Growth Road for the Indian Textile Industry
India is now a fast emerging market inching to reach half a billion middle income population by 2030. All these factors are good for the Indian textile industry in a long run. Even though the global economic crisis seams to be worsening day-by-day, as long as economies are emerging and growing as those in South and South East Asia, textile industry is here to grow provided it takes competition and innovation seriously. Read below to have an insight of the stand of the Indian Textile Industry in the economy.
Where Does the Indian Textile Industry Stand Now?
A general impression I get talking to the Indian textile industry leaders in the past few days make me understand that the industry is in a pinch. Why so? These are the reasons:
It has been recently reported that textile exports in 2009-10 period will be equal or could be even lower than the one achieved in 2008-09. In this global financial meltdown situation, what should the Indian textile industry do? In the times of adversity, it is an immediate task for all stake holders to pause for a moment and take stock of the difficulties and chart plans for sustainability and growth of the Indian textile industry.
Road Ahead for the Indian Textile Industry
As the saying goes in the financial sector, it is not advisable to put all eggs in one basket. This is what happened somewhat in the case of the Indian textile industry. With the opening of world markets and the abolition of textile quotas since 2005, there came a negative situation as well. But, hindsight is always 20-20. Indian textile industry should have focused on all major sectors right from fibre to fashion and planned for an organized growth across the supply chain so as to compete with China and even countries such as Pakistan, Vietnam and Thailand. Instead, the industry had put majority of its stock in the spinning sector. This is clearly evident in the utilization of Technology Upgradation Fund Scheme effectively by the spinning sector. Although it is a positive outcome, in my opinion, the industry turned a blind eye on value-adding sectors such as weaving and finishing. Indian powerloom sector, which enables value-addition is a highly unorganized industry and needs major upgradation. Not only India does not have world quality indigenous shuttleless looms, but also investments are not adequate to cope with the quality and quantity to cater to the export market. Technical textiles sector is still in its infancy and a tangible growth will be highly visible by 2035 when the growth in this sector will be exponential. Is there a panacea to the complexities surrounding the India Textile Industry?
Some Solutions for the Growth of Indian Textile Industry
A couple of points given below will give food for thought for all the stake holders in the Indian textile industry:
What is needed in the Short to Near Long Term?
Creating greater awareness on the marketing of technical textiles is the need of the hour. This should include:
Over the past few months, I have been pushing interested parties in India and abroad to initiate trade delegations so that connectivity can be established among all stake holders Trade bodies in India such as SRTEPC, SIMA and global bodies such as the USA based INDA and IFAI and Europe based EDANA should consider this issue seriously in 2009. The Ministry of Textiles, Government of India should be a part of this mission. Such a mission will open the black box and will provide the Indian and Western technical textiles sector to get a better picture of the industry situation in India. An important aspect, which cannot be neglected is "Mission based Research", that will lead to innovation in the industry. A two prong approach has to be followed:
Things have changed and people are improving their life in many different ways. India is a place to eye on and certainly the Indian textile sector will have its share in the growth story.
About the Author:
The author is associated with Nonwovens and Advanced Materials Laboratory, Texas Tech University, Lubbock, TX, USA.