Mills to stop sales of yarns for a week

About 500 mills affiliated to South India Spinners Association (SISPA) have decided not to sell or deliver yarns for one week from third week of this month to avoid the traders from creating a situation to source yarn at lower prices.

The decision, applicable only for this month, was taken at an emergency meeting to discuss the crisis facing the entire textiles industry, SISPA president C. Varatharajan said.

In difficult times of producers, some yarn traders have been found to take undue advantage by quoting less prices for certain varieties of yarns, thus creating a panic situation to source yarns at lower prices, which affected mills’ realisations, Mr Varatharajan said.

Besides, to bring the attention of the Centre and state governments to understand the difficulties faced by industry and to extend appropriate support through policy decisions to the industry, all member mills have agreed to one day stoppage of production, date of which will be announced after consulting other associations.