Page 2 - LN-sub topic 2- Putting out system

 Government also helps the cooperatives by buying
cloth from them at reasonable price.
 The government also buys cloth from the handloom
weaver’s cooperatives and sells it through stores
known as ‘Co-optex’.
 For eg- In Tamil Nadu the government runs a Free
School Uniform program in the state, the government
procures the cloth for this program from the power
loom weaver’s cooperatives.
THE GARMENT  The Erode merchants supply the cotton cloth to the
EXPORTING FACTORY garment exporting factories.
NEAR DELHI  The cloth is used to make shirts by the garment
exporting factories.
 The shirts are exported to foreign buyers like
business from US and Europe who run a chain of
stores.
 The stores to business on their terms. They demand
the lowest price.
 They set high standards for quality of production and
timely delivery.
 They deal strictly with any defects or delays in
delivery.