Synthetic yarn surges 45%, cotton up 20% as US-Iran conflict reshapes India’s knitwear sector
The ongoing US-Iran conflict is driving up crude oil-linked costs across global supply chains, putting greater pressure on polyester and man-made fibre (MMF) apparel manufacturers than on traditional cotton-based players, according to TechnoSport CEO Pushpen Maity.
Speaking during a visit to the company’s Tiruppur manufacturing facilities, Maity said MMF products are facing sharper cost escalation because synthetic fibres are heavily dependent on petrochemicals. He added that rising yarn prices, along with higher freight and transportation expenses, are impacting the entire upstream supply chain.
The development is particularly significant for Tiruppur, India’s knitwear hub, where many manufacturers have increasingly shifted toward polyester-based activewear, performance wear and other synthetic garments in recent years.
TechnoSport founder Sunil Jhunjhunwala revealed that synthetic yarn prices have jumped 40–45% in recent months, while cotton yarn prices have increased by around 20%, highlighting the stronger impact of geopolitical tensions on petrochemical-based products.
Despite mounting input costs, the company said it has not revised its expansion plans or growth targets. TechnoSport, which posted revenue of nearly Rs 600 crore in FY26 compared with around Rs 400 crore in FY25, continues to target Rs 1,000 crore revenue by FY27.
The company also stated that it does not intend to pass the higher costs on to consumers. Maity said TechnoSport remains committed to being an affordable brand and aims to absorb part of the volatility internally to protect consumer demand.
He added that the company remains focused on innovation and long-term product development, even amid short-term raw material price fluctuations.
The remarks come as manufacturers across Tiruppur continue to battle rising yarn, freight, packaging and labour costs triggered by crude oil volatility and the broader impact of the US-Iran conflict.
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