In ‘City of Apparel’, Warehouses Are Empty

NOIDA: A year after the lockdown was announced, approximately 250 warehouses in Noida, once bustling with garment export activities, are still seeking tenants. The exodus of workers to their hometowns and the drying up of international orders have made it challenging for manufacturers in the "City of Apparel" to cover even minimal operational costs.

"The most affected were the manufacturers who had rented warehouses. Workers left, several orders were canceled, and it became a challenge to pay establishment costs. Some tried to hold on but eventually shut shop. Around 250 garment businesses have closed across Noida in the past year," said Rajiv Bansal, National Secretary of the Indian Industries Association (IIA) and a Noida-based garment manufacturer and exporter.

Noida houses around 1,500 garment exporters, and only a few with their own factories managed to stay afloat. The city's export hub in Sector 62 is now dotted with signboards and hoardings stating "factory space available for rent," but inquiries remain scarce.

Despite the bleak scenario, some exporters remain hopeful. "Once most people get vaccinated in Europe, orders will start coming in. Currently, there's no stock and no containers to ship orders. If the situation comes under control, there's no reason we can't recover," said Kulmani Gupta, President of IIA (Noida). Europe is a significant market for the city's businessmen.

Noida, recognized as the apparel hub under the Uttar Pradesh government's One District One Product (ODOP) scheme, also received the designation of "A Town of Excellence For Export of Apparel" from the Ministry of Commerce and Industry in February. "Many businesses are looking up now. We hope that the garment industry will also start receiving orders by July," added Gupta.

Source: Times of India