Garment manufacturers stuck with unsold stock as multi-brand firms seek discount, Retail News, ET Retail

Davida Erdahl

Consultant Picture

Ludhiana: In a huge setback to city-dependent garment companies who provide their solutions to the multi-brand name companies and corporates, crores of rupees value their cash has obtained stuck in kind of unsold summer season clothes. This abnormal trouble which the companies are witnessing for the initial time has taken spot as the companies are pressurising the companies to give them reductions ranging from ten-30% on the already verified buy, deliveries for which were being nonetheless to be made, in some conditions even the reductions are staying asked on the already sent consignments.

The companies are justifying their need for hefty low cost by citing losses incurred because of to the lockdown and decline in need. On the other hand, Ludhiana companies are of the perspective that they as well have endured massive losses and furthermore, the selling prices at which they provide their clothes to these companies

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