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India Textile & Garment Industry 1H13

  • 32 pages, published in June 2013
  • By Emerging Markets Direct Media Holdings
  • Report Number: 1516193


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India: Textile & Garment covers the sector overview, sector size, competitive landscape and environmental scanning for India. It also covers the market trends and outlook, ready made garments, cotton textiles, man-made textiles, handicrafts, silk textiles, wool & woollen textiles and jute textiles, plus the profile, comparative matrix and SWOT analysis of the industry leading players: Alok Industries Ltd, Welspun India Ltd (WIL) and Arvind Ltd.

The textile and garment sector is one of the pillars of the Indian economy. The sector accounts for xx% of industrial production and x% of GDP. Besides, the sector also employs close to 45mn people and is the second largest employer after agriculture. It is a diversified sector comprising of many industries including cotton textiles industry, jute industry, silk textiles industry, woolen textiles industry, apparel industry, fibre industry, handicrafts as well as handlooms.

FY13 was a difficult year for the Indian textile industry. Eurozone sovereign debt crisis led to a slowdown in demand for Indian textiles. This had a considerable impact on the export earnings of the Indian textile sector. The depreciation of rupee brought some respite for the apparel exporters in INR terms but decline was clearly visible in USD terms. Domestic market showed some resilience especially in the festive season which reduced the impact of export decline to a certain extent.

Despite a tough year, the demographic dividend and comparatively lower cost of manufacturing bodes well for the textile and garment sector in longer term. Exchange rate fluctuations and costly working capital loans are the biggest challenges for the sector.

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