Textile India 2017

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Only Crux from the PIB:

  • India is today described as a bright spot in the global economy. It has emerged as one of the most attractive global investment destinations. This has been made possible by a series of sustained policy initiatives. 
  • More than seven thousand reforms have been implemented to improve the ease of doing business. Processes have been simplified and made transparent. Government has repealed over twelve hundred outdated laws. These are just a few examples. 
  • Consequently, India has moved up by thirty two places in the last two years in the Global Competitiveness Index of the World Economic Forum. This is the highest for any country.
  • India moved up nineteen places on the World Bank Logistics Performance Index of 2016.
  • We have also moved up sixteen places on the Global Innovation Index of the World Intellectual Property Organisation in 2016.
  • We are third among the top ten FDI destinations listed by the United Nations Conference on Trade and Development.
  • Based on the “Make-in-India” initiative, the organized textile industry is being infused with the mantras of ‘skill, scale, speed’ and ‘zero-defect, zero-effect’ for scaling up employment, production and exports. 
  • We have one of the most liberal investment policies for foreign investment in the textile and apparel sector. We allow 100 percent FDI through automatic route in textile and apparel sector. 

Textile Industry:

  • The textiles industry has a pivotal position in the Indian economy. It is strong and competitive across the value chain.
  • India has an abundant supply of raw material, like cotton, wool, silk, jute, and man-made fibre. In fact, it is the world’s largest producer of cotton and jute, and second largest producer of silk and man-made fibre.
  • This provides us the distinct advantage of backward integration, which many other countries may not have.
  • In addition, India has strong spinning, weaving, knitting and apparel manufacturing capacities. Young, skilled labour is available at a reasonable cost. 
  • Our high economic growth has resulted in higher disposable income. The resulting higher demand for products offers a huge domestic market.
  • Ours is a nation of aspirational youth, who wish to spend on textiles, apparel, and handcrafted lifestyle products.
  • The domestic market for apparel and lifestyle products, currently estimated at US Dollars 85 billion, is expected to reach US Dollars 160 billion by 2025. This growth will be driven by the rising middle class. 
  • There is also a high global demand for textiles and apparel manufactured in our country.
  • India is the world’s second largest exporter of textiles, commanding a global share of around five percent.
  • Indian textiles, including traditional handloom and handicraft products, are exported to more than a hundred countries. Sometimes, Indian tourists buy garments abroad, only to realize later, that they have been made in India. 
  • The textile sector offers significant employment opportunities.
  • It is today, our second largest employer after agriculture. Over forty-five million people are employed directly in the sector, and over sixty million people are employed in allied activities. 
  • Our integrated textile clusters are compliant to global standards of environment and health safety. Textile producing States also have pro-industry policies in place, to facilitate the required infrastructure for investments in textiles.