Surat's textile hub consolidated as small players failed to survive GST

This ground report from the diamond city captures the travails of small-scale units

For 37-year-old Monty Manghani, the year 2017 was a milestone. After years of struggle, the annual revenues from his trading unit in Surat, which houses the country’s largest cluster of synthetic textiles, was about to touch Rs 1 crore. 

But Manghani’s success proved to be short-lived. The government implemented the Goods and Services Tax (GST) in July that year and the new tax structure became a challenge for his small unit. Eventually, he was forced to shut shop and team up with his merchant manufacturer father. The duo are now posting a business turnover of nearly Rs 2 crore.

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