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Graduation Research Project
Evaluating the Scope of Technical Textile in Raymond
Submitted
By
NEHA D. JADHAV
IN PARTIAL FULFILLMENT OF THE POST GRADUATE DEGREE
"MASTER OF FASHION MANAGEMENT (MFM) 2014- 2016)
Submitted
To
Department of Fashion Management Studies (FMS)
National Institute of Fashion Technology (NIFT)
Plot no. 15, Sector 4, Kharghar, Navi Mumbai, Maharashtra 410210
Web: www.nift.ac.in May, 2016
Graduation Research Project
2
Evaluating the Scope of Technical Textile in Raymond
Submitted
By
NEHA D. JADHAV
Under the Supervision of
Mr. Yashwant Misale
Assistant Professor
IN PARTIAL FULFILLMENT OF THE POST GRADUATE DEGREE
"MASTER OF FASHION MANAGEMENT (MFM 2014-2016)
Submitted
To
Department of Fashion Management Studies (FMS)
National Institute of Fashion Technology (NIFT)
Plot no. 15, Sector 4, Kharghar, Navi Mumbai, Maharashtra 410210
Web: www.nift.ac.in
3
DECLARATION
I Miss Neha D. Jadhav hereby declare that the Graduation Project
Report entitled “EVALUATING THE SCOPE OF TECHNICAL
TEXTILE FOR RAYMOND” is the result of my own research work
carried out by me during the period from 11th
Jan 2016 to 11th April
2016 except as cited in the references. This report has not been
submitted to any other University or Institution for award of any
degree/diploma etc.
However, any other material taken from any other published source has
been suitably referred and acknowledged at various places.
Signature
Name of the Student: NEHA D. JADHAV
Date: 11/05/2016
4
CERTIFICATE FROM FACULTY MENTOR
This is to certify that Ms. Neha D. Jadhav of National Institute of
Fashion Technology (NIFT), Mumbai has successfully completed
his/her GRP work titled –“SCOPE OF TECHNICAL TEXTILE FOR
RAYMOND” in partial fulfilment of requirement for the completion of
2 Years Post Graduate Programme "Master of Fashion Management
(MFM)" as prescribed by the Department of Fashion Management
Studies (FMS), National Institute of Fashion Technology.
This 'Graduation Research Project' report is the record of authentic work
carried out by her during the period from 11th
Jan 2016 to 11th April
2016 under my mentorship.
Signature
FACULTY MENTOR: Mr. Yashwant Misale
Designation: Assistant Professor
Department: FMS (Fashion Management Studies)
Institution: NIFT, Mumbai,
Address: Plot no. 15, Sector 4, Kharghar, Navi Mumbai, Maharashtra
410210
ACKNOWLEDGEMENTS
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A Project report seems to be an individual effort but it is in fact a
teamwork. Summer training at Raymond Ltd. was an opportunity to
shake hand with the practical world of business.
I am indebted to the individuals who helped me in gaining knowledge
and insight into various aspects of understanding the processes carried
out in an organisation, i.e. a brand.
I want to express my deepest gratitude to Mr Kishor Bhatia-Director,
Raymond ltd, for letting me work in the live project for making me
understand the actual work process.
I am also thankful to all my team mates who helped me sail through the
internship smoothly.
My deepest appreciation also extends to Mr Yashwant Misale, project
mentor, Faculty NIFT- Mumbai, who critically reviewed my project and
provided suggestions.
Last but not the least the most important people in my life, I am grateful
to my parents who supported me whole heartedly in my decisions and
encouraged me to do better in life.
Signature
Name: Neha D. Jadhav
Roll no: MFM/14/372
Semester 4
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EXTERNAL JURY PROCEEDINGS
NIFT MUMBAI
Proceedings of the MFM GRP External Jury Examination of Ms. Neha
D. Jadhav
Held at __________________am/pm on ____________________in
NIFT Mumbai
The GRP Internal Jury Examination of Ms. Neha D. Jadhav on her
MFM GRP report entitled “Evaluating the scope of technical textile in
Raymond” was conducted in the________________ at___________
am/pm on the following members of the External Jury were present:
1. <Name, Designation & Address>
2. <Name, Designation & Address>
3. <Name, Designation & Address>
4. <Name, Designation & Address>
7
RECOMMENDATION
The Research scholar Ms. Neha D. Jadhav presented the salient features
of her GRP work. This was followed by questions from the External
Jury members. The questions raised by the Jury Examiners were also
put to the scholar. The scholar answered the questions to the full
satisfaction of the jury members.
Based on the scholar‟s research work, her presentation and also the
clarifications and answers by the scholar to the questions, the board
recommends that________________________________, be awarded
the Master Degree in "Master of Fashion Management (MFM)"
1. (Name of the Jury Member with Signature)
2. (Name of the Jury Member with Signature)
3. (Name of the Jury Member with Signature)
4. (Name of the Jury Member with Signature)
8
EXECUTIVE SUMMARY
Company: Raymond Ltd. Thane
Project: Evaluating the scope of technical textile in India
Date: 11th
May 2016
Author: Neha D. Jadhav
Mission: To evaluate the scope of technical textiles and create a
business opportunity in Raymond.
Business Overview: Raymond Limited, the largest integrated
manufacturer of worsted fabric in the world was incorporated as the
Raymond Woollen mill during the year 1925 in the area around Thane
creek. The company comprises in three business divisions, such as
Textiles, Engineering and Aviation. Textile division of the company has
a distribution network of more than 4,000 multi-brand outlets and over
400 exclusive retail shops in the domestic market itself. Suiting‟s are
available in India in over 400 towns through 30,000 retailers and an
exclusive chain is present in over 150 cities across India and overseas
especially the products exports to over 55 countries including USA,
Canada, Europe, Japan and the Middle East. The group has three
engineering divisions, J.K. Files & Tools, J.K. Talabot Ltd. to cater to
national and international markets and a controlling interest in Ring Plus
Aqua Ltd engaged in the manufacture of auto components. Raymond
Ltd. is one of the first Corporate Houses in India to launch Air Charter
Services in India and since then it has been always a way ahead for
Raymond Aviation under the name of Million Air and have a fleet of 3
helicopters and 1 executive jet for the busy corporate executive.
PROJECT STUDY: It has been argued that a comprehensive and
technological change in the textile fabrication forces companies to move
towards looking at the changes in customer demands. If an effective and
technological evolution permits fabrics to emerge, the roles, played by
textile companies in India and abroad can lead to creation and evolution
of textiles. This can also lead to new development of technologies that
may by accepted
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by the end customers thereby creating a new business opportunity for
the fabric professionals all around the world.
This aim of this research is to study different textiles and their
compositions that are available in the market.
Initially we present an introduction on Raymond and its business
objectives. We narrow down to the new product development process
and the department that performs it in Raymond. Next we investigate
and evaluate the scope of technical textile.
Finally, based on the study, we present a conclusion that summarizes the
major findings unearthed by the study.
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TABLE OF CONTENTS Chapter Topic Page no
1.0 Introduction 1
1.1 Company Profile 1
1.2 Company Module 3
2.0 Objectives 4
2.1 Project undertaken 4
2.2 Project objectives 4
2.3 Scope of the study 4
2.4 Methodology 5
2.5 Literature Survey 6
2.5.1 Background 6
2.5.2 Various categories 7
2.5.3 Market size 8
2.5.4 Global vs domestic scenario 8
2.5.5 Government initiatives 10
2.5.6 Sector policy 10
2.5.7 Key provisions 10
2.5.8 Tax incentives 12
2.5.9 Challenges & future prospects 13
3.0 Functions of the Department 15
3.1 Collection 15
3.1.1 Exotic collection 16
3.1.2 General collection 17
3.1.3 Exclusive collection 18
3.1.4 Special collection 19
3.1.5 Ready to stitch collection 19
3.2.1 Seasonal collection process 20
3.2.2 New product development 22
3.2.3 Product functions 23
3.3.1 New development in fabric 24
3.3.2 Fibres used in Raymond 25
3.3.3 Need for blending 26
3.3.4 Blend description 27
3.3.5 Raymond‟s business objective 30
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3.3.6 Marketing objective 30
3.3.7 Lead time to the customer 30
4.0 Scope of technical textile 31
4.1 Technical textile (definition &brief) 31
4.2 Consumption of technical textile in India 32
4.3 Distribution of technical textile in India 33
4.4 Market size: National & International 34
4.5 Competitor analysis 36
4.6 Role of fibres in technical textile 38
4.7 Market Survey 40
4.8 Marketing challenges 45
4.9 SWOT Analysis 46
4.10.1 S- Strength 46
4.10.2 W- weakness 47
4.10.3 O- opportunity 49
4.10.4 T- threat 50
4.11 Key success factors 51
5.0 Results 52
5.1 Observations during the project 52
5.2 Suggestions 52
5.3 Conclusion 53
6.0 Miscellaneous 54
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CHAPTER 1 INTRODUCTION
1.1COMPANY PROFILE
Incorporated in 1925, Raymond Group is one of India's largest branded
fabric and fashion retailers. It is one of the leading, integrated producers
of suiting fabric in the world, with a capacity of producing 31 million
meters of wool & wool-blended fabrics. Gautam Singhania is the
chairman and managing director of the Raymond group.
With a capacity of 38 million meters in wool & wool-blended fabrics,
Raymond commands over 60% MARKET share in worsted suiting in
India and ranks amongst the first three fully integrated manufacturers of
worsted suiting in the world. They are perhaps the only company in the
world to have a diverse product range of nearly 20,000 design and
colours of suiting fabric to suit every age, occasion and style. They
export their products to over 55 countries including USA, Canada,
Europe, Japan and the Middle East.
Raymond produces high-value pure-wool, wool-blended and premium
polyester viscose worsted suiting in addition to half a million blankets
and shawls. Their strong in-house skills for research & development
have always resulted in path-breaking new products raising the standard
of the Indian textile industry.
Raymond‟s relentless pursuit of excellence has earned us over 60%
market share in worsted suiting in India.
Over time, Raymond has mastered the craft of producing the finest
suiting‟s in the world using super fine wool (with a fine count from 80s
to 250s) and blending the same with superfine polyester and other
specialty fibers like Cashmere, Angora, Alpaca, Pure Silk, Linen etc.
They also produce and market plush-velvet furnishing fabric in a wide
array of designs and colors for Indian and overseas markets.
A 100% subsidiary of Raymond Limited, Raymond Apparel Ltd. (RAL)
ranks amongst India's largest and most respected apparel companies.
They bring to their customers the best of fabric and style through some
of the country‟s most prestigious brands – Raymond (Ready-To-Wear),
Park Avenue, Color Plus, Parx and Notting Hill.
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Raymond Ltd. is among the largest integrated manufacturers of fabrics
in the world. Raymond Apparel Ltd. has in its folio some of the apparel
brands in India – Raymond Premium Apparel, Park Avenue, and Parx.
Color Plus is among the smart casual brand in the premium category in
India.
Silver Parx is a garmenting facility in India that manufactures formal
suits, trousers and jackets.
J.K. Helene Curtis Ltd.is a player in the grooming, accessories and
toiletries category. Raymond also is in joint venture with UCO Denim,
J.K Ansell, ltd and JK Talabot. Along with the above ventures,
Raymond launched its first men‟s ethnic wear brand called ETHNIX in
2011 thereby widening its scope in the traditional market.
Being integrated suppliers of fabrics as wells as garments, Raymond
offers total textile solutions.
Raymond‟s main ventures are into worsted fabrics, tailored clothing,
denim, Jeanswear, shirting‟s, suiting‟s, Dress shirts, corporate wear
woollen outer wear.
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1.2 COMPANY MODULE
Raymond has made its mark as being the foremost and the most
respected men‟s wear brand. Portraying Raymond‟s man as being the
most gentleman through his clothing and tagline which says
RAYMOND-THE COMPLETE MAN, it has reached in almost every
customer‟s priority list.
Raymond has in total 700 EBO (exclusive brand outlets) and about 200
MBO (multi-brand outlets). Its business works on 4 important modules
which are:
1. COCO- Company owned Company Operated stores,
2. COFO- Company owned Franchise Operated stores,
3. FOCO- Franchise owned Company Operated stores,
4. FOFO- Franchise owned Franchise Operated stores.
The core business of Raymond is of SUITINGS which makes around
2200-2400 crores of business being the most profitable one. Next in line
is the shirting business makes around 600-700 crores of business.
Raymond has also started with its high end outlets i.e. RAYMOND-
MADE TO MEASURE. The name itself says the garments are
customised according to the consumer‟s needs.
It also does manufacturing of denims named as UCO DENIM.
Raymond has the biggest mill in Vapis (Gujarat), Bangalore, Kolhapur,
etc. Textile production is done in chindwada in Nagpur
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CHAPTER 2 - OBJECTIVES
2.1 PROJECT UNDERTAKEN
Raymond, Ltd. is a very reputed and a big brand in the apparel industry.
I was placed in the Innovation team which works on fabrics. Working
on the basics of a finished product i.e. innovating the fabric is a different
experience than working and dealing with finished apparels as the
processes are different. Every organisation works differently and so
does Raymond. Working style of a brand is totally different from an
export house. As I was in the Innovation team, learning step by step
procedure which is followed became an important task.
So, selecting a project on mapping the process flowchart and working
towards innovating new product/idea/innovation became important.
2.2 PROJECT OBJECTIVES
The first objective is to study Raymond and its business
objectives.
Next and the most important objective is to investigate and
evaluate the scope of technical textile in Raymond.
To suggest a new business opportunity for the organisation and
Based on the study, presenting a conclusion that summarizes the
major findings unearthed by the study.
2.3 SCOPE OF THE STUDY
The aim of this project is to understand the processes involved in the
business from designing the product till its final look. It gives a detail
idea of how different departments work and what different processes are
followed in manufacturing in synchronization so that the end fabric gets
the desired look and feel.
To gain an insight into the intricacies involved in planning for a season
and implementing decisions made for the same be delving into details
concerning carious essential aspects.
16
This study aims at leaning by gaining practical knowledge and
experience by working in an organization with systematic and planned
schedule to
be adhered to for a season to ensure positive results and profits which is
the ultimate aim of any business.
This project was very helpful to fulfil many loopholes of manufacturing,
processing and analysing the fabric development stages.
2.4 METHODOLOGY
The primary objective of doing this project was to get first-hand
knowledge of functioning of Innovation in fabrics. As there is no
comparison of two different entities on the basis of some criteria,
learning the core processes was the main aim. Hence, exploratory
research method was adopted.
Further there are few reasons which made me to use exploratory
qualitative research:
It is not always desirable or possible to use fully structured or
formal methods to obtain information from respondents
People may be unable to provide accurate and unwilling to
answer certain questions or unable to give truthful answers which
rarely happened in my case but yes there is a chance.
People may be unable to provide accurate answers to question to
tap their sub consciousness.
Thus, project research methodology is as follows:
In primary research, qualitative research through in depth interviews had
been adopted. For interviews non structured open ended questions were
used. Sitting with the designers and the assistant managers to understand
the processes was an important task involved.
1. In secondary data, both internal and external research was done.
For internal research, ready to use documents were used available
with the organization were used.
17
2. For external research on technical textiles, secondary research
method was used.
3. The Research included:
a. Global Technical textile market
b. Distribution of technical textile in India
c. Market size
The after work included which technical textile is feasible for Raymond
and accordingly suggest a business plan.
2.5 LITERATURE SURVEY
OVERVIEW OF TEXTILE INDUSTRY
2.5.1 Background
India is one of the world‟s largest producers of textiles and garments.
Abundant availability of raw materials such as cotton, wool, silk and
jute as well as skilled work force have made the country a sourcing hub.
It is the world‟s second largest producer of textile and garment‟s. The
Indian textiles industry accounts for about 24% of the world‟s spindle
capacity and 8% of global rotor capacity. The potential size of the
Indian textile and apparel industry is expected to reach US$ 223 billion
by 2021.
The textile industry has made a major contribution to the national
economy in terms of direct and indirect employment generation and net
foreign exchange earnings. The sector contributes about 14% to
industrial production, 4% to the gross domestic product (GDP), and
27% to the country‟s foreign exchange inflows. It provides direct
employment to over 45 million people. The textile sector is the second
largest provider of employment after agriculture. Thus the growth and
all around development of this industry has a direct bearing on
improvement on Indian economy.
India has overtaken Italy, Germany and Bangladesh to emerge as the
world‟s second largest textile exporter. India‟s share in global textiles
increased by 17.5% in 2013compared to 2012. Textile exports from
India will touch US$ 300 billion by the year 2024-25.
In 2012, apparel had a share of 69% of the overall market, textiles
contributed the remaining 31%.
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2.5.2 Various Categories
Indian textile industry can be divided into several; segments, come of
which can be listed as below:
Cotton: Second largest cotton and cellulosic fibres producing
country in the world.
Silk: India is the second largest producer of silk and contributes
around 18% of the total world raw silk production.
Wool: India has 3rd
largest sheep production in the world, having
6.15 crores sheep, producing 5 million kg of raw wool, and
accounting for 3.1% of total world wool production. India ranks
6th
amongst clean wool producer countries and 9th
amongst grey
wool producers.
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Manmade fibres the 4th
largest in synthetic fibres/ yarns globally.
Jute: India is the largest producer and 2nd
largest exporter of jute
goods.
2.5.3 Market Size
The Indian textile industry, currently estimated at around US$ 108
billion, is expected to reach US$ 141 billion by 2021. The industry is
the second largest employer after agriculture, providing direct
employment to over 45 million and 60 million people indirectly. The
Indian textile industry contributes approx. 5% of GDP, and 14% to
overall index of Industrial production (IIP).
The Indian textile industry has the potential to grow five-fold over
the next ten years to touch US$ 500 billion mark on the back of
growing demand for polyester fabric. The US$ 500 billion marks
consists of domestic sales of US$ 315 billion and exports of 185
billion. The current industry size comprises domestic market of US$
68 billion and exports of US$ 40 billion.
Apparel exports from India have registered a growth of 17.6% in the
period April-September 2014 over the same period in the previous
financial year.
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2.5.4 Global Vs Domestic Scenario
The global trade of textiles and garments was approximately $781
billion in 2013. This is almost 4.6% of the trade of all commodities,
which is estimated at approximately $17 trillion. From 2008 to 2013,
the global textile and market trade has grown at a CAGR of 4
percent.
The current global garment market is estimated at approximately
$1.15 trillion which from nearly 1.8% of the world GDP. Almost
75% of this market is concentrated on Europe, USA, China and
Japan. An analysis of per capita spend on garment in various
countries shows a significant difference in developed and developing
economies. Within the major markets, India has the lowest per capita
spend on garment ($37) which is only 3 % of the highest one viz.
Australia ($1,131).
The top five textile and garment exporting nations are China, India,
Italy, Germany and Turkey. China is the single largest exporter with
39% share while India stood at a distant second place with 5 % share.
The top five importing nations re China, US, Germany, Japan and
United Kingdom. USA is the largest importer with a share of 17% of
the total global trade. The Indian textile and garment industry has an
important presence in the country‟s economy through its contribution
to industrial output, employment whereas its share in Indian exports
stands at a significant 13%. India is the second largest exporter of
textile and garment goods with a global trade share of approximately
5%.
The Indian domestic consumption of textile and garment is valued at
US$ 63 billion in 2013. Within this, garment retail has the highest
share of 73% contributing $46 billion, technical textile
contributes $13 billion with a share of 21% and home textiles
contribute $4billion with a share of 6%.
In 2013, India became second largest exporter of textile and garment
in the world surpassing Italy and Germany. India exported textile and
garment goods worth $40 billion, with a share of about 5% of global
textile and garment trade. In terms of value, Indian textile and
garment exports is dominated by garment category which has a
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majority share of 40% followed by yarn, fabrics, fibre, made-ups,
and other textiles including carpets, non-woven, etc.
POLICIES AND GOVERNMENT INCENTIVES
2.5.5 Government Initiatives
The Indian government has come up with a number of export
promotion policies for the textiles sector. It has also allowed 100%
FDI in the Indian textile sector under the automatic route.
2.5.6 Sector Policy
Technology Upgradation Fund Scheme has infused investment of
more than INR 2500 billion in the industry. Support has been
provided for modernisation ad upgradation by providing credit at
reduced rates and capital subsidies.
Scheme for Integrated Textile Parks provides world class
infrastructure to new textile units. To date, 57 textile parks have
been sanctioned with an investment of INR 60 billion. By 2017,
25 more Textile parks are to be sanctioned.
Integrated Processing Development Scheme for sanctioning
processing parks has been earmarked for this scheme.
Integrated Skill development has provided training to 1.5 million
people to cover all sub sectors of textiles such as Textile and
Apparel, handicrafts, Handlooms, Jute and Sericulture.
2.5.7 Key provisions for 2014-15
Allocation of INR 500 million towards the setting up of a trade
facilitation centre and a crafts museum to develop and promote
handloom products and carry forward the rich tradition of the
handlooms of Varanasi.
Allocation of INR 2000 million towards the proposed setting up
of mega textile clusters at Bareily, Lucknow, Surat, Kutch,
Bhagalpur and Mysore and one in Tamil Nadu.
22
Allocation of INR 300 million towards the setting up of Hastkala
Academy for the preservation, revival ad documentation of the
handloom/ handicraft sector in PPP mode in Delhi.
Allocation of INR 500 million towards the setting up of
Pashmina promotion programme (P-3) and a programme for the
development of other crafts of Jammu & Kashmir.
The duty free entitlement for import of trimmings and
embellishments used by the readymade textile garment sector for
manufacture of garments for exports is being increased from 3%
to 5%.
Non- fusible embroidery motifs or prints are being included in
the list of items eligible to be imported duty- free for
manufacture of garments for exports.
The list of specified goods required by handicraft manufacturer-
exporters is being expanded by including wire rolls so as to
provide customs duty exemption on import handicrafts
manufacturer-exporters.
Fusible embroidery motifs or prints, anti-thefts devices, pin
bullets for packing, plastic tag bullets, metal tabs, bows, ring and
slider hand rings are being included in the list of items eligible to
be imported duty free for manufacture of handloom made ups or
cotton made ups or manufacture made ups for exports.
Specified goods imported for use in the manufacture of textile
garments for export are fully exempt from Basic Customs Duty
(BCD) and Countervailing Duty (CVD) subject to conditions tha
the manufacturer produces an entitlement certificate from the
Apparel Export Promotion Council or from the Indian Silk
Export Promotion Council.
Basic customs duty on raw materials for manufacture of spandex
yarn viz. polyetramethylene ether glycol and diphenyl methane
4,4 di-isocyanate is being reduced from 5% to NIL.
Any of the following two deductions can be availed:
Investment allowance (additional depreciation) at the rate of 15%
to manufacturing companies that invest more than INR 1billion
in plant and machinery, exceeding INR 250 million, acquired and
installed plant between 01.04.2013 and 31.03.2015, provided the
aggregate amount of investment in new plant and machinery
during the said period exceeds INR 1 billion.
23
In order to provide a fillip to companies engaged in
manufacturing the said benefit of additional deduction of 15% of
the cost of new plant and machinery, exceeding INR 250 million,
acquired and installed during any previous year, until
31.03.2017.
2.5.8 TAX INCENTIVES
R&D Incentives/private-sponsored research programmes:
a. A weighed tax deduction is given under section 35(2AA) of
the Income tax Act.
b. A weighed deduction of 200% is granted to assess for any
sums paid to a national laboratory, university or institute of
technology, or specified persons with a specific direction
that the sum would be used for scientific research within a
program approved by the prescribed authority.
Companies engaged in manufacture having an In-house R&D
centre
a. A weighed tax deduction of 200% under section 35(2AB)
of the Income tax Act for both capital and revenue
expenditure incurred on scientific research and
development.
State Incentives
a. Apart from the above, each state in India offers additional
incentives for industrial projects. Some of the states also
have separate policies for the textile sector.
b. Incentives are in areas like subsidized land cost, relaxation
in stamp duty exemption on sale/lease of land, power staff
incentives, concessional rates of interest on loans,
investment subsidies/ tax incentives, backward areas
subsidies and special incentive packages for mega projects.
Export Incentives
a. Export Promotion Capital goods scheme (PCGS)
b. Duty Remission Scheme
c. Focus Product Scheme, Special focus product scheme,
Focus market scheme.
Area based Incentives
24
a. Incentives for units in SEZ/NIMZ as specified in respective
acts or the setting up of projects in special areas such as the
North east, Jammu and Kashmir, Himachal Pradesh &
Uttarakhand.
2.5.9 CHALLENGES AND FUTURE PROSPECTS
Challenges faced by the Indian textile industry:
In spite of immense factors fuelling the growth of the Indian
textile industry, there are certain challenges faced by the country
in terms of scarcity of trained manpower, escalating energy costs,
high transportation costs, obsolete labour laws, low level of
technology and lack of economies of scale.
Future Prospects
The Indian textiles industry is set for strong growth, buoyed by
both strong domestic consumption as well as export demand. The
industry is expected to reach US$ 220 million by 2020.
With consumerism and disposable income on the rise, the retail
sector has experienced a rapid growth in the past decade with
several international players like Marks &Spencer‟s, Guess and
Next having entered the Indian market. The organised apparel
segment is expected to grow at a compound annual growth rate
(CAGR) of more than 13% over a 10 year period.
Growth Drivers
1. Rising per capita income, favourable demographics and a shift in
preference for branded products is expected to boost demand.
2. Favourable trade policies and superior quality will drive textile
exports
3. Increase in domestic demand is set to boost cloth production
4. Pointed and favourable policies instituted by the government will
give the industry a fillip.
25
5. With consumerism and disposable income on the rise, the retail
sector has experienced rapid growth in the past decade, with many
global players entering the Indian market.
6. The centres of excellence focused on testing and evaluation as
well as resource centres and training facilities have been set up.
7. As per the plan for 2012-17, the Integrated Skill Development
Scheme aims to train over 2,675,000 people up to 2017, covering
all sub sectors of the textile sector – textiles and apparel,
handicrafts, handlooms, jute and sericulture.
8. Changing lifestyles and increasing demand for quality products
are set to fuel the need for apparel.
Investment Opportunities
1. Entire value chain of synthetics
2. Value added and speciality fabrics
3. Fabric processing set ups for all kinds of natural and synthetic
textiles
4. Technical textiles
5. Garments
6. Retail brands
26
CHAPTER 3 - FUNCTIONS OF THE DEPARTMENT
3.1 COLLECTION
Raymond has a variety of collections designed for every strata of the
society. The major collections include the Domestic Suiting
collections which involves the major profits of Raymond.
This collection is further been divided into 4 seasonal collections:
1. Exotic: Specifically designed for the elite.
2. General: As the name says, designed for the masses.
3. Exclusive: designed for a specific purpose
27
4. Special seasonal: Made for a specific season
5. Ready to stitch: Custom made
3.1 Exotic
3.1.1 Exotic collection is further divided into sub categories and they
are:
a. The Chairman‟s collection
b. The Lineage Line
c. The Renaissance collection
d. The Tasmania Collection
e. The Ceremonial Collection
f. Estivo
28
3.1.2 GENERAL COLLECTION
The General collection is also further categorized into more
specifics according to the fabrics. This collection caters to the
general mass consumers and thus the commonly used fibres are
used. Among these, the poly wool and the ploy viscose ones are
partly priced high and low respectively according to the blends.
29
3.1.3 EXCLUSIVE COLLECTIONS
The name itself suggests supplying exclusive collections to only
selected suppliers/ clients. The main chain of distribution is through
Wholesale only considering selected number of suppliers in North
and East and same in South and West.
North & East included 28 dealers and South & West included 22
dealers.
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3.1.4 SPECIAL COLLECTION
This includes the two most prestigious and the very important
collections which are showcased only occasionally.
It includes 2 events which are:
a. Top Dealer conference: This is held once in every 4 years in
different countries of Asia where all the textile players of Asia
showcase their collections and accordingly forecasting is done.
b. Mini Booking: This is conducted by the company itself where
suppliers are called and a trade show is organised. In this show,
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the suppliers then book their orders as per requirements. This
booking is conducted every half yearly.
3.1.5 READY TO STITCH (ROYAL BLISS)
Standard sizes are made which are not fully stitched. The end
changes are done according to the clients final measurements in
order to meet perfection. Usually this collection includes
Sherwanis, Indo western, Bandh gala and Kurta line.
3.2.1 SEASONAL COLLECTION PROCESS
This is a mandatory process for every apparel company. Like every
other organisation, Raymond also follows the standard two seasons
i.e. spring summer and autumn winter. This process involves lot of
steps and each step requires special attention. The steps involved are
as follows:
32
Review of previous collection: In order to start with the
development of new collection, there happens a review of the
season gone by so that accordingly, the new collection is planned.
This step helps the designers to understand the demand of the
consumer i.e. the ongoing trend in the market.
Create a Plan: After the review, starts the planning of the season.
The main responsibility is to plan the product mix which
undergoes lot of changes every season. This is planned depending
on the budget given by the marketing team.
Conceptualization: The design team creates a concept and
accordingly designs the whole collection. This conceptualization
involves a story which includes, colour board, mood board and
design story. It is then presented to the higher authorities for the
approval.
Blanket presentation: This is a very important and a different
step. After the approval of the concept, the designers prepares a
blanket wherein, all the options of the fabrics are weaved with
their respective colour options in small boxes of specific lengths.
This blanket preparation takes around 2 weeks. This blanket is
then cut down to pieces as per the boxes and a file is prepared
which is then approved by the director in order to present it in the
trade show.
Blanket Sorting: After the approval, the selected qualities of the
fabrics along with its colour options are sorted and then issued
further for improvements if required as per the plan.
Feedback from Agents: These selected qualities of the fabrics
are presented to the agents and the sales team at the preview
conference after which the final ones are processed for
production.
Finalization: The final approved fabrics of the designed
collection are then issued for production. The manufacturing
program is then planned as per the forecast accordingly.
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Sample Presentation: Of all the approved fabric options, sample
fabric of specific quantity are made so as to check the look of the
fabric when a garment is prepared out of it. In this process, shade
and finish approval is done considering the final look of the
garment after the stitch.
New product research: Creating new product Information,
designing brand logos, styling garments for booking centres, etc.
are the roles which have to be carried out by the team.
Product training: With all these activities, the marketing team
trains their sales staff and agent staff about the product. Detailed
product information is given so that the staff can further represent
the brand properly.
Attend Booking: To remain updated with the latest trends, an
extensive research is undertaken. This includes attending various
events to understand the market. Similarly, the team attends
various trade shows where the organisation exhibits their products
and the team attends all such shows to get a proper feedback
about their product.
Final Issuing: The most important and the last step for the
collection process is issuing the final booked products for
production. A systematic manufacturing program is set for the
season and accordingly production process is carried out.
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3.2.2 NEW PRODUCT DEVELOPMENT PROCESS
This is a detailed description of the product development process.
This process majorly involves 8 steps which are carried out by the
innovation team of Raymond. These steps are as follows:
Opportunity identification: A common and important step for
any organisation to start off with a new product. This helps to
identify whether the product can be a success or not.
Opportunity Analysis: After an extensive research, happens
the further step of analysing these opportunities which can be a
hit or a miss for the organisation.
Idea Generation: As the opportunities gets sorted out, then idea
generate. This process is performed by the design team.
Idea Screening: These ideas are then presented to the senior
authorities in a systematic format which is called idea screening.
Product development and Testing: The designers develops
their designs with respective colour options and these fabrics are
tested to check the performance of the fabrics. The designs
which are having good potential are selected and are taken for
sample development.
Business Analysis: Alongside designing, the planning team
does a business analysis of these new products.
Technical Implementation: Without studying the
technicalities, a product is never complete and thus happens this
step after the design aspect is covered.
Commercialization: Hard-core marketing team work on this
aspect.
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3.2.3 PRODUCT FUNCTIONS
The functions attached to the product development are varied and
needs to be understood properly. Right from planning till the end
finished product involves lot of responsibilities and challenges
which the team faces. Some of the roles involves forecasting,
product development and management, its training to the staff,
outsourcing, studying international trends, etc. The major functions
are listed below
This helps the team members to work towards the successful
presentation of every season. The employees are marked for their
performance on the successful fulfilment of these parameters.
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3.3.1 NEW DEVELOPMENT IN FABRIC
The backbone of any garment is its raw material. In this sector, it‟s
the fabric which plays an important role in the overall final look of
the garment, so working towards the appearance and the feel of the
fabric becomes very important. This can be brought through
various techniques and mixing of more than one fabric to improve
the performance of the fabric. The 4 most important elements in the
development of new fabric are:
With the help of new technologies and designs, the Innovation
team keeps on adding a new touch and twists to the fabrics.With
the recent development in fabric knows as Techno smart fabric,
Raymond has tried to reach a new height in the field of Innovation.
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3.3.2 FIBRES USED IN RAYMOND
Raymond is the world's largest producer of worsted suiting fabrics
commanding over 60% market share in India. With a capacity of
38 million meters, we are among the few companies in the world,
fully integrated to manufacture worsted fabrics, wool & wool
blended fabrics. We also convert these fabrics into suits, trousers
and apparels that are exported to over 55 countries in the world;
including European Union, USA, Canada, Japan and Australia
amongst others.
The main categories which are produced in Raymond are:
Worsted
Denim and
Shirting
Different types of fibres including natural and manmade are used in
order to create a good quality fabric with god aesthetics and
performance.
3.4.2 BLENDS USED
No fibre is used in its purest form as that fibre may or may not have
all the qualities which are needed for the overall performance of
the fabric which is turned to make a garment. There are lot of
38
blends mixed and matched in Raymond so as to create new
qualities every time. The basic blends are set and they are
mandatorily used since years. To identify and order them, the
company has made some codes which identify the fabric blend and
those fabrics are then ordered accordingly. The
codes of the blends are as follows:
FIBRE NAME CODE BLEND PREFIX
Cotton 1 All Wool
Polyester 2 Wool rich
Viscose 3 Poly wool
Merino Wool 4 Poly viscose
Cashmere wool 5 Outside weaving in PV
Angora wool 6 Silk
Mohair 7 Linen
Wool grade 8 Poly wool (diff quality)
Camel hair 9 Outsourced fabric
3.3.3 NEED FOR BLENDING
The important reason for blending fibers is to produce better
performance. By blending we can improve the characteristics that
are poor in one fiber, by blending it with another type of fabrics
that excel in those characteristics. For example polyester when
blended with cotton, the resultant fabric has moderate absorbency
which is almost nil in polyester.
To reduce the cost this is sometimes one of the important reasons
for blending of fibers. To produce cross dyed effects fibers with
unlike dye affinity are combined and dyed together so that it
produce interesting cross dyes effects as one fibers take up the
color and the other retains its original color.
To improve the spinning, weaving and finishing efficiency for
example the spinning efficiency of polyester is improved by
blending with cotton to produce spun yarns.
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3.3.4 BLEND DESCIPTION
COTTON BLEND
Cotton is the most common fibre which is used in blending as it
has lot of useful properties. The blends sued by Raymond are:
Fine yarn dyed cotton and plains
P/V cotton
Wool/ cotton/silk
Cotton prints
Corduroy
The blend compositions and the breakup is stated below
40
Development in cotton blends and the detailed composition
P/V Cotton Poly Bamboo Cotton
41
Development in Linen blends:
Pure Linen
Wool Linen
Linen Mohair
Linen prints
Linen coated fabrics
Developments in the cotton blends:
Paper yarn
Polyester/ Bamboo/ Linen
Cotton/ Polyamide
Fine cotton for exotic
PU coating
Digital printing
Jute look
Foil print for jacketing
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3.3.5 RAYMOND’SBUSINESS OBJECTIVE
Every organisation has its business objectives. Similarly, Raymond
has a business agenda which it carries every season. The main
business objectives is to sell 60 CMC (Chairman Collection) suits
in a year.
3.3.6 MARKETING OBJECTIVE
The 3 most important objectives are:
Adding to Raymond‟s imagery - Limited edition
Reiterate Raymond‟s leadership and expertise in crafting the
very best fabric
Strengthen “Made to measure” personalization proposition
3.3.7 LEAD TIME TO THE CUSTOMER
This is the planned structure of delivery of the product to the
customer. This lead time cycle is for made to measure outlets of
Raymond.
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CHAPTER 4 - SCOPE OF THE TECHNICAL
TEXTILE
4.1 TECHNICAL TEXTILE (DEFINITION AND BRIEF)
A technical textile is a textile product manufactured for Non-
Aesthetic purposes where function is the primary criterion. India
currently consumes the products under all twelve categories,
though not all of them are produced domestically. The 12
categories are:
Mobiltech, Buildtech, Meditech, Agrotech, Clothtech, Packtech,
Geotech, Oekotech, Hometech, Protech, Indutech and Sportech.
The percentage of indigenous production varies drastically across
various products. India is a large producer of technical textiles
products in Packtech, Clothtech, Hometech and Sportech segments,
the products of which are primarily commodities.
Unlike the conventional textile industry in India which is highly
export intensive, the technical textile industry is an import intensive
industry. Many products like baby diapers, adult diapers, PP spun
bound fabric for disposables, wipes, protective clothing, hoses,
webbings for seat belts, etc. are imported to a very large extent. As
mentioned earlier, the products with high production levels in India
with substantial exports are typically commodity products and are
not very R&D intensive. These products include flexible
intermediate bulk containers (FIBCs), tarpaulins, jute carpet
backing, hessian, fishnets, surgical dressings, crop covers, etc. Size
of the units manufacturing the products also varies to a large extent.
There is significant number of small scale units manufacturing
technical textile products; this segment is highly unorganised in
nature. Although there are various large players present, the
production of certain goods is still concentrated in the small scale
segment like canvas tarpaulin, carpet backing, woven sacks, shoe
laces, soft luggage, zip fasteners, stuffed toys, fabrication of
awnings, canopies and blinds, etc. There are a few Multi-National
Companies like Ahlstrom, Johnson& Johnson, Du Pont, Procter
44
&Gamble, 3M, SKAPs, Kimberly Clark, etc. which are
internationally very large players in technical textiles and have set
up their units in India as well. There are some domestic players like
SRF, EntremondePolycoaters, Kusumgarh Corporates, Supreme
Nonwovens Pvt. Ltd., Garware Wall Ropes, Century Enka, Techfab
India Ltd., Pacific Non-Woven, Vardhman, Unimin, etc which are
also very large players in this industry.
4.2 CONSUMPTION OF TECHNICAL TEXTILE IN INDIA
Technical textile consumes 22% of the total fibre consumption
globally. Among this, the consumption of technical textiles is more
seen in developed countries.
USA: 23%
EUROPE: 22%
CHINA: 13%
INDIA: 4%
Based on the past trend of growth and estimated and user segment
growth, the sub group on technical textile for the 12th five year
plan has projected the market size from 75,925 crore for 2012-13
to 1, 58,540 crore for year 2016-17.
The largest category in the technical textiles industry of India is
Packtech which has around 38% share. The domestic consumption
of Packtech currently is around Rs 14,067 crore and is expected to
grow at the rate of 13% year on year to reach Rs 25,913 crore by
2012-13. Another very significant segment in the Indian technical
textiles market is Clothtech, which has over 17% share of the
technical textiles consumption. However, consumption of this
segment is expected to register a growth of around 8% year on
year and reach Rs 9,665 crore by 2012-13. Mobiltech and
Hometech each has a share of around 8-9% in the total
consumption and are expected to grow at 10-11% year on year for
the next five years. Sportech which has a share of around 7% has
above average growth potential of almost 11% year on year. It is
expected to reach Rs 4,358 crore by
45
2012-13.Indutech which currently has only about 6% share of the
total domestic technical textile consumption is expected to grow at
12% year on year for the next five years to reach Rs 4,091 crore.
Rest of the segments have shares of less than 5%. Amongst the
smaller segments, Protech has good growth potential.
The current domestic consumption of Protech is around Rs 1,259
crore and is expected to increase to almost Rs 2,021 crore by 2012-
13 growing at over 9-10% year on year.
4.3 DISTRIBUTION OF TECHNICAL TEXTILE IN INDIA
In 2007, Prime minister Dr. Manmohan Singh announced the
technology mission on technical textiles under the 11 five year
plan. The mission has been established to address the “major
constraints for improving production and consumption of technical
textiles” In 2008-09, 4 centres of excellence (COE‟s) were set up
to catalyse industry support and build capacity in the area of Geo
tech, Pro tech, Medi tech and Agrotech. Each of these COE‟s was
46
set up with an initial outlay of 11 crores from the central
government. In 2010, a fund outlay of 200 crores was announced to
support the Mission.
4.4 MARKET SIZE: NATIONAL AND INTERNATIONAL
Technical textiles refer to textile materials and products used
primarily for their technical performance and functional properties
rather than their aesthetic or decorative characteristics. The
segment encompasses diverse products and applications; based on
product characteristics, functional requirements and end-user
applications; technical textile products have been grouped into 12
categories.
Technical textiles are predominantly man-made fibre-based owing
to their inherent advantages of strength and versatility. Man-made
fibres are estimated to account for around 80% of the total fibre
consumption in the global technical textiles. Majority of technical
textiles are manufactured using regular fibres or their specialty
variants, whereas, high performance fibres account for a mere 5%
of the total fibre consumption.
INDIAN TECHNICAL TEXTILE INDUSTRY
India is emerging as a significant player in technical textiles. The
fast-paced economic growth leading to infrastructure creation as
well as higher disposable income has made India a key market for
the technical textile products. Moreover, the country has
developed a foothold in the production of technical textiles owing
to its skilled and technical manpower as well as abundant
availability of raw-material. More investments are underway in
this sector; as per the Ministry of Textiles, as on September 2010,
26,163 applications for technical textile projects with a project
cost of US$ 14.5 billion2 were disbursed under Technology
Upgradation Fund Scheme (TUFS).
Indian Technical Textile industry is estimated at US$ 11 billion2
(2009-10), with domestic consumption of US$ 10.3 billion. The
47
Industry has witnessed a significant growth of 16% from 2001-02
to 2009-10 and, is expected to grow at a rate of 11% year-on-year
and reach a market size of US$ 15.1 billion by the year 2012-13.
Domestic consumption is expected to increase to US$ 14.1 billion
by the year 2012-13.
Packtech, Clothtech and Hometech are the largest segments of the
Indian Industry, comprising around 65% of the Indian technical
textile market, as evident from the above figure. Going forward,
Sportech, Indutech, Geotech, Oekotech, Packtech and Hometech
are expected to achieve high growth rates.
GLOBAL TECHNICAL TEXTILE MARKET
Global technical textile market is growing at a CAGR of 8%.
Among all the textiles, the below chart shows that Mobiltech
followed by Sportech and Indutech. Innovation plays a vital role in
determining the performance of the global technical textiles
market. Some of the factors that drive this market are a surging
demand from the global automotive market, excellent physical
properties of technical textiles, and product development led by
innovation. Technical textiles refer to high-performance textiles
that are used in place of regular textiles. Over the past couple of
years, the demand for technical textiles has been increasing
48
significantly owing to their superior functionality and physical
properties and greater research and development.
4.5 COMPETITOR ANALYSIS: MARKET SHARE
1. The Ruby Mills, Ltd.
Incorporated in the year 1917, as a composite textile mill,
mainly manufacturing cottons. The management of the unit
was taken over by the late Mr C N Shah in 1946 and
thereafter the mill has been regularly progressing and
manufacturing a wide range of products. The company has
two plants located at Dadar, Central Bombay and Dhamni on
Mumbai Pune Highway. Since 1996, the company is
manufacturing micro dot fusible interlining and basic
interlining in technical collaboration with GygliTextil AG
Switzerland. The company has been in operation since 1921
with an Annual Income of Rs 680 million (US$ 10.95
million).
2. Bombay Dyeing
Bombay Dyeing as established in 1879, as a small operation of
Indian spun cotton yarn dip dyed by hand. The company
49
specialises in stylish linens, towels, home furnishings, leisure
clothing, kids wear and a whole range of other products which
are available in over 350 exclusive Bombay Dyeing Retail or
2000 multi brand outlets. It also has a polyester division which
is engaged in manufacture of 100% virgin polyester staple
fibre and textile grade PET chips. It uses NGSS technology
from Invista Polyester technologies and Chemtex
InternationalInc, USA
3. Arvind Mills
Started in 1931 by three brothers, with a share capital of Rs
2,525, 000 (US$ 41, 957*), Arvind Mills was set up with the
aim of manufacturing high end superfine fabrics in India.
Arvind has carved a niche with brand names like Arrow,
Flying machine, USPA, New port, Mega mart and The
Arvind Store. It has diversified into other major segments
such as fabrics, garments, advanced materials, chemicals and
dyes, retails, engineering, real estate, sustainable agriculture
and telecom.
4. Welspun India Ltd
Welspun India Ltd is a fully integrated home textile
manufacturer and one of the top three globally. With a
network across 32 countries, the company offers the entire
range of home textile products to consumers from almost
every corner of the world. It also owns leading brands such as
Christy and Hygrocotton among others. The company has
modern manufacturing facilities at Anjar and Vapi in Gujarat,
India where it produces the entire range of
Home textiles for bed and bath category.
5. Alok Industries
Alok Industries Ltd vertically integrated textile company,
provides end to end solutions through five core divisions –
Cotton Yarn, Apparel Fabric, Home textiles, Garments and
Polyester Yarn. Alok‟s large customer base companies
domestic and international retailers, garment exporters in India
and converter countries who are vendors to major international
labels. They include some of the world‟s largest retailers and
India‟s largest manufacturers of apparel and home textiles.
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INTERNATIONAL PLAYERS
1. DU Pont (U.S)
2. Asahi Kasei corporation (Japan)
3. Freudenberg (Germany)
4. Kimberly Clark (U.S)
5. Mistui chemicals (Tokyo)
4.6 ROLE OF FIBRES IN TECHNICAL TEXTILE
Fibres is a lifeline of any garment or product related to fabric. The
fibres which are mostly used in technical textile are categorised
below:
REGULAR FABRICS:
Natural: Cotton, silk, wool, jute, hemp, rami, flax
Regenerated: Viscose, Lyocell
Synthetic: Nylon, PET, PP, acrylic
SPECIALTY VARIANTS OF REGULAR/GENERIC FIBRE
Flame retardant
Super absorbent
Anti-bacterial
Ultra-fine fibres, etc.
HIGH TECH/HIGH PERFORMANCE FIBRES
High chemical and combustion resistant organic fibres
High performance inorganic fibres: Glass, asbestos & carbon.
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PHYSICAL PROPRTIES OF FIBRES FOR TECHNICAL USE
1. WOOL: Though being a natural fibre, wool has technical
characteristics which can be useful for making technical
textiles. The qualities are as follows:
Highly extensible
Low thermal conductivity
Comfort and warmth
Comparatively fire retardant
Used for fire proof padding in aeroplanes
2. NYLON: Manmade fibres so can be used as per need be.
Nylon 6,6 first fiber in 1939 by DU Pont
High extensibility, dimensional stability, low moisture
Used in carpets, curtain, packaging, sport textiles, etc.
3. POLYESTER (PET)
Durability and compatibility with cotton in blend
Low moisture absorbency and good dimensional stability.
Glass transition temp is approx. 70˚C , resistance to heat and
chemical degradation
4. VISCOSE RAYON
Better tenacity in wet and dry conditions
Textured and hollow fibers are comparable to cotton
Fire retardant
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4.7 MARKET SURVEY
In order to check the feasibility of technical textiles in
Raymond, a market survey was conducted by spreading a
questionnaire with a sample size of 50 which included mix
crowd like textile professionals, common people and below is
the survey report.
Safety Measures Taken In the Indian Industry for
Employees/ Labours
The above graph clearly states the position of safety measures
taken care by the Indian industry is not up to the mark as
other countries. Protech industry which specially is into
protective textiles have a high scope when it comes to safety.
The main target is to increase the protective measures and
safety in the workplaces.
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AWARENESS OF TECHNICAL TEXTILE IN INDIA
This area is emerging but it‟s an untapped market in the Indian
market scenario. So, there is a scope in the Indian market and
the best way to introduce it is by attaching it to a big name like
Raymond.
SCOPE OF TECHNICAL TEXTILE IN INDIA
54
35
15
Technical textile industry is the most emerging and inventive
industry. It ranks 5th
in the world for high potential in the
textile industry. Innovation is found at the highest level in this
area and as Raymond is associated with innovating new
developments in the market, it will be a good opportunity for
Raymond.
SHOULD RAYMOND CONSIDER INTO EXPANDING
IN TT
Considering the above options, Raymond does have a good
opportunity in the technical textile business. Due to increasing
scope it can be introduced as a new business opportunity and
what better than Raymond.
DIRECTION OF EXPANSION
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The biggest advantage for opting in this will be the brand image
of Raymond which will help the growth of technical textiles.
EFFECT ON EXPANSION TO BRAND IMAGE
Advantages if brand extension:
Increases brand image
Reinforcement of the brand
Reaching out to new customers
Lesser amount of risk
AWARENESS OF MAJOR PLAYERS IN THE INDUSTRY
56
The only reason for not being aware about this industry is no
marketing is done up to the mark.
FINDINGS OF THE SURVEY:
India has a vast scope in technical textiles.
Favourable industry dynamics and government support
would help to aid the growth.
Raymond has the capacity to take initiatives and bring
forth innovation to harness the potential
Thus, it has a scope by aiding the growth of this industry
by taking on huge expansions.
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4.8 MARKETING CHALLENGES
In order to enter in such a big area, building a strong brand
strategy becomes important. Also, with that comes lot of
challenges in front of the organisation which it has to face.
Below are the marketing challenges which can occur for
Raymond:
Building a new marketing concept
Product Knowledge
Immature market
Customer behaviour
Largely unorganized set up
Unawareness
Unavailability of information
Knowledge of certification and testing
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4.9 SWOT ANALYSIS
4.10.1 TECHNICAL TEXTILE: STRNGTH
Cheap labour
Abundant raw material
Increasing population
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Steady increase in infrastructure development
Real estate growth
Consideration for geo-textiles in SOR by central ministry
Industrial growth
Growth in automotive sectors
Increase in awareness of healthcare and hygiene products
Urbanisation
Stringent laws on waste management
Popularity of various sports
Disadvantage India
4.10.2 TECHNICAL TEXTILE: WEAKNESS
Technology obsolesce
Poor policy framework
Poor infrastructure
Lack of skilled workforce
15-point roadmap to become global leader
Create awareness across the country: Awareness on technical
textiles in India is not much among existing players. In order to
create awareness, conferences and seminars should be held by
various government organisations. This will not only create
product knowledge, but also help in understanding market
potential of TT.
Ensure availability of right type of fibres: Availability of right
type of raw material is essential for growth of any sector. As
TT are high-engineered products, raw materials play a very
important role in their manufacturing. Raw materials must meet
all standardised norms specified by industry, which will ensure
that the quality of the final product is as per industry
requirements.
Promote tie-ups with global leaders: As product knowledge is
very limited, tie-ups with global leaders in the TT sector will
help in the growth of the industry. Most automobile companies
have followed the same strategy in the past. This will benefit
60
Indian players to both gain product knowledge as well as
capitalise the market.
Encourage FDI: Vast market potential for future, skilled man
power and abundant availability of raw material gives a cutting
edge advantage to India as an investment hub for the TT sector
for foreign players. Encouraging FDI in the sector will help in
growth of the sector in India as well as provide employment
opportunities.
Value addition in existing setup for woven technical textiles:
Due to lack of product knowledge, investors are hesitant on
Investing in TT. They can think of diversifying into TT using
existing capacities so that they can test the market. After
gaining full confidence, they can subsequently get into full-
fledged investments.
Establishment of knowledge-sharing centres: It is necessary
that product knowledge of TT reaches out to grassroots levels.
This can be done by setting up knowledge-sharing centres in
each and every textile hub in the country. These centres would
facilitate matters for new entrepreneurs.
Replace existing conventional products with technical textiles:
For many of the individual and industrial uses, TT products
offer better options over conventional products. These products
are much more beneficial over conventional products in terms
of their performance. E.g. roof insulations.
Create concept selling for TT products: Concept selling can be
an influential way in promoting TT products in India. E.g.
sportech offers benefits like easy movement, stretch ability and
comfort to swimmers which can help them improve their
performance.
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Brand – Made in India: Creating a strong „Made in India‟ brand
will promote Indian TT across the globe especially for products
where we can differentiate.
Futuristic strategy to meet demand-supply gap: We need to
frame our vision, strategy and action plan by correct assessment
of the demand and supply gap, and position India as a strong
player in the international market for supply of TT.
4.10.3 TECHNICAL TEXTILE: OPPORTUNITY
Unlike conventional textiles, technical textiles (TT) have a
huge potential in India, as the sector is in an introductory phase
as of now. The Indian TT industry has witnessed a significant
growth of 16 per cent from 2001-02 to 2009-10, and is
Expected to grow at the rate of 20 per cent year-on-year to
reach a market size of $36 billion by 2016-17.
The income of the Indian consumer is also growing fast. This
will enable them to make more discretionary spending on TT
products viz. Hometech, clothtech, mobiltech, sportech and
meditech. India‟s per capita income is projected to soar by 10.4
per cent to `74,920 in 2013-14 as the country becomes a $1.7
trillion economy. The middle class of 300 million with higher
discretionary income is expected to increase to 520 million in
another five years. The middle class is well-educated and
receptive to many TT products, particularly disposable products
which have a huge market in Western countries. This,
combined with the growth of organised retail in the country,
will be a key growth driver for TT used in consumer products.
Over 50 per cent of the country‟s population is below 25 years
– the vibrant segment for any market. Also, India leads the
world with the highest confidence index (it was highest in India
62
for a 7th straight quarter) – showing optimism among
consumers in the economy.
Their (technical textiles) wide range of applications, lack of
competition, and growing consumer and industrial demands
make it a big opportunity area and an attractive option to invest
in. Moreover, factors conducive for the growth of
manufacturing and consumption of TT are also available within
the country. Though India is the second largest textile economy
in the world after China, its contribution to the global TT
industry is only 9 per cent of the total consumption. Currently,
there are very few market players in the TT segment.
As TT products are high-engineered products manufactured on
the basis of functional properties for specific uses, they are
higher value products; so, they fetch higher returns to
manufacturers giving good profit margins. The Indian culture is
showing a paradigm shift towards Westernisation; so new
generation entrepreneurs should think of untapped market
segments. As we are moving towards globalisation, our needs
And market demands are changing, and I am sure products like
wet wipes, disposable home textiles, travel kits, air bags, high-
end sports textiles, and disposable products like medical
textiles will be products of daily consumption in the near
future.
If we go back 10-20 years, products like sanitary pads, baby
diapers or wipes, were hardly used by the masses. But today,
these products have penetrated even into rural areas. So, the
time has come to change our mind-set from “conventional
textiles” to high value “technical textiles” as investment
options. Investors need to direct themselves from basics to
high-engineered niche products. The major chunk of TT are
manufactured by nonwoven technologies. These are compact
technologies, and are emerging technologies to produce
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complex products as well. As the process is very short, the
utility consumption is much lower; and due to mass production,
operating costs are minimal as well.
4.10.4 TECHNICAL TEXTILE: THREAT
Technical textile industry is new and growing sector in India,
so the biggest threat can be the entry of new players as this area
has a lot of scope in the future. Also, there are established
international technical textile players which may enter through
FDI.
Thus, we can definitely position India as a potential hub for TT,
provided we develop world class infrastructure, technology
levels, skill development programmes and a government policy
framework which will support our vision. We also need to have
new entrepreneurs with new mind-sets to explore innovative
marketing and manufacturing techniques.
4.11 KEY SUCCESS FACTORS
With the help of below factors, Raymond can reach new
heights by expanding the business in technical textiles. These
key success factors are:
Strong Brand presence
Collaboration with local players
Innovation is the key for success in this field
Process optimization with minimum trial is vital to be
competitive in the market
Products are tailor made and vary continuously, so for this
support of qualified technical hand is a must.
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CHAPTER 5 RESULTS
5.1 OBSERVATIONS DURING THE PROJET
The organization is well organized and systematic.
The merchandiser is the key connection between all the
departments.
Every department has their key roles well defined and the
senior authorities keep a regular track of who is working on
what in the team.
The fabric and the garment testing are done by the testing
laboratory of Raymond itself.
There is a cordial relationship within every team member
and in problems they help each other.
Where other companies work almost 2 seasons prior,
Raymond was working one season prior.
5.2 SUGGESTIONS: FOR THE DEPARTMENT
Though the working process is performed systematically,
there is no specific time management.
A specific working calendar needs to be followed so that all the
processes are tracked systematically.
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The brand needs to work 2 seasons prior as compared to other
organizations so that they can come at par with the market.
Hence, by squeezing the time slots for each activity, maximum
time can be saved which will lead to better productivity and
faster delivery of the products and also the brand could be able
to work for future seasons in advance and reach at par with other
competitive companies.
SUGGESTIONS: TECHNICAL TEXTILE
Understanding the pain points of the customer (what fabric is
needed)
Working towards solving these problems
Being disruptive (new solutions)
Upgradation of product to exceed customer needs
5.3 CONCLUSION
The team members keep the team running.
From the merchandiser‟s point of view, he/she is the mediator of
the company and the buyer. The merchandiser communicates with
the buyer and even within al the departments so as to get the work
done as per the deadlines.
It is always an advantage to know about different fabrics used, the
kind of trims used for every buyer.
From the designer‟s point of view, he/she needs to be abreast with
the latest trends and fashion in the market so as to deliver
innovative products every time.
The most important element is time management which keeps
the team performance at the highest level.
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CHAPTER 6 - MISCELLANEOUS
INDUSTRY CONNECTIONS
The team members of Textiles department
SENIOR AUTHORTIES
Mr. Kishor Bhatia- Director, Raymond apparel Ltd.
SENIOR MANAGERS OF TEXTILE TEAM
Mr. Sandesh Godbole ( Innovation)
Mr. Nameet Srivastava (Ethnix)
Mr. Vijay Panchal (General set)
Mr. J.K. Sharma (Exclusive collection)
Mr. Vijay (Exotic collection)
Innovation Team Assistant managers
Ms Nandini Durgesh
Ms Shweta
Ms Vinita
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Ms Twinkle
Mrs Nimisha
Human Resources Executive
Ms Khyati Handa
Fabric Testing Department
Mr. Sunil Singh (General Manager)
BIBLOGRAPHY
http://www.raymond.in/index.asp
http://www.slideshare.net/VinaliPatil/technical-textiles-future-of-
indian-textile-market
http://www.raymond.in/index.asp
http://www.slideshare.net/VinaliPatil/technical-textiles-
future-of-indian-textile-market
http://www.slideshare.net/VinaliPatil/technical-textiles-
future-of-indian-textile-market
http://www.researchandmarkets.com/reports/3049264/global-
technical-textiles-market-2015-2019
http://technotexindia.in/
file:///E:/NIFT-
2014/SEM%204/Domestic%20Technical%20Textile%20Indu
stry.pdf
file:///E:/NIFT-2014/SEM%204/textile-industry-in-india.pdf
http://www.protex-textile.com/home/innovations/rd-centers/
http://www.intnews.com/TTIBuyersGuide/advertisers
