Indo-German technical textile business poised for huge growth
Indo-German Technical Textile business poised for huge growth Mumbai, 11 March, 2010. "Indian innovation combined with German Technical Textile technology leadership can boost bilateral trade, economic cooperation and take Indian technical textile industry to highest levels of growth", assured Mr. Walter Stechel, Consul General of Germany in Mumbai, at a Conference on "German Technology for Indian Technical Textiles" held in the city.
He also suggested that India and Germany, should explore 3rd world markets in South Asia, Central Asia and Africa, countries where German companies might have cost disadvantage and where the combination of German technology and Indian innovative production skills could have market penetration.
Mr. Boris Abadjief, leader of VDMA (German Engineering Federation Textile Machinery Association), said, "Technical textiles which has a great potential for growth in India, offers great opportunities in terms of innovation and value addition. India could effectively tap the German market valued at US$8 billion (Rs.2000 Crores)". He appealed to the Indian technical textile industry to take full advantage of Germany's strength in manufacturing high-class machinery for increasing their share of the world market for technical textile products.
Inaugurating the Conference, Mr. A. B. Joshi, Textile Commissioner, Ministry of Textiles Government of India, predicted that Indian technical textile industry will grow at the rate of 11% year on year to reach a market size of Rs.70,151 crore by the year 2012-13 which is higher than the growth rate of 3-4% prevailing in the international market. The Indian technical textile market size for the year was Rs.41,756 crores out of which Rs.38,855 crore was domestic consumption and exports accounted for Rs.2901 crore, he noted.
He informed that the Government would shortly be launching the Technology Mission on Technical Textiles which was announced by Prime Minister, Dr. Manmohan Singh, in September 2007. Mr. Joshi declared that the Government was planning to implement the Technology Mission on Technical Textiles for five years starting from 2010-11 with a proposed outlay of Rs. 500crores. Referring to the four centers of excellence viz. BTRA for Geotech, SASMIRA for Agrotech, NITRA for Protech and SITRA for Meditech, Mr. Joshi said that the Ministry of Textiles has already released an amount of Rs.41,701 crore till date to these COEs against sanctioned amount of Rs.43.31 crore.
These Centres of Excellence have completed establishment of almost 50% of facilities and within six months to one year all the COEs will become fully operational, he added. Referring to the modified Technology Upgradation Fund Scheme (TUFS) which provides for additional benefit in terms of 10% capital subsidy on specified technical textile machinery in addition to 5% interest reimbursement, Mr. Joshi appealed to the industry to avail of the cumulative benefit which works to more than 20 percent for setting up technical textile projects.