Slide 1
Textile Industry
1
Presented byKrupa YeshaNirbhay
AgendaHistoryScope of industryCompanies in the industry List of
companies within the sectorSelected companies 5 force
modelSWOTConculation
Indian Textile Industry - Introduction
History The Indian textile industry is one of the largest in the
world.Indias textiles sector is one of the oldest industries in
Indian economy dating back several centuries.Even today, textiles
sector is one of the largest contributors to Indias exports with
approximately 11 per cent of total exports.Textile industry
contribution to Indias GDP-5%
Broader Classification of textile industry :-
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Indian textile industry can be divided into several segments,
some of which can be listed as below: Cotton Textiles 2nd largest
cotton & fibers producing country in the world. Silk Textiles
India is the second largest producer of silk &contributes about
18% to the total world raw silk production. Woolen Textiles-India
has 3rd largest sheep population in the world, having 6.15 corers
sheep, producing 45 million kg of raw wool, & accounting for
3.1% of total world wool production . India ranks 6th amongst clean
wool producer countries & 9th amongst greasy wool
producers.Man-made fibers-the 4th largest in synthetic fiber/yarns
globally. Readymade Garments Hand-crafted Textiles Jute India is
the largest producer and second largest exporter of the jute
goods.
Market size The Indian textiles industry, currently estimated at
around US$ 108 billion, is expected to reach US$ 223 billion by
2021.The industry is the second largest employer after agriculture,
providing employment to over 45 million people directly and 60
million people indirectly.The Indian Textile Industry contributes
approximately 5 per cent to Indias gross domestic product (GDP),
and 14 per cent to overall Index of Industrial Production
(IIP).
Scope of Industry The Indian government has come up with a
number of export promotion policies for the textiles sector. It has
also allowed 100 per cent FDI in the Indian textiles sector under
the automatic route.The objective of TMTT is to promote technical
textiles by helping to develop world class testing facilities at
eight Centers of Excellence across India, promoting indigenous
development of prototypes, providing support for domestic and
export market development and encouraging contract research.
The Government of India is expected to soon announce a new
National Textiles Policy. The new policy aims at creating 35
million new jobs by way of increased investments by foreign
companies, as per Textiles Secretary Mr. S K Panda.The Government
of India has implemented several export promotion measures such as
Focus Market Scheme, Focus Product Scheme and Market Linked Focus
Product Scheme for increasing share of Indias textile exports.The
Ministry of Textiles has approved a 'Scheme for promoting usage of
geotechnical textiles in North East Region (NER)' in order to
capitalize on the benefits of geotechnical textiles
The future for the Indian textile industry looks promising,
buoyed by both strong domestic consumption as well as export
demand.With consumerism and disposable income on the rise, the
retail sector has experienced a rapid growth in the past decade
with the entry of several international players like Marks &
Spencer, Guess and Next into the Indian market.The organized
apparel segment is expected to grow at a Compound Annual Growth
Rate (CAGR) of more than 13 per cent over a 10-year period.
TEXTILE PRODUCTION CENTRESAmritsar PhagwaraLudhianaBhiwani
DelhiFaridabadModinagar Kanpur
KolkataAhmadabadSuratMumbaiBengaluruChennaiCoimbatoreMaduraiRaurkelaTirrupur
MAJOR FOREIGN COLLABORATIONS AND BRANDS IN INDIA
Arvind BrandsRaymondVardhman GroupLevi
StraussJockeyBenettonBhilwara Melba De WitteGokaldas
IntimatewearWelspun Zucchi TextilesMarzottoEspritArmani
Porters Five Forces
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Threat of New Entrants:Low barriers in the domestic market.
Brand identity of a company in this industry is high.
Capital requirements to establish a regional or a national level
operation are high.
This industry is not lucrative.
The companies operating at the national level do manage to make
economic profit
High capital requirement is not an issue for the international
players and thus the entry of strong international brands in the
domestic market is inevitable.
Thus the threat of new entrants is moderate.
Bargaining Power of Buyers:High demand for apparels and home
textiles in Us and Eu markets.
Product differences and brand identity are quite high.
Buyer volume is generally low.
Buyer information is high.
Thus the bargaining power of buyers are low.
Bargaining Power of Suppliers :High availability of cotton.
Low cost of labour.
Differentiation of input is pretty low.
Presence of substitute inputs to cotton like polyester , wool,
lycra etc are present.
Importance of volume to suppliers is very high.
Cost relative to total purchases in industry is low.
Thus bargaining power of suppliers is low.
Threat of Substitutes:
The threat of substitution from the garments provided by the
unorganized sector is high.
The Degree of Rivalry :Fixed costs are high in this
industry.
Product differences are high.
Brand identity is high.
Exit barriers are also high for the national level
operations.
Thus the degree of rivalry in this industry is high.
Since its inception in 1983 as a small weaving company, Orbit
Exports has advanced considerably to become one of Indias largest
exporters of novelty fabrics. Orbits global reach is testament to
its success, with the company having established prolific
operations in the USA, Latin America, Africa, Europe and the Far
East.As of today, Orbit Exports operates across multiple verticals,
from womens apparel to Christmas crafts and home decor, with
further interests in occasion specific fabrics and finished
products. In as much, the companys products have always been, and
continue to be, entirely original, with respect to creativity and
production. This is largely due to the presence of a dedicated
in-house design team that is continuously working to uphold the
companys long standing reputation for quality.
Recognized by Forbes as best under a billion in AsiaLargest
Manufacturer of Metallic fabrics in IndiaLargest exporter of
Christmas ribbons and made ups from IndiaUnique ability to
customize products, giving impetus to exportsSilk substitute
Products and Faux Silk finding huge response in high-fashion
industry, especially during downtrend
Mission Keeping in mind the goal of becoming the worlds
preferred vendor of novelty cloth, Orbit Exports aims to:Deliver
superior products on time and with maximized value.Foster a work
environment that facilitates the growth of employee strengths in
tandem with that of the company.Build enduring and mutually
beneficial business liaisons.Provide utmost returns to
shareholders.In recent years, there has been a significant increase
in the demand for the companys products in the US market, which
Orbit Exports plans to make full use of, having already cemented
their reputation across the world as producers and vendors of value
added textiles.
VisionAt Orbit Exports, our method of robust internal processes
focused on quality and efficiency has consistently led us to
achieve higher echelons of achievement.Over the last several years,
Orbit Exports has evolved into a systematized corporation governed
by an established and professional hierarchy; one that takes
meticulous measures to oversee the activity of the company and the
achievement of its goals. Orbit Exports vision includes a
continuous evolution of its systems and processes to suit the best
interests of the company, its shareholders, employees and
customers.With this vision in mind, Orbit Exports stands poised to
usher in a holistic approach to the world of fabrics and their
business.
Faux SilkIn an age of financial caution, everyone seeks
affordable alternatives to luxury.Seeing the potential in this,
Orbit Exports has developed a wide range of faux silk fabrics, from
dupion to taffeta and raw silk, which provide the same look, feel
and elegance of pure silk at affordable prices.
Fashion JaquardsJacquard is the traditional term used to refer
to the type of loom that integrates designs within fabrics.Orbit
Exports has long specialised in developing quality jacquards for
various uses, and is constantly adapting to global demands for the
same.From church brocades to designs inspired by the companys
Indian roots, our range of jacquards is as exhaustive as our global
reach.Our international exposure has ensured that our products meet
the most stringent standards, in designs as well as quality.
Christmas CraftsChristmas Crafts are pre-made Christmas
decorations made by Orbit Exports. This includes decorations such
as Christmas stockings, tree skirts, table runners, and
more.Designs are developed by our Inhouse designers, they create
designs as per the machine language and according to the demands
from the customers. Different textile designing software's are used
on Jacquard for creating different designs.Designers play on the
fabric with Jacquard with different types of yarns with different
colors and its keeps changing from season to season.Our fabric are
used for the following purposes:Evening and high fashion
garments.Decorative home
furnishingChristmas/Carnival/Halloween/Easter Festivals.The fabrics
are also used in Church draping.These fabrics find high utility in
U.S., Europe and Latin America. Specialized yarns like polyester
yarns in different deniers & cottons, acrylics and Metallic
yarns with different colors.
Orbit Exports Ltd
BSE:512626NSE:ORBTEXPISIN Demat:00000096Group:BIndustry:TEXTILES
- PROCESSING
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LocationsMumbaiJalgaonSuratDombivaliU.S.A.Dubai (U.A.E.)New
York
Strengths-skilled workforce
-high growth rate
Weaknesses-investments in research and development
-competitive market
Opportunities-growing demand-income level is at a constant
increase-new products and services-venture capitalThreats-increase
in labor costs
Textile Scenario in India
Poised for growth in domestic sales and exports
Recomandation
https://futurecapsblog.wordpress.com/2014/04/09/orbit-exports-multibagger-analysis/
