Bright future for Indian Textile Industries by Nimish Pant

1. Bright future for Indian Textile
Industries
By:
Nimish Pant
Post Graduate Diploma in Management: 2010-12
Batch
ITM business School, Warangal(A.P.)

2. • Source:
• Business Today
• Ezinearticles

3. INTRODUCTION
The textile industry in India is substantial, and largely diversified.
The Indian textile industry roots thousands of years back. After, the
European industry insurrection, Indian textile sector also witnessed
considerable development in industrial aspects. Textile industry plays an
important role in the terms of revenue generation in Indian economy.

4. BRIGHT FUTURE FOR INDIAN TEXTILE
INDUSTRY
•The significance of the textile industry is also due to its contribution in
the industrial production, employment. Currently, it is the second largest
employment provider after agriculture and provides employment to
more than 30mn people.

5. PROSPECT
Considering the continual capital investments in the textile
industry, the Govt. of India may extend the Technology Upgradation
Fund Scheme (TUFS) by the end of the 11th Five Year Plan (till 2011-
2012), in order to support the industry. Indian textile industry is
massively investing to meet the targeted. output of $85bn by the end
of 2010, aiming exports of $50bn.
There is huge development foreseen in Indian textile exports from
the $17bn attained in 2005-06 to $50bn by 2009-10. The estimation for
the exports in the current financial year is about $19bn. There is
substantial potential in Indian exports of technical textiles and home-
textiles, as most European companies want to set up facilities near-by
the emerging markets, such as China and India

6. EXPORT POLICY
If textile and apparel exporters seem worse hit by
the dollar’s depreciation, it’s for good reason. More
than 80 per cent of India’s textile exports are
dollar-denominated.
A stronger rupee has made exports more
expensive and, hence, less competitive against
other lowcost competitors. With receding bottom
lines and dwindling orders from key markets in the
US and Europe, textile and clothing units across
the country have no choice but to cut back
production— some small and medium enterprises
are even downing shutters. Already there are
early warning signs that the industry is in for
tough times. In April 2007 (latest month for
which figures are available), textile exports fell
more than 18 per cent. In previous years, exports
were growing at between 15 to 20 per cent.

7. GLOBAL DEMAND
The global demand for apparel and woven textiles is likely to
grow by 25 percent by year 2010 to over 35mn tons, and Asia
will be responsible for 85 percent output of this growth. The
woven products output will also rise in Central and Southern
American countries, however, at a reasonable speed. On the
other hand, in major developed countries, the output of woven
products will remain stable.

8. FORECASTING
It is been forecasted that the
woven textile and apparel markets
will sustain their growth from
current till 2010. The imports of
apparel and textiles will rise from
developed economies like the USA
and the western countries of
Europe and Japan, along with some
newly emerged economies, such as
South Korea and Taiwan.
Certainly, import growth has been
witnessed vertical rise in the
previous year.
Siyaram’s J.Hampstead suits

9. APPLICATIONS USED
Special kind of woven fabrics are utilized in medical as
well as industrial applications. The medical applications
include adhesives, dressing bandages, plasters etc.
Where as, industrial applications includes;
o Geotextile - interior upholstery, trim, airbags and
seat belts and lyre fabrics.
o Sailcloth - tent and fabrics used
architectures, transportation and tarpaulins.
And many more applications...
The Indian Industry foresees huge demand for
industrial woven products for medical and automotive
applications. Demand for woven fabrics is anticipated
to be rise vertically in the sector of home textiles.
Non woven sector has great future in terms of global
demand, thus major facilities of cotton yarn are
currently concentrating just on home textiles. It is
mandatory, that the peak management of the cotton
yarn manufacturers analyze the future prospect and
growing graph of demand for non woven products.

10. EFFECTIVE
ADVERTISEMENTS
Indian textile industries always have
effective advertising strategies which
influence the mind of customers easily.

11. CONCLUSION
Anticipating massive growth in medical and automobile
sectors, these sectors assures substantial demand for non woven
facilities in India. Albeit, home textiles also will lure higher
demand, there are specific demands for home textile facilities also.
The 7th Five Year Plan has huge consideration on agricultural
growth that also includes cotton textile industry, resulting a
prosperous future forecast for the textile industry in India. Indian
cotton yarn manufacturers should rush forward for joint ventures
and integrated plans for establishing processing and weaving
facilities in home textiles and technical textiles in order to meet
export target of $50bn, and a total textile production of $85bn by
2009-2010.

12. THANK YOU