The knitwear industry in Tirupur is facing unscheduled and frequent power cuts of 8 to 10 hours a day. As a result, the export-based industry has been witnessing an uptick in enquiries and orders, but it is unable to accept all orders.

The unscheduled power cuts have forced the industry to run on gen-sets. Industry sources reveal that this is a costly proposition for the units because gen-sets cost Rs 18-19 for a unit of power, compared with the grid's Rs 6.5. Some units that could not afford to hire or buy gen-sets have downed shutters, they added. This tiny city, which accounts for 60-70 per cent of India's knitwear industry, is situated on the banks of the river Noyyal. For decades, Tirupur has been the hub for the knitwear industry providing employment to over 500,000 workers. Still, at any point of time, there is a shortage of about 20,000 workers.

The industry had been flourishing till 2010, when the Madras High Court ordered closure of dyeing units allegedly polluting the Noyyal river. After this blow, came the cotton shortage, followed by a sudden drop in orders from major economies.

"The sudden and unanticipated drop of about 2,500 MW can be directly attributed to Central Government Agencies including Central Generating Stations and Central Public Sector Undertakings like NTPC, BHEL, Indian Oil Corporation and Coal India Ltd," chief minister J Jayalalithaa. A Sakthivel, President of Tirupur Exporters Association, said that with China and other neighbouring countries becoming costlier owing to high costs of labour, infrastructure and other compliance issues, customers are now keen on sourcing from India.