hikes in cotton yarn prices are hurting exports. The committee also wants yarn exports allowed only when prices exceed the floor price, removal of import duty on cotton for five years, and priority cotton supply from the Cotton Corporation of India to Tamil Nadu mills. Tiruppur, which accounts for over 60% of India's knitwear exports, hit Rs 46,000 crore revenue in 2025-26 and targets Rs 1 lakh crore by 2030. But Deccan Herald reports that raw material costs have risen 15-20%, squeezing margins on booming US and EU orders. The cluster also faces a 30% labour shortage and many MSMEs operate at 60-70% capacity. The committee has urged the government to form a stakeholder panel to monitor raw material prices.

## Indian Opinion Analysis

Both outlets report the same core demand from Tiruppur garment makers: a minimum floor price for yarn. The Hindu frames it as an industry plea for government intervention led by a joint committee. Deccan Herald adds the wider export context, noting that Tiruppur targets Rs 1 lakh crore revenue by 2030 but faces cost and labour pressures. The Hindu omits the booming order book, Deccan Herald omits the meeting's specific demands on CCI cotton priority and export linked pricing. The balanced reading is that the industry seeks price stability while riding a demand wave that could be undermined by those very cost pressures. The floor price proposal faces a test when the government responds to the committee's petition.

## Coverage

- thehindu.com (neutral report) <https://www.thehindu.com/news/cities/Coimbatore/tiruppur-garment-makers-textile-mills-call-for-minimum-floor-price-for-yarn/article71464250.ece>
  Leads with the industry's formal demand to the Union government, omitting the export boom context
- deccanherald.com (neutral report) <https://www.deccanherald.com/india/tamil-nadu/tiruppur-knitwear-exporters-face-cost-squeeze-despite-booming-us-and-eu-orders-4145607>
  Foregrounds cost squeeze and labour shortage against a backdrop of booming export orders

Tags: Cotton Corporation of India, MSME, Tamil Nadu, Tiruppur
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