VDMA Textile Machinery Association
Producers of textile machinery and accessories
What is the current market scenario for German textile machineries, especially in the Asian region?
The German textile machinery makers still remain leaders of quality and technology in the world. Due to low maintenance charges, resources efficiency and reliability in production, the initial investment for a German textile machine pays off after a few years.
Energy efficiency provides a good example to demonstrate this: With its market-leading technologies and machinery, many German textile machinery manufacturers are already successful in offering environmental friendly energy and resource-efficient solutions worldwide.
According to a study by the renowned consultancy Roland Berger and the VDMA, energy efficiency increase of approximately 15 % were achieved in the last ten years through the use of German textile technology - far more than that of the corresponding use of technology in most other manufacturing industries. Manufacturers of machinery and equipment for the textile industry are therefore among the most innovative sectors of the German plant and machinery construction industry - even without a mutually agreed machine label to identify energy efficiency.
If German technology of the latest generation is used for the production for e.g. cotton T-shirts, billboards and functional T-shirts, energy savings of about 30% can be achieved. Higher energy efficiency always means higher profits.
Among the Asian markets, China is still keeping the lead. Nearly one third of the German textile machinery exports of 2013 went to the People's Republic i.e, 934 million Euros.
India performed weaker in 2013 but nevertheless imported German textile machinery worth 230 million Euros. There are various reasons for the situation of the Indian textile industry like uncertainty factors in the sector regarding the procurement of raw material or financing. But given the big potential of the Indian textile sector, the general perspective is encouraging. The Indian middle class, target consumers for many companies, is expected to swell up to 267 million people in the next five years, up 67 % from the current levels, thus providing a great market opportunity for firms. So in the mid-term perspective, the Indian textile sector could benefit not just from exports but also from a huge domestic market - this offers chances for the German textile machinery sector.
Besides the "big two" there are a number of Asian countries that invested between 40 million and 60 million Euros in German textile technology: Bangladesh and Indonesia bought German textile machinery worth 57 million and 55 Euros. South-Korea has been a good market for German technology for many years with exports of 50 million Euros, this was also true in 2013.
Worth to mention are Malaysia (German exports 40 million Euros) and Vietnam (12 million Euros). Frankly speaking, for the German textile machinery industry, the Asian market is a puzzle with two big pieces and numerous medium and smaller ones that provide a complete picture.
- Ilin Mathew
Published on: 30/05/2014
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.