The Tiruppur Exporters Association (TEA), which is facing a labour shortage, has sought the government’s support for setting up housing facilities for migrant workers so that the knitwear export hub can attract these workers.
Tiruppur currently can employ over 1 lakh additional workers,” said K M Subramanian, president of TEA. With the anticipated surge in orders following the implementation of upcoming Bilateral Trade Agreements (BTAs) and Free Trade Agreements (FTAs), the demand for a larger workforce, particularly migrant workers expected to rise significantly, Subramanian said.
“However, the lack of adequate housing facilities for these workers poses a serious challenge. As a labour-intensive sector, it is imperative to address this issue promptly,” he said.
“We therefore request government support in establishing hostel facilities, with a funding model comprising 75 per cent contribution from the government and 25 per cent from the industry,” the TEA president added.
Tiruppur alone contributes to about 68 per cent of the Indian knitwear exports. “We completed the FY25, with Rs 45,000 crore exports, which is 25 per cent more than last year,” said the TEA president.
Tiruppur exporters have set an annual growth target of 15 per cent and aim to achieve Rs 1 lakh crore exports by 2030. They are expecting that with the signing of the India-UK Free Trade Agreement (FTA), there will be an increase of 10 per cent in orders when the FTA becomes operational by the end of this year.
