| The Indian Textile Industry | | | | - Supportive government policies. |
| The Indian textile industry is one of the leading textile | | | | The Indian Textile Industry has its fair share of |
| industries in the world. Though it used to come under | | | | weakness like: |
| unorganized sector few years back, the scenario | | | | - The increased global competition due to WTO |
| changed dramatically after the economic liberalization | | | | policies. |
| of the Indian economy. Liberalisation gave the | | | | - Use of outdated manufacturing technology from |
| much-needed push to the textile industry, which has | | | | the low end suppliers. |
| now successfully become one of the largest in the | | | | - Inefficient supply chain management. |
| world.As per the last statistics available from the | | | | - Additionally, this sector is still unorganized at many |
| Annual Report 2009-10 of the Ministry of Textiles, | | | | levels and needs a lot of government reforms for |
| "The Indian textile industry contributes about 14 per | | | | further improvisation. |
| cent to industrial production, 4 per cent to the | | | | Opportunities |
| country's gross domestic product (GDP) and 17 per | | | | The western countries are now setting up their |
| cent to the country's export earnings." Additionally, it | | | | manufacturing units in India which single handedly |
| provides direct employment to over 35 million people | | | | opens up a wide array of possibilities for all the |
| and is the second largest provider of employment | | | | stakeholders within the textile industry. |
| after agriculture. | | | | Experts believe that the golden era of Chinese textile |
| The report further says "The current domestic | | | | and apparel exports is over and the production base |
| market of textile in India is expected to increase up | | | | of global textiles is gradually shifting from China to |
| to US$ 60 billion by 2012 from the current US$ 34.6 | | | | India, Pakistan and other low cost destinations. |
| billion. The share of exports is also expected to | | | | Threats: |
| increase from 4% to 7% within 2012." Textile | | | | Even though experts claim that China is past its |
| Accessories are also an important part of this | | | | glorious days, still one cannot afford to take china |
| segment. | | | | lightly and has to keep in mind the capability of |
| Strengths of the Indian Textile Industry | | | | Chinese exporters to supply quality products at |
| India's biggest strength lies in its big pool of cheap | | | | cheap prices. Indian textile exporters cannot afford |
| and talented workforce. However, apart from it | | | | complacency and need to be on their toes for any |
| there are few other important factors which | | | | changes within the international trade community. |
| contributes to its strength like | | | | Final Thought: |
| - Huge Domestic Market consumption (due to its own | | | | Global textile production has witnessed the growth of |
| population). | | | | an astounding 25 percent (including the Textile |
| - Tremendous Export Potential (Indian products are in | | | | Accessories ) in the last decade. Asian markets will |
| great demand among the western importers) | | | | continue to spearhead the growth of the textile |
| - The new age creative and risk taking | | | | industry in the years to come and the textile industry |
| entrepreneurs. | | | | could go beyond the current $500 billion mark any |
| - Use of latest technology which produces high | | | | time soon. |
| quality multi-fiber raw material. | | | | |