Power loom Sector, Local Textile Sector, Indian Textiles Industry

Value addition - route to higher price realizations

Terry towels coming from the Indian factories accounted for almost 21 % of the world market. With another 19% share in the bed linen market, India stands as a quality supplier to the USA. Indian products are more focused towards innovation and quality. Visible efforts in quality improvement, innovations through R&D programmes, and other value-added features bring a whole new dimension to the Indian products. In turn this resulted in higher profit as compared to other regional producers.

Customized and high-value added products are generally not affected by change in market parameters. As such, there were no exceptional price fluctuations on Indian markets during quota removal period. But such was not the case with other regional competitors' products, such as China, where prices were cut down significantly favoring buyers.

Sector Outlook

The future of the textiles industry seems to be bright in all aspects. As such Government places all its trust and relies sector for its strong 'employment creation' capability, more precisely in the garments manufacturing side. Lowering tax burdens on companies will play an important part in cutting down production costs and boosting competitiveness, increasing ability to tap high-volume orders from the global market. Modernization would enable companies provide quality and volume solutions which is in constant demand by international buyers.

The Indian textiles, renowned for their fineness and captivating colors for ages beyond 5000 years, have attracted connoisseurs, from all parts of the world. The textiles of India bear the imprint of the fine craftsmanship of the Indian weaver. The skill of weaving with deft fingers, drawing patterns and creating designs, is an art which has been handed down through generations from father to son, from time immemorial. These finest gossamer fabrics woven from yarns of superior finish are now being manufactured more and more on power looms.

The emergence of powerloom has transformed an art into a modern industry, producing around 30,000 million sq. meters of fabrics annually. The combination of traditional art and contemporary modern designs, has given a unique character to the Indian powerloom textiles. The modernization process undertaken by the powerloom industry has widened the scope of products such as grey, printed and dyed fabrics and cotton made-ups in a variety of sophisticated finishes and in a wide range of widths and sizes. Besides, the industry is now in a position to offer fabrics not only of cottons but also of rich blends of cotton, synthetics and other fibers. The process of economic liberalization has enabled the industry to become globally competitive, not only in terms of price, but also of quality. The ranges of products offered are many splendoured, rights from greys to finished fabrics and to made-ups.

The powerloom sector plays a pivotal role in meeting the clothes needs of the country. The powerloom industry produces a wide variety of cloth, both grey as well as processed. Production of cloth as well as generation of employment has been rapidly increasing in the powerloom sector. There are 19.46 lakhs powerlooms in the country distributed over approximately 4.34lakhs units. The powerloom sector contributes 63% of the total cloth production of the country, and provides employment to about 48.65 lakhs persons. It is estimated that more than 60% of the cloth meant for export comes from the powerloom sector.

The Government has launched a major programme for modernization of the powerloom sector by induction of 50,000 Shuttleless looms and 2.5lakh semi automatic/automatic looms in the decentralized powerloom sector. The emphasis has been on the Technology Upgradation Fund Scheme (TUFS).

About the Author:

The author is the Chairman of PDEXCIL, Mumbai.

To promote your company, product and services via promotional article, follow this link: http://www.fibre2fashion.com/services/article-writing-service/content-promotion-services.asp