Textile Industry

The textile industry plays a critical role in driving the economy in India. It contributes almost 14% of the industrial output and 30% of the exports of the country.

In the year 2008, it contributed 4% towards India’s GDP. It is also one of the largest industries in the country in terms of providing employment and job creation.

Recent statistics have shown that in 2010, the textile industry will on it own proved 12million jobs.

This industry is one of the oldest in India and is single handedly responsible for providing a basic need for Indians. This industry is self-sufficient and independent; it provides all of the required resources from the raw materials to the production stage.

This industry has many segments that fall under it including woolen textile, man made textiles, jute and coir, readymade garments, hand-crafted textile like carpets, cotton textiles and silk textiles. This industry is recognized globally and has curved a niche for Indian textiles in the world market.

There are many reasons why this industry has done so well in the global market chief among them being availability of raw materials, skilled laborers, India being the largest cotton yarn producer (produces 25% of the world’s cotton), and ready made garments that are flexible in terms of sizes, variety of fabrics, costs, quality as well as quantity.

The future of this industry also looks bright; it has been projected that the export market for textiles in India will reach a high of $50 billion. This translates to profits of about 300%.

However, achieving these targets will not be easy; the industry has had to put measures in place to improve on design skills which would incorporate combination of different fibers. Plans have also been put in place to ensure that the industry meets international standards and that new investments are injected into the industry for modernized machinery.

It would come as a surprise to many to find out that top brands based in the US like JC Penny, Marks& Spencer and the Gap acquire most of the fabrics that they use from India. For example, Wal-Mart, one of India’s clients has plans to import as much as $3 billion worth of fabric in the coming year.

Even though the industry has been affected by the current economic crunch having to shed as many as 700,000 of their workforce, the prospects for this industry are very bright at the moment.