K.K Agarwal, chairman of ALPS Industrial Co., said recently in an interview with the media.

He said,

He said that in the past 50 years, we have never seen such a crisis.

To deal with this situation, we must slash production until the demand for yarn is restored.

He said the Reserve Bank of India raised

China has a strong chemical fiber textile industry, mainly because of its high output compared with India.

Some enterprises produce synthetic textile fibers and yarns, and the total capacity is larger than that of India. This is an economic scale problem.

In recent 2-3 years, the labour problem has become a thorny issue for the government, because the government's MNREGA plan guarantees workers to work in their villages every year for 100 days.

They do not want to leave the village, which is the main reason for the shortage of labour in the textile industry.

Besides, textile workers are required to work shifts, and their working environment is very high in humidity and temperature.

Workers are now willing to go to other industries with better working conditions.

He said: at present, export demand for yarn, finished goods and garments is very weak all over the world, including the United States and Europe.

Take yarn as an example, especially importers, because the India government banned yarn export from December to March.

At the same time, they found suppliers from other countries, such as China, Pakistan and so on, and it would take some time for them to return to India.

In general, India's textile industry will not be able to cope with competition from China, Vietnam and Bangladesh, he said.

Take yarns as an example, because India is the only country with surplus cotton and modern spinning factories, India can be very competitive.

If the government does not interfere with exports like December 2010, the situation in India will be better.