Palmdale, CA (PRWEB) November 1, 2009
A cotton shortage and price increase has created major problems for the textile sector, which is now leaking over to many U.S. industries. The trucking industry relies heavily on canvas tarps for many applications. The majority of the world's canvas tarps are manufactured in Pakistan and India. Due to a water shortage in both countries as well as electricity tariffs and increased gas tariffs, the price of manufacturing canvas has increased by over 40 percent in the past year. According to the July-September export figures for textiles, cotton canvas being imported to the U.S. has decreased by 30 percent. The amalgam of higher canvas costs, lower supply and pull back due to economic strain has created a major price increase for canvas tarps as well as many other type of canvas products.
The world's leading tarps supplier, Tarps Plus has seen over a forty percent increase in canvas costs since last year. The canvas tarp company has not raised prices as of yet but most of the smaller canvas tarp suppliers have raised their prices to compensate for the higher canvas costs.
Many moving companies have increased their prices as well. Canvas furniture pads and canvas tarps are used by moving companies and are considered an expendable item that is replaced quite often, which contributes to higher moving costs. Building contractors also use canvas tarps for commercial and residential construction sites. The higher cost of canvas tarps is yet another reason for higher costs in that industry.
Anwar Tata, chairman of the All-Pakistan Textile Mills Association states that Pakistan's overseas shipments of canvas textiles may rise to as much as $ 13 billion at this year's end, from $ 10 billion last year's numbers. India's canvas tarp industry, which accounts for one-eighth of the nation's exports, has struggled to revive growth amid a global slowdown in demand, multiple power shortages and rising interest rates.
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