Textile Value Chain the most fashionable goods at best rates. We are also proud that with our growth, our channel partners have also grown. This has been the underlying philosophy of Siyaram's. Did the 2012 Budget put any repercussions on the textile industry? We wholeheartedly compliment the Government for continuation of exempted route for clearance of textiles under Notification No.30/2004-CE. Although the excise duty on branded ready-made garments and made-ups has not been abolished, its impact is reduced from 4.5% to 3.6% which is also a welcome step. The Hon'ble Finance Minister announced in his Budget Speech that automatic shuttle-less looms are exempt from basic customs duty of 5% which is great. However, in the present Budget, duty on cotton stream of production has been increased to 6% from 5%, but that on manmade stream from 10% to 12%. Thus, the difference in duty has widened, at a time when the man-made textile industry is facing rough weather. Government should therefore fix a uniform rate of 6% for both the streams of production. Way forward 2012- 2013, future investments and expansions plans, if any? Siyaramâ€™s aims to become a Rs. 1500 crores company in the next 2 years and would be investing close to Rs. 160 crores in expanding the manufacturing capacities of the business.
Could you explain the garments in detail specifying topics like export, domestic etc.? The Indian consumers are converting from stitched apparel to ready-to-wear clothing range. Accordingly, those companies which are engaged in business of manufacturing and distribution of quality fabrics to garment industry have a promising future. Indian companies are now eyeing the huge opportunity in partnering with luxury brands wishing to enter India. Retailers and private equity firms on the other hand are ready to make huge investments in promising growth of apparel brand. Meanwhile brands are also buying stakes into retail companies to grasp a wider market. Textile companies are strengthening front and back-end operations through mergers and acquisitions in the textile industry. Manufacturing is a thrust area for the Indian government, as Indian industry and the government see foreign companies more as partners in building domestic manufacturing capabilities rather than a threat to Indian business. Following this through, the central governments as well as various states are executing various schemes such as integrated textile and apparel parks. Thus, India's garment business is poised to fuel the country's textile segment as it provides the highest per unit realization and has high value added content. Thus we can see that the textile industry has an important role to play along with being one of the key growth engines of the economy.
What are your expectations from the overseas market? The overseas market is growing tremendously. Thanks to the many Indians who are settled abroad. There is a great acceptance for Siyaram fabrics and its other brands. Indian consumers abroad are connected to their roots in India. Siyaram through
their positioning of â€œCome Home to Siyaram'sâ€? has been able to create a strong space in the minds of global Indian consumers and this has been accelerating the growth pace of brands like Siyaram's and Oxemberg in the global markets. We are catering to markets in Middle east, USA and Europe as well.
July - September 2012