In Surat weaving hub, factories to stay shut 2 days a week
There are over 800 weaving factories (around 30,000 powerloom machines) in the Unn area in Surat that manufacture textile grey cloth made from polyester yarn, which has seen a major price rise amid the Iran-US-Israel conflict
There are over 800 weaving factories (around 30,000 powerloom machines) in the Unn area in Surat that manufacture textile grey cloth made from polyester yarn.
THE IRAN-US-Israel conflict that has affected the supply of crude oil has also impacted the textile weaving industry in Surat. Prices of polyester yarn have skyrocketed, and buyers are not offering higher prices for woven textile grey cloth. The Unn Industrial Estate in Surat has decided to keep its factories shut for two days a week in the coming days, stakeholders said on Saturday.
The Southern Gujarat Chamber of Commerce and Industry (SGCCI) had earlier made a representation to Union Textile Minister Giriraj Singh and requested exemption in the basic customs duty on DTY (draw textured yarn), POY (partially oriented yarn) and FDY (fully drawn yarn), polyester yarn be reduced to 0 per cent for three months. The demand was accepted by the government, keeping in mind the international conflict situation; and the basic customs duty on PTA and MEG was exempted to 0 percent for three months from April 2 to July 15, 2026, hoping that the situation may stabilise by then. The demand was accepted by the government, keeping in mind the international conflict situation; and the basic customs duty on PTA and MEG was exempted to 0 per cent for three months from April 2 to July 15, 2026, hoping that the situation may stabilise by then.SGCCI president Ashok Jirawala said, “We will again make representations to the textile ministry in the coming days to give an extension in exemption of customs duty on PTA and MEG.”
There are over 800 weaving factories (around 30,000 powerloom machines) in the Unn area in Surat that manufacture textile grey cloth made from polyester yarn. There are eight industrial estates in Unn areas — Shalimar estate, Tasleem Nagar, Raj Industrial Estate, Dhamanwala Industrial Estate, Unn Old industrial Estate, Meet and Mir Industries, Gujarat industrial Estate and Navab Industrial Estate.
Unn Powerloom Association leader Zahid Kapadia said, “The decision was taken keeping in mind the major price rise of yarn, Purified Terephthalic Acid (PTA) and Monoethylene Glycol (MEG), a by-product of crude oil, used in the manufacturing of polyester yarn. In February 2026, the price of crude oil was $70 per barrel, and polyester yarn price was Rs 112 per kilogram. Due to the international war, the crude oil supply chain was affected, as a result of which the price of a single barrel of crude oil rose to around $95, while the price of polyester yarn rose to Rs 140 per kg. The buyers (textile traders) of grey cloth intend to buy grey bales at old rates and not the new, high rates. The weavers are facing serious losses in such a situation.”
He added, “On Thursday, we convened a meeting with members of the weaving sector of eight industrial estates in Unn area and have come to a conclusion that we have to curtail production by keeping two days off in a week. The production cost has increased, and weavers cannot bear the financial loss. From next week onwards, the industry will be shut for two consecutive days – Tuesday and Wednesday in a week in Unn industrial areas.”
Kamal Saiyed is a senior Correspondent for The Indian Express, providing extensive, on-the-ground coverage from Surat and the broader South Gujarat region and the Union territories of Daman, Diu & Dadra Nagar Haveli. With a reporting career at the publication spanning back to 2007, he has established himself as a high-authority voice on the industrial, social, and political pulse of one of India’s fastest-growing urban hubs.
Expertise
Industrial & Economic Beat: Based in the "Diamond City," Saiyed offers expert reporting on the diamond and textile industries. His work tracks global market shifts (such as De Beers production changes), local trade policies, and the socio-economic challenges facing the millions of workers in Surat’s manufacturing hubs.
Civic & Infrastructure Coverage: He consistently reports on urban development and public safety in Surat, including:
Traffic & Urban Planning: Monitoring the city's 13-fold increase in traffic violations and the implementation of new municipal drives.
Public Safety: Investigative reporting on infrastructure failures, fire safety NOC compliance in schools and commercial buildings, and Metro rail progress.
Political Reporting: Tracking the shifting dynamics between the BJP, Congress, and AAP in South Gujarat and the neighboring Union Territories (Daman, Diu, and Dadra & Nagar Haveli).
Crime beat: Armed with a good source network Saiyed has been able to bring out the human side of crime stories in his region ... Read More
