Mr Sahni, thanks for joining us on Face2Face talk. Firstly, from consultant and market analyst point of view, tell us with what lessons should textile, garment and retail industry head to next decade?
The single biggest lesson the T&A industry should head to be pay more attention to the domestic market. Indian domestic market for textile and apparel will at least double every 5 years and will offer significant opportunities for players to grow. The growth will come from current consumers buying more clothes, new consumers buying for the first time, consumers moving from textile to RTW buying, from unbranded to branded and to value added garments. The cumulative effect of all these factors will lead to unprecedented growth. I also believe that in many categories domestic market offers better realization per meter and going forward all categories will offer better yield in domestic market.
Like what you cited in your earlier comments, India recently is in talks of investors’ community figuring it to be the key economy globally. What are the factors?
The biggest and visible factor for investors’ community looking to invest in India is the 8% plus GDP growth at a time when major economies are shrinking or growing extremely slow. India along with China offers huge potential opportunities to invest, sell and make money for MNC firms and investors. The fundamental reason leading to this economic growth is the demographic dividend that India is reaping from its 55% population that is younger than 25 years of age, supported by the tax collections that Govt is pumping into social schemes like NREGA that is creating consumption at the poorest level, and then the investments by Private sector as well as by the Govt. in the infrastructure that is creating jobs as well consumption.
Retail in Apparel/Garments sector is getting redefined. What say?
Oh yes. From the textile being sold over the counter while standing out on the street in narrow lanes of crowded markets to consumers browsing through hangers of readymade garments in beautifully done up stores in multi storied air-conditioned malls, the apparel retail has covered a lot of distance in last 10 years. The changes seen in the last 10 years are unprecedented and future generations will remember the last decade as the real turning point in Indian apparel retail sector.
DISCLAIMER: All views and opinions expressed in this column are solely of the interviewee, and they do not reflect in any way the opinion of Fibre2Fashion.com.