Erode handloom societies face ₹50 crore textile stock accumulation

Handloom cooperative societies in the Erode district of Tamil Nadu are facing a crisis as textile stocks worth approximately ₹50 crore have accumulated due to a halt in procurement by Co-optex.

For the past two months, Co-optex has reportedly stopped purchasing various textile products, including bedsheets, pillow covers, mats, and towels. This stoppage affects 190 cooperative societies across regions such as Chennimalai, Bhavani, and Sathyamangalam, impacting more than 50,000 members.

Weavers have expressed concerns that because they rely on loans from cooperative banks to fund production, the inability to sell their stock threatens their livelihoods and their ability to provide continued employment.