China takes the pride of bringing silk into our lives. Silk was introduced to
this world by Lady Hsi-Ling-Shih, wife of the mythical yellow emperor of China during 3000 BC. They maintained the monopoly of silk for 3000 years. Global
production of silk has doubled during the past two decades, despite man-made
fibers replacing silk in some applications. China and Japan are the leading manufacturers of silk fibers, and fabrics in the world comprising 50% of the
global production.
Indian Silk Industry:
Silk entered India during 3rd century B.C. India stands to be one of the leading consumer of silk and silk products, and a largest
importer of raw mulberry silk. However, Indian silk sector has gone through
numerous tribulations in the interim and it seems to be gradually losing its
sheen. Domestic silk manufacturers are facing intense competition from China, and Indias share in the global market is declining gradually. The mounting pressures of
global recession play its role in taking further toll on the industry.
Provisional figures for 2008-09 released by the CSB indicate
that mulberry production has fallen from 16,245 metric tons in 2007-08 to
15,600 metric tons in 2008-09, though; there was significant increase of 33%
Vanya silk production in 2008-09 which stood at 2,760 metric tons when compared
to 2,075 metric tons in 2007-08. Overall, the production of raw silk grew
marginally by just 40 metric tons from 18,320 metric tons to 18,360 metric
tons.
Silk exports from India grew at a healthy rate in the first
nine months for 2008-09 registering a growth of 12.6%. It soared from US
$470.86 million in the first nine months of 2007-08, to $529.98 million in the
same period of 2008-09. The notable product which recorded high growth rates
were silk readymade garments with a 31% growth rate, while exports of carpets
and silk waste slipped by 45.7% and 53.5% respectively in the same period.
Still, the performance of the Indian silk sector is not satisfactory
comparatively; over its counterparts.
Is the industry losing its gleam?
Fibre2fashion
had an exclusive interview with Mr H. Hanumanthappa, Chairman of Central
Silk Board (CSB), a national organization for overall development of
sericulture and silk industry, functioning under the Union Ministry of
Textiles.
- Compare the
Chinese silk industry with India. Also explain how does it surpass the Indian
silk sector?
China has the advantage of cheap and skilled labor and China was under a regiment rule for a number
of years and quite recently the regimentation has been diluted, as such China has a disciplined labor force and is sincere in their efforts with an absence of
organized unions. Cost of production is also low in China because of developed
infrastructure and sufficient investment on capital machinery.
What are the
reasons for the decline in Indian silk exports during 2008?
He continued The
sharp appreciation in the rupee vis--vis dollar witnessed in the year 2007-08
has resulted in a fall in silk exports from India and even as the appreciating
rupee was making the countrys exports uncompetitive, exporters are being
further burdened by high production costs caused by high interest costs,
pressure on prices and growing costs of inputs. India is facing tough
competition from China in respect of exports after liberalization of quota
restrictions.