By: Saha Chandan
Technology is an important component in manufacturing of
Capital Goods to sustain in the competitive market. Indian Textile Engineering
Industry (ITEl) is one of the critical components of the Capital Goods
manufacturing sector, as this sector has been playing an important role catering to the needs
of domestic industry as well as forex earning and controlling outflow of
foreign exchange. This sector has got a direct contribution for the economic
growth of the country.
This sector had been excelling well till mid80s but
thereafter it showed no improvement for the next two decades. The capacity
utilization of this sector has been moving to a downward direction, production
capacity is not indicating any encouraging trend till the beginning of the
century. There is no improvement in export of textile machinery but there is a rise
in import for the last couple of years. The industries in the sector have been
passing through a rough weather till a couple of years back due to recession in
the textile industry.
However, now the industry has been able to resurge and
slowly move towards a path of growth. But over all, the performance is still far behind the
target in absence of technology res urgency and innovative design to produce
hi-tech machinery of international standard.
It is reported that there will be a huge demand of textile machinery
by 2010 to modernize the textile industry through up gradation of existing
technology or absorption of new technology. So there will be enough opportunities
to resurge the sectors with a new hope. Machine manufacturers of developed
countries have shown keen interest to enlarge marketing through joint venture
or Technology transfer. At present, the Indian textile including Garment
manufacturing industry has been importing second hand & reconditioned
machinery to absorb the technology for modernization of the unit to cope up
with the challenges to meet the buyer's needs in the Global market. But the age
old imported technology & machinery may temporarily fulfill the requirement;
certainly it does not serve the purpose in totality.
So, long-term solution is the Technology Resurgency in
Indian Textile Engineering Industry (ITEI) to bring back the industry on rail
and also to meet the users needs both in the country & in the Global market.
Brief of the Indian Textile Engineering Industry:
Indian Textile Engineering Industry is more than 50 years old.
This segment of engineering industry comprises of 700 units, of which, 250
units are manufacturing complete machinery and the remaining units are
involved in manufacturing parts and accessories. There is an investment of
Rs.1750 crores to build up an annual capacity of Rs.3800 crores. However, the
capacity has shrunk to Rs.3050 crores as a result of the deep recession faced
by the industry during the last 10-12 years.
The capacity utilization of the industry was only 67% in the
year 2005-06 and 55% in the year 2004-05. This sector directly employs around
50,000 people. Indian Textile Engineering industry is one of the important and
largest segments of capital goods manufacturing sector in terms of
manufacturing activity & business.
