T
he textiles and apparel industry of India has established itself as a leading exporter
and consumption base. Today, the combined market size of exports and domestic
consumption of the industry stands at $122 billion which includes exports worth around
$37 billion and domestic apparel market worth $63 billion, domestic home textiles market
worth $6.5 billion and domestic technical textiles market worth $15 billion. To sustain the
growth that Indian textiles industry has experienced, the industry will be required to reform, perform
and transform its traditional functioning and outlook. Achieving manufacturing excellence through
sustainable development is the way forward for the Indian industry. This white paper talks about the
vision for industry growth and the roadmap to manufacturing excellence while creating a sustainable
and innovative future for the Indian textiles industry.
India has the strengths in terms of raw material availability, manpower availability, large
domestic market, presence of complete manufacturing value chain and government support. This
has enabled growth of the industry. To sustain the growth that the Indian textiles industry has
experienced, it becomes imperative for industry to incorporate certain structural changes in it. The
major underlying issues of the textile and apparel industry of India are its unorganised structure
and lack of requisite scale. This has resulted in the inability of Indian textiles and apparel industry
to reach its full potential. In the cost-competitive global textiles industry, the Indian textiles sector
has to take some steps to gain an edge over its competitors like China, Bangladesh, Vietnam, etc.
By focusing on manufacturing excellence, India could aspire for a growth of 8 per cent and
reach $400 billion by 2030.
Table 1: India’s T&A Vision 2030
Market (US$ bn.)
Domestic
Exports
Total
Data Source: Wazir Analysis
2016
85
37
122
2030
300
100
400
CAGR
8%
9%
8%
Owing to various initiatives taken by
the government, the FDI in the textiles
sector has increased considerably. In
the 2016-17 fiscal, the sector received
an FDI of $619 million.
NOVEMBER 2017 FIBRE 2 FASHION | 53