INDIAN TEXTILE INDUSTRY

GROUP MEMBERS –

ANUJ DIWAKAR NIKITA SANGAL RISHIBHA RAI PRACHI AGARWAL GAGANDEEP SINGHISHAN NAGPAL

TEXTILE INDUSTRY

Contribution of T&C industry to India’s GDP

4%

Contribution of T&C industry to India’s Industrial Production

14%

Contribution of T&C industry to export earnings

12%

Indian textile industry can be divided into several segments, some of

which can be listed as below:

• Cotton Textiles

• Silk Textiles

• Woolen Textiles

• Readymade Garments

• Hand-crafted Textiles

• Jute and Coir

Second largest provider of employment after agriculture.

Cotton textiles has registered a growth of 8.2% during

April-September 2010-11, while wool, silk and man-made

fibre textiles have registered a growth of 2.2 % while

textile products including wearing apparel have registered

a growth of 3 %.

India has the potential to increase its textile and apparel

share in the world trade from the current level of 4.5% to

8 % and reach US$ 80 billion by 2020.

MARKET SIZEThe Vision Statement for the textiles

industry for the 11th Five Year Plan (2007-12) sees India securing a 7% share in the global textiles trade by 2012.

Currently, the Indian textiles industry is valued at US$ 55 billion, 64 % of which caters to domestic demand.

Total textile exports during April-March 2010-11 stood at US$ 12.5 billion.

EXPORTERS VALUE SHARE IN WORLD EXPORTS(%) ANNUAL PERCENTAGE CHANGE(%)

2010 1980 1990 2000 2010 2005-10 2008 2009 2010

CHINA 130 4 8.9 18.3 36.9 12 4 -11 21

EUROPEAN UNION 99- - 28.5 28.1 3 8 -14 1

extra -EU(27) exports 22- - 6.6 6.3 3 10 -21 2

HONGKONG,CHINA 24- - - - -2 -3 -18 5

domestic exports 0 11.5 8.6 5 0.1 -4.3 -4.2 -80 -28

re-exports 24- - - - 3 5 -11 6

BANGLADESH 16 0 0.6 2.6 4.5 18 23 15 25

TURKEY 13 0.3 3.1 3.3 3.6 2 -2 -15 10

INDIA 11 1.7 2.3 3 3.2 5 10 9 -6

LEADING EXPORTERS

(US$ BILLION)

VALUE(US$ BILLION)

SHARE IN WORLD IMPORTS(%)

ANNUAL PERCENTAGE CHANGE (%)

2010 1980 1990 2000 2010 2005-10 2008 2009 2010

EUROPEAN UNION

164 - - 41.0 44.7 5 16 -11 2

Extra –EU (27)imports

88 - - 19.8 23.8 6 10 -9 3

UNITED STATES

82 16.4

24 33.1 22.3 0 -3 -13 14

JAPAN 27 3.6 7.8 9.7 7.3 4 7 -1 5

HONK0NG 17 - - - - -2 -3 -16 7

CANADA 8 1.7 2.1 1.8 2.3 7 8 -8 10Source : WTO –International Trade Statistics

:

LEADING IMPORTERS

PRODUCTION CENTRES

EXPORT GROWTH

2005-06 2006-07 2007-08 2008-09 2009-10

AP-PAREL EX-PORT

17.52 19.5 22.15 20.94 22.42

2.5

7.5

12.5

17.5

22.5

APPAREL EXPORT

PER

CEN

TA

GE

SOURCE : MINISTRY OF TEXTILES

REGION WISE EXPORTS

(COMPARISON)

America30%

Europe49%

Africa2%

Asia18%

Others1%

Exports ( share %)2010-11

America29%

Europe50%

Africa2%

Asia18%

Others1%

EXPORTS (Share %)2009-10

America33%

Europe49%

Africa2%

Asia15%

others1%

EXPORTS (US$ MILLION)2008-09

Source : Ministry of Commerce

FOREIGN TRADE POLICY (2009-2014)

Duty free import of specified trimmings, embellishment etc shall be available @ 3% on exports of polyester made-ups in line with the facility available to sectors like textiles & leather.

It will promote export of products such as micro cloth, which has become popular in home textiles.

Readymade Garment sector granted enhanced support under MLFPS for a period of further 6 months from October, 2010 to March, 2011 for exports to 27 EU countries.

TEXTILE PRODUCTION CENTRES

Amritsar

PhagwaraLudhianaBhiwani DelhiFaridabadModinagar Kanpur Kolkata

AhmadabadSuratMumbaiBengaluruChennaiCoimbatoreMaduraiRaurkelaTirrupur

MAJOR PLAYERS IN TEXTILE INDUSTRY

Welspun India ltd.Vardhaman GroupAlok Industries ltd.Raymond IndustriesArvind Mills LimitedBombay DyeingGarden Silk MillsITC Lifestyle

EXPORT PROMOTION COUNCILS

organize textiles and garments fairs

organize mega-shows, fashion fairs, buyer-seller meets (BSMs) in

potential markets

sponsor trade delegations for consolidating the existing markets

and exploring new markets

11 textiles exports promotion councils

EXPORT PROMOTION COUNCILThe export promotion councils provide assistance to their members in

the following areas:-

i) Issuance of Certificate of Origin;

ii) Benefits under Market Development Assistance/Market Access

Initiative Scheme;

iii) Overseas participation in international fair/buyer seller meets etc;

iv) Attending to problems relating to customs;

v) Collection of cost data for duty drawback;

vi) Providing training facilities to augment skilled manpower at the shop

floor level;

vii) Providing a channel of coordination between the Industry and the

Government.

FDI India has most liberal and

transparent policies in Foreign Direct Investment (FDI) amongst emerging countries.

Ministry of Textiles has set up FDI Cell to attract FDI in the textile sector in the country.

Foreign investment and collaboration in India’s textile and apparel industry has increased significantly in recent years.

MAJOR FOREIGN COLLABORATIONS AND BRANDS IN INDIA

Arvind Brands Raymond Vardhman Group Levi Strauss Jockey Benetton Bhilwara Melba De Witte Gokaldas Intimatewear Welspun Zucchi Textiles Marzotto Esprit Armani 

TRENDS IN DOMESTIC MARKET

Domestic Apparel market growing at 10% p.a.

Urban Consumers increasingly seeking branded and lifestyle products.

Semi-urban and rural Indian markets are growing faster than expected.

Helpful demographic profile and increase in working female population

FACTS AND FIGURESCurrent share in world export of textiles –

3.5 - 4 %.Current share in world clothing export – 3

%.Largest export segment – Readymade

Garments.The apparel sector supports 7 million people as a

part of its workforce.

TOWNS OF EXPORT EXCELLENCETirupur (Tamil Nadu)- HosieryLudhiana(Punjab)- woolen

knitwearPanipat(Haryana)-woolen blanketBhilwara(Rajasthan)- Textile

QUALITY STANDARDS IN TERMS OF APPAREL EXPORT PROMOTION COUNCIL Documenting and maintaining the Quality System as per the

criteria stipulated in the International Standard ISO/IEC 17025:2005 and ensuring confidentiality of test / calibration results.

Dimensional Stability Tests Color Fastness Tests  Zipper Tests  Button Tests Flame & Heat Protective Tests

OPPORTUNITIESIntegration of information

technology.

Emerging retail industry and malls.

Increased disposable income.