Textile Industry & Market Growth in India
Content 1
Market Size
2
Investment
3
Achievements
4
Road Ahead
Introduction India is one of the few countries that owns the complete supply chain in close proximity from diverse fiber to a large market. It is capable of delivering packaged products to customers comprising a variety of fiber, diverse count sizes, cloths of different weight and weave, and a panoply of finishes. Textiles retailers in Tiruppur have a well established global network for export.
Market Size The Indian textiles industry, currently estimated at around US$ 150 billion, is expected to reach US$ 250 billion by 2019. India’s textiles industry contributed seven per cent of the industry output (in value terms) of India in 2017-18.It contributed two per cent to the GDP of India and employs more than 45 million people in 2017-18.The sector contributed 15 per cent to the export earnings of India in 2017-18.
Investment The textiles sector has witnessed a spurt in investment during the last five years. The industry (including dyed and printed) attracted Foreign Direct Investment (FDI) worth US$ 3.12 billion during April 2000 to March 2018. Some of the major investments in the Indian textiles industry are as follows: In May 2018, textiles sector recorded investments worth Rs 27,000 crore (US$ 4.19 billion) since June 2017. The Government of India announced a Special Package to boost exports by US$ 31 billion, create one crore job opportunities and attract investments worth Rs 800.00 billion (US$ 11.93 billion) during 2018-2020. As of August 2018, it generated additional investments worth Rs 253.45 billion (US$ 3.78 billion) and exports worth Rs 57.28 billion (US$ 854.42 million).
Achievements Following are the achievements of the government in the past four years: 1. I-ATUFS, a web-based claims monitoring and tracking mechanism was launched on April 21, 2016. 2. 381 new block level clusters were sanctioned. 3. 20 new textile parks were sanctioned 4. Employment increased to 8.62 million in FY18 from 8.03 in FY15.
Road Ahead 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. High economic growth has resulted in higher disposable income. This has led to rise in demand for products creating a huge domestic market.
Conclusion The processing technology is primarily manual and small batch-oriented with visual color matching and sun drying. This leads to inconsistency in conformance quality. The South Indian city of Tiruppur has become a major textile hub in India due to the numerous mills and industries present around the region. The textile manufacturers in Tiruppur have made an impact on the global scale.
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