Home / Knowledge / News / Apparel/Garments / Indian apparel exporters to face new competition
Indian apparel exporters to face new competition
06
Jan '12
Along with the changing global scenario, India apparel exporters may not have to face competition from China, but from three other countries – Bangladesh, Vietnam and Indonesia, according to experts.

The three Asian countries are more efficient and cost competitive in apparel production and Indian apparel exporters run the risk of losing their market share to these countries, they warn.

“Global prices of textile products including apparel have declined and demand also continues to decrease, mainly due to the slowdown in the economies of large importing countries in the West. In such a situation, competition to Indian garment exporters arises from countries like Bangladesh, Vietnam and Indonesia, which are more efficient and cost competitive in apparel production,” Mr. DK Nair, Secretary General of the Confederation of Indian Textile Industry (CITI), told fibre2fashion.

“As of now, we run the risk of losing our market share to these three countries. Contrary to the general perception, China may not be our major competitor in global markets in the coming years because of their internal problems,” he adds.

“In design, quality and other aspects, Indian apparels can effectively meet competition from any country. However, price competitiveness will be the principal determining factor in bagging export orders,” he opines.

Talking about the performance of Indian apparel exports in 2011, he says, “In value terms, there was no decline in our exports of garments during 2011. However, in USA, which is our largest single market for garments, there was a decline of 4.91 percent y-o-y in terms of quantity during January-October 2011. However, there was an increase of 8.95 percent y-o-y in value terms, which was basically due to increase in raw material cost. Therefore, exporters actually lost money.”

“The trend in other major markets has been the same. In European Union, which collectively is a larger importer than the USA, the situation is even worse because of the economic problems that West Europe is currently going through. The USA and the EU together account for over 60 percent of our total garment exports,” he adds.

Commenting about the changing market of Indian apparel exports, Mr. Hari Kapoor, Vice Chairman, Apparel Export Promotion Council (AEPC), says, “Some new countries have started emerging in the market. Our constant and largest buyers were the US and Europe in the beginning, but now some more countries which were not big importers of Indian apparels are becoming important.”

“Apparel exports are increasing to countries like UAE and Russia. Similarly the South American corridor is beginning to improve in quality and size of the business. Business is increasing in Brazil, Argentina, Mexico, etc. We also see a beginning of trade between India and China, as some quantities of garments are being imported by China from India,” he adds.

Sounding optimistic for 2012, he says,“I expect apparel exports to China to be much larger this year. However, the nature of garments exported to China will not be basic garments; it will be more value-added and more fashion items. So, Indian apparel exports will definitely have a good situation in a market like China.”

Fibre2fashion News Desk - India


Must ReadView All

Textiles | On 19th Sep 2017

Maharashtra govt plans 9 textile parks for value-addition

Maharashtra plans to set up nine textile parks in the northern...

Textiles | On 19th Sep 2017

New Delhi urged to include textiles in MERCOSUR PTA talks

The Indian Texpreneurs Federation (ITF) has appealed to the commerce...

Textiles | On 19th Sep 2017

HSBC report says India to be 3rd largest economy by 2028

India is expected to surpass Germany and Japan to become the third...

Interviews View All

Amrit Sethia
SOIE

‘The intimatewear category in India is slowly becoming trend-sensitive.’

Smarth Bansal
Colorjet India Limited

We would like to venture more companies into the Indian market

Victor Chao
Esmetex

‘In future, clothing boundary lines will become increasingly blurred.’

Eric Scholler
Groz-Beckert

The Indian market has huge potential in technical textiles, and by far,...

Eamonn Tighe
Nature Works LLC

Eamonn Tighe, Fibres and Nonwovens - Business Development Manager of...

Kerem Durdag
Biovation II LLC

Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...

Bani Batra

Bani Batra’s couture wedding collection is inspired by traditional Indian...

Aditi Somani
Aditi Somani

Aditi Somani specialises in luxury fusion wear with international cuts and ...

Pranav Mishra
Huemn

Designers Pranav Mishra and Shyma Shetty’s Huemn is known for its...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

September 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
74.5%
No
12.8%
Skip
12.8%

Total Votes: 47

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
61.7%
No
25.5%
Skip
12.8%

Total Votes: 47

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
87.2%
No
6.4%
Skip
6.4%

Total Votes: 47

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
70.2%
No
10.6%
Skip
19.1%

Total Votes: 47


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search