Indian Textile Industry
The India Textile industry is said to be versatile and adds to the Indian economy significantly. Some even say that it is currently in the Golden Era of Indian Textile. The textile industry is the oldest in India and is said to have reached USD250 billion in 2019. The government is also looking at doubling the machinery sector for textiles in the next seven years.
India’s textile industry isn’t all that well developed and hence requires investment from international groups as well as Indian companies. This is necessary to meet the demand as well. This is why it is good that the industry is now going through a phase of consolidation. Currently, there are 30 companies that have a turnover that is more than $200 million, and many of these companies have reported double-digit growth. It is expected that the industry will see growth at the rate of 20% annually and, in the next five years, could touch $30 billion. Two of the top textile manufacturers in India are GHCL and Vardhaman Textiles.
Characteristics of the Industry
The textile industry is said to be self-sustainable, and this is a unique advantage that very few sectors enjoy. They see high demand and a low labour cost which means that there are competitive advantages for the producers regarding their finished products. There are also significant opportunities for revenue making for the apparel as well as the domestic textile market.
Yarn
Yarn is an example of a fabric type that is produced by the textile industry. In 2019, the production of yarn was nearly 5 billion kgs. The volume of production for yarn has only increased from 2011. The largest share, at over 71% of the market share, was for cotton yarn. Its fabric productions’ share was 51.4% in the year 2018. That year, it was also noted that there was an increase of over 13% from the year 2012. In 2017, India became the second-largest textile yarn exporter. The largest value in the textile exports of India was for garments of cotton that are ready-made. Two of the top yarn manufacturers in India are Arvind Mills and GHCL.
Future of Textile Industry
Indian textiles have mainly focused on cotton all these years. Even now, cotton has a more significant share compared to global shares. But this is something that is changing. Many manufacturers are adding other options for fibre, like polyester. Demand for such fabrics is steadily growing too. Another aspect to keep in mind is that India emerged as the world’s second-largest exporter of textile in 2013. This has also encouraged producers to widen their base of production massively.
All of this, along with the latest changes and policies made by the Government of India, paves the way for massive and exponential growth in the textile industry. This benefits not only the companies but also farmers and those that work at the grass-root level, thereby developing the country’s economic system.
You Can Also Read What the Role of the Indian Textile Industry in the Economy
