Strengthening the Base of the IndustryNormally all Novembers and Decembers are quite pleasant throughout India, but not for the trade andindustry which is gripped by the Budget fever, till the Honble Finance Minister delivers his Budget Speechin Parliament.This year was no exception. The textile industry was anxiously awaiting reduction in excise duty on man-madefibres and had sleepless nights. But the bonafide expectations of the man-made fibre textile industry was dashed tothe ground on the D-day.Even though productivity of Indian cotton is much lower than the world average, the country is still the second largest producer of cotton inthe world. This is so because uptil now, the country was generous enough in making available land for cotton cultivation. Such a situationmay not continue for long. After all India is a land-deficit country. There are competiting claims on lands for various purposes likeAgriculture, infrastructure, industrial projects, social needs, housing etc. Besides, Cotton cultivation requires large quantities of water, butwater is scarce.In such circumstances, the pressure on cotton must be lightened. Hence, the excise duty on cotton stream of production on the one handand man-made fibres and man-made fibre textiles and ready-made garments on the other must be the same, so that the decision of theconsumer is not unduly influenced by the level of taxation. The distinct preference of Aam Admi for polyster-based fabrics should not beoverlooked. In the years to come, when at the global level, production of cotton is going to fall short of its requirement, willy-nilly, there isgoing to be a reversal of role between cotton and man-made fibres. Hence, Government has to create conditions which are conducive tomuch larger investments in the manufacture of man-made fibres.This view of neutrality intaxation gets a direct support from the National Fibre Policy put forward by the Ministry of Textiles, Government ofIndia. This will create a true level-playing field, for diverse fibres, whether natural or artificial and synthetic, to grow on their intrinsic strength.While some sections of the industry were cheerful at the Budget, some expressed disappointment. The Union Budget is an effectiveinstrument to reinvigorate national economy. The Budget has generally generated optimism with regard to fiscal correction and higherGDP growth. The phase of subsidy adjustment has started with the oil sector. It may be possible to discipline the subsidy bill at 1.6 per centof GDP. The proposal to set up National Manufacturing and Investment Zones as proposed by the Commerce Ministry will help increasethe share of manufacturing in GDP to 25 per cent from the current 16 per cent and create100 million jobs in 2025.So far as the textile industry is concerned, the critical issues are availability of raw materials inrequisite quantities at right prices and at right times, infusion of sophisticated technology on acontinued basis, taxation policy and general economic conditions. The Budget has largelyaddressed these issues, except excise duty on man-made fibres and man-made fibre textiles.thContinuation of TUFS in the 12 Plan, availability of exempted and cenvat routes for alltextiles including garment reduction in basic customs duty on certain textile machinery partsfrom 7.5% to 5% are all welcome and encouraging steps which are a good augury for thetextile industry.
Ms. Kanchan KaleMr. Vaibhav GosarGraphic Designer
Mr. G. Banerjee - Management & Industrial ConsultantMr. Shiv Kanodia - Sec. General, Bharat Merchant Chamber
thEventful 4 Quarter at SiyaramsCORPORATENEWSSiyaram launches Prism & Estro under its elegant Italian brand Moretti in IndiaAfter successfully launching the premium Italian fashion brand Moretti in India, Siyaram Silk Mills Ltd. has added 2 vibrant collectionsunder the same brand for the fashion conscious Indian male. The event was held at The Retreat, Malad, which comprised of a Fashion Show tohighlight the latest offerings by Moretti. The collections were strongly appreciated by the dealers and retailers which was evident from the factthat a record booking of over Rs. 7 crores was registered in just 2 days after the launch of the collections.Prism, as the name suggests, is the only collection in the market that boast of 1000+ plain qualities & colours to choose from. Prism isavailable across one lakh MBOs and is priced at Rs. 600 – 1000 / mt. On the other hand, Estro is a bold collection of fancy dobby & colours invarious designs. Estro is available across one lakh MBOs and is priced at Rs. 700 – 1000 /mt. Both the collections are made from 38 – 42mm length of high value pure Italian cotton yarn – unmatched by any player in the Indian textilemarket.”Siyarams Adds Two Vibrant Collections under RoyaleLinenAfter the successful launch of Royale Linen – a linen fabric brand last year,Siyarams has added 2 vibrant collections, Purito and Vivante, under the samebrand for the linen loving fashion conscious Indian male. The event was held onst21 March at InFashion in Goregaon, Mumbai.Mr. Manish Malhotra, renowned Bollywood fashion designer and the brandambassador for Royale Linen, expressed his joy after inaugurating the new RoyaleLinen collections – “It is a wonderful feeling being associated with a brand likeRoyale Linen. It has been offering the purest and most premium linen fabric whichtransfers the royal appeal to the person wearing it. The new collectionslaunched today are unique, vibrant and still pure ones which I feel areMISTAIR - Style Partners for INKAAR launches POWER PLAYcollectionMistair– a division of Siyaram Silk Mills has been associated with Viacom 18 MotionPictures next as a style partner. The association between Mistair and Inkaar was facilitatedINKAARby Carat Fresh Integrated, an experiential marketing agency of Aegis Media India Group.Present at the event was Mr. Ramesh Poddar, Managing Director and Chairman of Siyaram Silkmills along with the star cast of Inkaar. The highlight of the event was the fashion show that unveiledthe Inkaar inspired collection called “POWERPLAY” with the showstopper being none other thanInkaars lead actress Chitrangada Singh.Siyarams launches Wedding AffairsSiyaram Silk Mills Ltd., has recently launched a collection of fabrics that are tailor madefor the Indian weddings. The launch was done at the popular InFashion 2013 exhibitionthrough a glittering Fashion Show at Goregaon, Mumbai. The collection consists of fabricsof various premium qualities & colours that are synonymous with the fashion consciousIndian male during wedding celebrations and is named Siyarams Wedding Affairs.Mr. Ramesh Poddar – Chairman & MD (Siyaram Silk Mills Ltd.) said, “Wedding is notjust about the bride and the groom. It is about 2 families coming together for a jovialcelebration. Wedding Affairs is a collection of carefully handpicked premium fabrics that areideal to dress up men for a great Indian wedding. In a nut shell, it is an exclusive ensemble fordiscerning bridegrooms, this blend of fine fabrics, vibrant colours and rich textures that isideal for occupyingcentre stage & making weddings a grand, special affair.”The collection costs from Rs. 400 – Rs. 1000/- and is available across 1,00,000 MBOs in India, apart from the 120 oddexclusive flagship showrooms of Siyarams Shop. It is supported by strong pan India Print, Outdoor & digital campaigns that are expected to scaleup the awareness and visibility of the collection.The entire range of Powerplay is exclusively available at select retail outlets. It is an ideal choice to get that perfect corporate look forconscious youth who opts for stylish formal wear to create an impression in their workplace. Keeping in mind the young agesegment that Mistair caters to, Powerplay has been offered in vibrant colours, thereby making it a complete techno-commercial collection.Siyaram Silk Mills had always been a conservative brand which works on principles. This is the first time that they have ventured into amovie association which is their next step towards being accepted as a youth brand . They would look at many such associations in future.meant for a pro-fashion persona like me.Purito, as the name reflects is the collection of pure plain colours which gives the consumer more than 50 different variations to choosefrom. The major attraction of Purito is a range of Pure Whites which is available in 125 Lea. Vivante as the name suggests is the uniquecollection made from 150 Lea presented in various colours. Both the collections are available in 1,00,000Multi Brand Outlets in country.Textile Value Chain | April - June 201310
Raymond, Rajasthan Govt sign MoU to setup the States first Tailoring Centre Centres to be located at Jaipur,Jodhpur Raymond to educate, empower anduplift tailoring community,underprivileged youth, minoritycommunity and women in the State State Govt. to provide infrastructure Follows successful implementation inBihar last year; the Centre offeredplacements to first batch of students inMarch 2013Jaipur, April 4, 2013: Raymond Ltd., Indiasleading manufacturer and retailer of fabricsand garments, today signed a Memorandumof Understanding (MOU) with the RajasthanIndustries Department towards setting up ofthe innovative Raymond Tailoring Centres inJaipur and Jodhpur, with the support ofRajasthan Skill & Livelihood Corporation.To be set up in BaisGodown IndustrialArea, Jaipur and near the Rotary Circle,Jodhpur in 6000 sq.ft of built-up area each,Raymond Tailoring Centres will imparttailoring skills to underprivileged youth andtailors. This is an ideal example of Public-Private-Partnership as Raymond will providestate-of-the-art machinery and trainers forthe centres while infrastructure will beprovided by the Industries Department andRajasthan State Livelihood DevelopmentCorporation. The Center shall train over500 students per year in various aspects oftailoring including suit, shirt and trousermaking over the next five years. Theminimum qualification for admission to theRaymond Tailoring Center is 8thstandard pass.Talking about this association, Mr SunilArora, Additional Chief Secretary ofIndustries Department, Govt of Rajasthansaid, “This is a unique opportunity that theRajasthan Govt. wishes to offer the weakersections of the society towards building askill. This, we believe, is an integral part ofour plans to empower the people ofRajasthan and help them lead a quality life. Itis commendable that leading companies likeRaymond are coming forward to participatein developing the minorities and weakersections of the society. The State Govt. isgiving Raymond a built-up infrastructure torun this Tailoring Centre.”Mr. Aniruddha P. Deshmukh, President– Textiles and Retail, Raymond Limited, said,“We are pleased to unveil our plans to launchthe Raymond Tailoring Centre in anillustrious state like Rajasthan. The RaymondTailoring Centre will help the tailoringcommunity acquire professional skills, thusencouraging the youth of the State to findvalue in pursuing tailoring.Mr Ram Bhatnagar, Vice President –Emerging Businesses, Raymond Limitedadded, “Considering technologicaladvancements in the sector, TheRaymond Tailoring Centre module includestraining candidates on the latest modernmachinery and use of best tailoring practices,all at no financial expense to students. Specialfocus shall be given to encourage women topursue our programs through reservationfor them. We are proud to have the supportof the Govt. of Rajasthan for this unique andinnovative initiative.”Raymond is taking pioneering steps indeveloping the ecosystem of the sector. Thecompany believes in the ideology ofgrowing together. It has been thecompanys endeavour to rejuvenate thefading art of tailoring and in this direction hasinitiated several steps. The Centre holds thevision of imparting training skills tounemployed, underprivileged youth andexisting tailoring community, be theirupgrading their current skill sets ande n c o u r a g i n g e m p l o y m e n t a n dentrepreneurship. This training helps themupgrade their tailored product quality interms of finish and style, earn better revenueand thereby improve their social andeconomicstatus.Raymond Tailoring Setup in RajasthanCORPORATENEWSAdvt.
INVISTA is one of the worldslargest integrated producers ofpolymers and fibres, primarily fornylon, spandex and polyesterapplications. INVISTAs global businessesdeliver exceptional value for customersthrough technology innovations, marketinsights and a powerful portfolio of global®trademarks including COOLMAX fabric,® ® ®CORDURA fabric, freshFX fibre, LYCRA® ®fibre, SUPPLEX fabric, TACTEL fibre, and®THERMOLITE fabric.Jan 2013 INVISTA teamed up with toARVINDbuild new roads into the high potential globaldenim market. This association seeks to bringto India the best of technologies fromINVISTA together with the denim fabricmaking expertise of ARVIND, to piecetogether an eventful journey for the Indiandenim market going forward. LYCRA® brand owner INVISTAannounced that it had joined the SustainableApparel Coalition (SAC). The SAC is agroup representing more than 60 leadingapparel and footwear brands, retailers,suppliers, nonprofits and nongovernmentalorganisations working to reduce theenvironmental and social impacts of appareland footwear products around the world.The SACs main focus is on sustainability in theclothing and footwear industries.Feb 2013 launched its latest range ofARVINDstretch denim fabrics with LYCRA® fibre att h e m u c h a w a i t e d L Y C R A ®RENDEZVOUS. This launch broughttogether the best of INVISTAs textileinnovations together with the denim fabricmaking expertise of ARVIND. Thusestablishing a milestone within the Indiandenim market innovation journey. Arvindstretch denim with LYCRA® fibre waslaunched under two key themes of Denimglam and Pop vintage. Aamir Akhtar, CEO,ARVIND Denim said, “From Arvind, weensure a stretch that performs and stretchwhich provides freedom to the designer tocreate a fashion denim he/she would want tocreate. We have also mastered extremely difficult stretches with LYCRA® fibre likeStretch Selvedge Denim, Stretch JacquardDenim, Super soft high recovery excel stretchdenim and many more”. LYCRA® brand owner INVISTAannounced its collaboration with global sportsand lifestyle brand on a new premiumPUMAproduct innovation in performance apparel.PUMA unveiled a range of training tights,shorts and tops this month: PUMA ACTV andPUMA RCVR. Both take performance wearto the next level, by utilizing LYCRA® SPORTfabric in a first-to-market use of both athletictaping and enhanced compression within thegarments. PUMA ACTV has been awardedthe sports industry ISPO Gold Award qualityseal in the Compression Apparel category, atISPO 2013. offers its andINVISTA COOLMAX®THERMOLITE® fabric technologies to caterto the performance socks category in theIndian textile and apparel market. INVISTA isworking across the value chain from spinnersto socks knitters to retail brands and therebyfacilitating the development of performancesocks in the country. Packed with moisturemanagement technology and comfort,COOLMAX® Socks cater to the end-consumers need for dry comfort and highperformance. Mr. Rohit Pal, RegionalManaging Director, Renfro Europe and Asiastates, “Renfro Corporation is the largestglobal hosiery company in the world. RenfroIndia is the market leader in domestic as wellas export market in the country and has aportfolio of 10 licensed brands and exports.Globally Renfro Corporation and locallyRenfro India lead technological innovation,selling more than 700 million pairs of socksglobally. COOLMAX® Socks offer to theretailers an innovative yarn with severalperformance characteristics and are beingwidely used by several licensed brands.”March 2013I N V I S TA s c o n c l a v e LY C R A ®RENDEZVOUS at the Taj Palace, New Delhiwitnessed leading mills and brands from thetextile and apparel industry such asVardhaman, Banswara Syntex, Arvind Limited- Denim, Mafatlal Denim etc. The curtainsopened to an action packed day, full ofinsightful discussions and product showcaseby INVISTAs key customers, launch of itslatest innovation LYCRA® T166L fibre,unveiling of ARVIND Stretch Denimpowered by LYCRA® fibre, futuristic paneldiscussions amongst the best of think tanksfrom the industry and a scintillating denimfashion show. The new product offering byINVISTA - LYCRA® T166L fibre has beenespecially designed for robust processingperformance in the manufacturing of stretchwoven fabrics and possesses good recoveryand low growth that are essentialrequirements for the denim industry.INVISTA also showcased its global denimconcept collection for Spring/Summer 2014.The collection encompasses innovativegarments highlighting INVISTAs keytechnologies for denim including TOUGHMAX™ LYCRA® fabric, XFIT LYCRA®fabrics, LYCRA® dualFX® fabrics andCOOLMAX® fibre and new under key 3themes - Fantasy, Reality and Harmony.Featured styles under Fantasy comprise ofpearlized coatings, reflective surfaces,coloured weft yarns, prints and tie-dyeeffects; Reality features simple evergreendenim structures and neon colours;Harmony collection represents performancedenims with knit inspired jacquard weaves ofcotton and LYCRA® fibre.Latest Offerings from the World of INVISTAApril 2013INVISTA, added on to the Indian textileinnovation landscape as it showcased its 3premier global innovations, LYCRA®dualFX® fabric, COOLMAX® BLACKfibre and THERMOLITE® insulation at theth8 edition of Fibres & Yarns exhibition fromApril 11 to April 13, 2013 in Mumbai.LYCRA® dualFX® fabric enables creation ofsuper stretch denim with extra comfortable fitthat lasts longer. COOLMAX® BLACK fibretechnology supports the growing trend forblack colour in various apparel segmentsspecially socks and sportswear.THERMOLITE® insulation from INVISTA isa high performance offering to the growingoutdoor industry in India.CORPORATENEWSTextile Value Chain | April - June 201312
Arvind Lifestyle Brands, a subsidiary ofArvind Ltd, one of the largest players inthe apparel brands and retail space, todayannounced an agreement to market andsell basic and intimate apparel in Indiaunder the Hanes and Wonderbra brands,two of the largest and well-known globalapparel brands, under a licensingagreement with U.S. based HanesbrandsInc.Announcing the licensing agreement,Mr. Sanjay Lalbhai, Chairman & ManagingDirector of Arvind Limited said, “Thistransaction is a significant milestone as itsignals our entry into the highly lucrativemarket of branded apparel essentials withlingerie and undergarments. This marketsegment of branded essentials isestimated at over Rs. 18,000 crore and isexpected to grow over 18% fromthereon year-on-year. This new marketniche, thus, offers a completely distinctand promising business opportunity forus, which will only help furtherconsolidate our position in the Indianmarket.”CORPORATENEWSArvind Enters Agreement for Licenses of Hanes and Wonderbra Trademarks in India and acquiresHanes Brands India OperationsArvind Lifestyle Brands Ltd,recently announced that it has signed along term licensing agreement with IconixLifestyle India Pvt Ltd, a JV between IconixBrand Group, USA and Reliance BrandsLtd for Ed Hardy. Ed Hardy is thealternative lifestyle fashion brand thatcelebrates the classic American tattoo asan art form across apparel andaccessories.Arvind Lifestyle Brands Limited, willhold the exclusive multi-year license tomanufacture and distribute Ed Hardyapparel and accessories throughout India.Ed Hardy is projected to launch in Indiaduring Autumn/Winter 2013 with a newglobal product and price strategy.J Suresh, MD and CEO ArvindLifestyle Brands Ltd & Arvind Retail Ltd.,said, “Ed Hardy is a well-knowninternationally recognized brand andenjoys the status of a cult classic withmassive fan following and a unique cuttingedge image. We are thrilled to work withIconix Lifestyle to bring Ed Hardy intoIndia. As the brand rolls out in AW13, weforesee a very successful launch. EdHardy will also substantially strengthenour portfolio in the youth segment.”Commenting on the alliance, DarshanMehta, CEO of Reliance Brands said,“Tattoo art has a timeless appeal and EdHardy celebrates its history and beauty bycreating dynamic apparel and relatedlifestyle products. We could not ask for abetter partner than Arvind, as theyunderstand this market extremely welland are equally committed to growingthe Ed Hardy brand in India.”“Tattoo art has a timeless appeal and EdHardy celebrates its history and beauty bycreating dynamic apparel and relatedlifestyle products. We could not ask for abetter partner than Arvind, as theyunderstand this market extremely welland are equally committed to growingthe Ed Hardy brand in India.”equally committed to growing the EdHardy brand in India.”Arvind’s Joint Venture & AcqusitionGerald Evans, Co-Chief OperatingOfficer of HanesBrands said, “We arevery excited to enter this licensingagreement in India for two of thestrongest global brands with Arvind, aleader in the apparel and retail market.Our Hanes and Wonderbra brands havegreat growth potential in the lingerie andbranded apparel essentials market inIndia. We are confident that ArvindLifestyle Brands Ltd., which has one ofthe largest portfolios of licensed USbrands in India, is the right partner for usto aggressively expand growth in India.”“In the past we have focused on and builta strong position in the Indian menswear,womenswear and kidswear segments,with one of the strongest portfolios ofhomegrown and acquired global brands.It was only logical then, that we look atthe branded apparelssegment. The 100-year-old Hanes brandis the No. 1 apparel brand in the UnitedStates and offers comfortable, high-quality underwear, intimates, casualwear,hosiery and socks. A leader in innovation,Hanes is responsible for bringing to theindustry creative ideas like Tagless tees,Comfortsoft waistbands and EZ Sortsocks. Arvind plans to increase thecurrent number of Hanes points of salesin India from 5,000 to 15,000 in the next3 years.In the womens intimates segmentworld famous Wonderbra brand ofintimates which is known to empowerwomen by making them feel sexy andconfident, is expected to be a lead brand.The Wonderbra brand offers women acomplete line of bras and lingerie.Market Size of Innerwear MarketMens InnerwearWomens InnerwearRs. 7,200 CrsRs. 10,800 CrsRs. 18000 CrsTotalOrganizedUnorganizedCAGR: 18%60%40%Arvind Lifestyle Brands Ltd enters into Licensing Agreement with Reliance Brands & IconixBrand Group JV for Ed Hardy Brand in IndiaTextile Value Chain | April - June 2013 13“A life spent making mistakes isnot only more honourable, butmore useful than a life spent doingnothing.”George Bernard Shaw
FEEDBACK FROM INDUSTRYTVC thanks , for his feedback after reading our issues & stated,Shri. Vijay Raut, VP of Garware Wall Ropes Limited“Please accept my thanks and congratulations on the success of Textile Value Chain with the objectives of ReshapingTextile Industry. While much has been written on textile topics, the magazine has topics that are easy to understand withexcellent background information, well documented, explained so clearly, will surely be of great value. Please keep suchfine quality printing and good design. Keep up the good work .”The Story behind Reality BitesTextile Value Chain | April - June 201314TVCCORNERJuly – Sept 2013 Issue HIGHLIGHTOur Cover Story for next issue is In this super competitive world, what is theValue Addition.USP of your company? What Value do you add to your product/s to be better than yourcompetitor?Alongside, we also have the continuation of our section covering, creditReality Bitesratings, banks and finance institutions regarding their policies of giving loans and guarantees totextile industry.We invite our readers and our future subscribers to contact us to share their stories regardingloans and guarantees for our feedback column and/ or interviews & articles for our next issue.Also, if you would like to advertise with us be it textile or fashion companies, and banks andfinancial institutions; please contact firstname.lastname@example.org ; call : 022-21026386Correction in Issue Name: Vol 1, Issue 4,Visual Merchandising & its Effects on Sales Page no: 40 Not mentioned Second Authors NameSecond Author name along with Dr. Sabita Baruah, DIPTI SALVE Department of Textile Science & Apparel Design, SNDT Womens University Typing error in Advt. It should read Klassic FabricsWe deeply regret the errors and did not wish to hurt the concernedintentionally.Whether we like it or not, India has been affected by the global recession. Our current GDP for 2013 is 6.5%which was estimated at 8-9% earlier. In these trying times, Textile Industry receiving/ expecting loans and guaranteesfrom banks and finance institutions has hit rock bottom. Hence it becomes even more imperative that we use ourresources ingeniously and with utmost sincerity.Our Reality Bites section for our Anniversary Issue covers the current state of affairs of the textile industry, yarnbeing one of them. In the next chapter we move to the importance of project planning and management forcompanies to function at a higher level of functioning. Further more we have interviewed businesses that are directlyand indirectly related to Textiles, who spoke about their projects and obstacles they face to complete them in timelyfashion. Moving over we interviewed project consultants and project managers to talk about their success stories sothat our Industry can use such services for streamlining their projects.We will conclude our reality bites section in our next issue where we will cover credit ratings for companieswhere the ratings help them to acquire loans. We will also cover banks & finance institutions regarding their policiesof giving loans and guarantees to textile industry be it, MSMEs, SMEs and industrialists.With Chinas equation changing daily, its a great opportunity for India to realize the importance of ProfessionalPlanning to set up new businesses in India.
15Textile Value Chain | April - June 2013REALITYBITES Success Story of Yarn & Issues Facing the Textile IndustryTamil Nadu enjoys a place of pride in the textile map ofIndia. Tamil Nadu accounts for 47.5 % of the spinningcapacity in the country. Fortunes of the weaving andgarmenting industries are inter woven with the spinningindustry & spinning industry consciously playing its role as abig brother, which is evident from the fact that despite agrowth rate 7% to 9% of the Downstream sectors, yarn hasmaintained a growth are of 12%.In a Freewheel interview to TEXTILE VALUECHAIN, Shri S. Dinakaran, Chairman of SIMA(Southern India Mills Association), unravels thesuccess story of Yarn.Before the interview started with Shri S. Dinakaran, ahighly respected stalwart of the textile industry startedfielding questions from TVC team; Dr. K. Selveraju, theebullient Secretary General of SIMA, who is alwaysbubbling with new ideas, reeled of statistical dimensionsto the Growth of the Spinning Industry. Dr. Selverajuexplained as follows:Though yarn production capacity has been increasingyear after year, the growth of yarn consuming segments likehandlooms, power looms and knitting have not grown intandem with the capacity building in yarn production. Thehandloom segment is shrinking day by day.Of all the segments, spinning sector has been mostmodernized and earned global reputation of being thereliable supplier of yarns of international quality. It would takesome more time for the downstream segments to upgradetechnology to use the high quality yarn, which attractsinternational buyers.The number of handlooms in the country had comedown drastically to 23.77 lakh looms as per the 3rd NationalHandloom Census 2009-10, 28% less than the previouscensus (1995)figure of 32.96 lakh looms.The prime raw material of the Indian Textile Industrycontinues to be cotton. Cotton consumption by Non-SSIand SSI sectors during the year 2012 registered an increaseof 7% over the pervious year. Cotton consumption duringthe year stood at 232 lakh bales as against 217 lakh bales inthe previous year.All yarn production during the year 2012 registered anincrease of 6.4% over previous years production. While theproduction of cotton yarn registered an increase of 9.2%,production of blended yarn has come down by 1.1% whencompared to previous years production, production ofblended yarn remained at the same level of previous yearProduction of cotton yarn during the year 2012 stood at3451 million kgs, blended yarn at 802 million kgs and non-cotton yarn at 455 million kgs while the same was at3159 million kgs, 811 million kgs and 454 million kgrespectively during the previous year.Domestic consumption of all yarn during the year 2012registered an increase of 7.9 per cent over the previousyears consumption. Domestic consumption of all yarnduring the year 2012 stood at 3672 million kgs, while thesame was at 3404 million kgs last year.Domestic consumption of cotton yarn during the yearstood at 2632 million kgs, 8.9% higher than the previousyears consumption of 2417 million kgs.The country has earned good reputation of supplier ofinternational quality cotton yarn. Registrations for cottonyarn exports during the year 2012 stood at 961 million kgs asagainst the previous years registrations of 725 million kgs,the lower quantity is because of the ban prevailed during theinitial months of the year 2011.Increased exports during the year had been mainly dueto the shift in Chinas policy of increased imports of cottonyarn, because of cost advantage.Unlike any other textiles manufacturing country, thecountry has a number of positive factors to its advantage –complete value chain, encouragement for upgradingtechnology, skilled man power, etc.At this stage, Shri S. Dinakaran entered intothe dialogue with TVC...Shri S. DinakaranChairmanSIMATVC: TVC is glad to learn that Spinning Industry is aboutto hit a sixer in 2012-13 by export of cotton yarn of 1000million + kg. Tell us how the industry could achieve thisrecord-bearing hit?S.D.: The Industry has been subjected to many hurdles suchas power shortage, high cost power, recession, etc. Despiteall these hitches, if the industry could cross the 1000 millionkgs mark, it is mainly because of China factor. China accountsfor 30% of Indias cotton yarn exports, while Bangladeshaccounts for 16%. China imports a substantial amount ofcotton yarn from India, as the cost of production in China is
16 Textile Value Chain | April - June 2013REALITYBITEShigher due to high cotton prices and labour cost. China mightprefer import yarn rather than cotton from countries likeIndia and Pakistan in the years to come. Hence, India hasgood potential to improve its yarn exports.The biggest employment provider industry had its ownproblems and obstacles on the way. The industry is largelyfragmented and needs integration and balanced growthamong various segments to increase the unit value ofexports. Even under difficult times spinning industry iscapable of exporting around 100 million kgs/ month duringthe last three months, around 1/3 of production aftermeeting the domestic demand fully.Cut-throat competition can not be avoided in theglobalised era, where every country thrives hard not only tosustain but also to improve their share in the global market.The only way is to improve the productivity and achieve costadvantage. However in this era, not only the cost but alsoexternal factors like conditions of the importing countries,fluctuation in forex rates, etc., have their say in productpricing and competitiveness.Volatility in the prices of cotton, cotton yarn or any othercommodity is natural and can not be avoided. Imposingunnecessary controls results in adverse effects, which forcedthe industry into recession because of controls imposed oncotton and cotton yarn in the recent past.The countrys textile exports, which had been dependanton the demand from the US and EU markets had been badlyaffected because of demand compression due to economicrecession for the past five years. But thanks to the marketdiversification initiatives encouraged by the Govt. and theindustry could venture into new markets. In the future, theindustry is sure to become a significant player not only incotton yarn but also in other textile products alsoSpinning industry should be taken out of the clutches ofthe Hank Yarn Obligation Scheme, which prescribes toproduce at least 40% of the cotton yarn delivered todomestic market in hank form and of which 80% should bebelow 80s count with effect from April 2010. Whereas theindustry is pleading to levy a cess if necessary in lieu of theobligation else reduce the obligation percentage to 25%.Since the number of handlooms have considerablydecreased and the yarn production has increasedsubstantially; practically today the actual cotton hank yarnconsumed by the handlooms would be only around 10%and majority of the working handlooms have shifted silk toearn reasonable wages. Yet another irrelevant policy isHandloom Reservation Act which prevents the powerlooms to produce around 21 varieties of fabrics. But, it isthere only in paper. Majority of such varieties areeconomically viable only when they are manufactured out ofpower looms. Hence, this policy should also be scrapped.Second-hand loom imports could be encouraged byreducing / eliminating the import duty since the country doesnot have sufficient number of loom producers in the countryand help the powerloom sector to modernize in a costeffective manner. In turn they would supply cloth todownstream sectors who in turn would convert them into garments and resort to value added exports.The government should encourage all the links of thetextile value chain and frame comprehensive policies takinginto account all the segments of the industry to become costeffective and also balance the growth of all segments so thatthe country can earn more forex by way of increasing morevalue added products. It is a welcoming feature that TUFSand SITP have been extended in the 12th Five Year Plan witha targeted investment of Rs.1,51,000 crores. Now, it isessential to allocate necessary funds for the pending cases,blackout period (June 29, 2010 to April 27, 2011) and alsosort out various anomalies to create a level playing field andsustain the financial viability of the affected units.TVC: As we understand there were many obstacles inthe way. Could you throw light on the same?S.D.:The Industry is often subjected to recession due tohigh volatility in the raw cotton prices. Consequent to theremoval of cotton from Essential Commodities Act fromFebruary 2007, the multinational cotton traders flooded withcheap funds started dominating the Indian cotton economy.They procure large volume of cotton during the peak season(majority of the cotton arrives the market only duringDecember to March), hoard the cotton and speculate theprices. Unfortunately, the various Govt. polices relating tothe white fibre like offering export incentive withretrospective effect, CCI supplying huge volume of cottonwith six months credit facility with bulk discount, export largevolume of cotton during the peak season and creatingartificial scarcity, low stock-to-use ratio (15% to 20% cottonreserve as against the global average of 40% to 75%), etc.,are not allowing the industry to achieve a sustained growth.The industry has been pleading the government to offerspecial working capital assistance (at 7% interest rate, 9months credit facility and reduction of margin money from25% to 10%) to have a level playing field with themultinational cotton traders who not only have enormousfunds but also have forward cover facility to protect theirtrade. This package would also enable the farmers to getreasonable price for their produce. But the Govt. is yet toconsider this proposal.The industry faced its worst crisis during 2010-11due to unprecedented volatility in cotton and yarn priceswhich led many textile companies to erode its workingcapital. With continued and consistent persuasion made byus, the Govt. announced a debt restructuring package ofRs.35,000 crores in May 2012. However, banks arestepping back in certain cases and we appeal them toconsider all the applications favourably.TUFS was temporarily suspended during the periodbetween 29.6.2010 and 27.4.2011. Expecting and believingthat the TUFS benefit would reach them, many textile millsduring this period invested a lot. This scheme wassuspended without any prior notice and many projects wererejected because of a delay of few hours. Since the Textile
17Textile Value Chain | April - June 2013Machinery particularly the spinning machinery deliveryschedule during this period was more than three years andtherefore, the textile mills had to plan the projects in advanceand could not stop in between. Therefore, we expect theFinance Ministry and Cabinet Committee to consider thisgenuine demand. Similarly, the Textile Ministry is denyingTUFS benefits to the units seeking debt restructuringpackage. In such cases, we expect the Ministry to extend theTUFS benefits under the pending cases without further delayto ease out their financial position and remain healthy.Yet another problem the industry facing is the suddenimpact created by hike in HSD oil prices. Recently, theGovt. has hiked Rs.9.25/ litre of HSD oil for bulk purchaseswhich have a net impact of Rs.11.00/ litre including taxes andlevies. So the industrial units in the power starving States likeAndhra Pradesh and Tamil Nadu which heavily depend ondiesel generators for power generation have to bear thebrunt. What the industry expects from the government isthat the prices should be rolled, exemption from VAT onHSD oil, which would help the textile mills to reduce theirburden.TVC: What is your planning for future and what help doyou expect from the authorities in that regard?S.D.: If the government avoids short sighted and lopsidedpolices and announce a comprehensive textile policy, theIndian textile industry has a tremendous potential to grow.The government should facilitate getting all the inputs atinternationally competitive rates. The transaction costshould be reduced. The GST should be implemented at theearliest without any break or exemptions across the valuechain. Garment sector should become cost effective byemphasizing on modernizing weaving and processing andexpanding the technical textile segment.Availability of quality and constant supply of power atan internationally competitive rate is very essential toremain competitive. Timely disbursement of fiscal and non-fiscal support to the industry without turns and twists in thepolicies already announced, as these would affect theindustries expansion and modernization plans adversely.TVC: Yarn has become competitive in China which isreputed for giving cut-throat competition in textiles.How could the spinning industry increase export toChina and China shifting its yarn purchases from Pakistanto India?S.D.: We understand that the labour cost has becomeexpensive in China. Hence, China prefers to import alllabour intensive textile products from countries like India andPakistan. Currently, it imports large volume of coarse countyarns from these countries, more from Pakistan. Theenquiries for coarser variety cotton fabric are also good. Weneed to quickly upgrade the weaving technology to capturethe international market.TVC: What would you suggest to make cotton yarnsavailable to power looms and knitters at reasonablystaple prices, despite volatility in the cotton market?S.D.: Raw material accounts for 65% of the yarn cost.Unless the cotton price is stable, it is impossible to bringstability in the yarn prices. If we look at the cotton and yarnprices prevailed during the years 2003-2008, they werestable. The problem started only when the multinationalcotton traders entered the Indian cotton market. Varioustrader friendly policies of the Govt. (like high import dutyduring 2008, abrupt increase in MSP, 5% export incentivewith retrospective effect, bulk discount and liberal creditfacility offered by CCI, holding of stocks by CCI, exportingthe entire earmarked quantity of cotton in a short span, etc)enabled the trade to hoard cotton, create artificial scarcityand speculate on the prices. Hence, during the last fivecotton seasons, there is no stability in the cotton and yarnprices.Tamil Nadu which accounts 47.5% of the spinningcapacity has been facing acute power shortage. Hence,uncertainty in power supply, heavy under utilization ofmachines and man power, abrupt increase in captive powergeneration cost, steady increase in labour cost, etc., makethe yarn prices unstable.TVC: As a Textile Analyst, we read a lot about the USAand Europe on the threshold of achieving a turnaround.Still there is despondency in the downstream segments ofindustry. Kindly comment.S.D.: I do agree that there is a downward trend for thedemand for textile products in USA and EU countries. Butthis will not be so for long time and I expect that the situationwould improve shortly. Moreover, we need to concentrateon markets in East and far Eastern countries for our products.We are aware of the problems of downstream segmentsespecially due to the closure of processing units in Tirupurand nearby areas following the Honourable High Courtorders. To overcome this problem, the processing unitsshould shift their base to seashore, treat the effluents and letit into the marine to remain cost effective. This is only a long-term option available before the processing units.TVC: Do you think success story of yarn will induceGovt. to treat spinning on par with weaving, processingetc., for the purpose of benefits under TUFS.S.D.: Indian spinning sector has proved its competitivenessin the global trade and the same should be sustained in futurefor which the Govt. should encourage the spinning but at thesame time encourage the other sectors also to upgrade theirtechnology and capacity expansion to have an edge in theglobal cut throat competition and countrys share in theglobal textile trade. The Govt. has already decided to givemore thrust on strengthening the weaving and processingsectors in the 12th Five Year Plan and is expected toannounceattractive schemes under TUFS and SITP.REALITYBITES
Theres a well-said quote by Benjamin Franklin“By failing to prepare, you are preparing to fail”.Planning is the most crucial aspect for a successful project.These days, the investors planning to invest in amanufacturing unit are facing huge problems of project delayor failures due to various reasons like delayed disbursementof funds by financial institutions, inappropriate projectmanagement team, inadequate knowledge of projectexecution, etc. For a project to be devoid of cost overruns,schedule delays and poor quality execution, the investorneeds to execute the project with effective projectmanagement methodology.Project Management: Project management is defined asthe application of knowledge, skills, tools and techniques toproject activities to meet project requirements andorganizing and managing resources so the project iscompleted within defined scope, quality, time and costconstraints. It involves planning, organizing, and managingresources to bring about the successful completion of theproject. Following is the framework that is generally followedfor successful project management :18 Textile Value Chain | April - June 2013REALITYBITESProject PlanningMr. Avinash MayekarMD & CEO,Suvin Advisors Pvt. Ltd.1) Pre-designing, 2) Project Management and3) Construction Management1) Pre-designing: In pre-designing, various activities likeSite plan, Master Planning, Drawings for StatutoryApprovals, Utilities Data Collection, Design Conference,Basic Data Fixation etc. is taken care of. Preparation ofMaster plan is done by exploring the various possibilities andaspects for the suitable development of the site, from thepoint of view of Industrial planning and architectural design tobe shown in a site plan, considering effective use ofclimatology and natural site gradients & overall planning bygiving due considerations to man, material andmanagement. The built-up area is fixed by consideringvarious units, utility area, ancillary buildings, power plant etc.The prime focus should be given on a “Designconference” where all the stakeholders such as the client,Consultants and suppliers contribute to finalize all variables ofthe project after considering all other options. Thisconference needs to be organized to arrive at building utilityand machinery details from all suppliers & theirrecommendations and to freeze all design parameters. Asper approved data of individual units and master plan duringdesign conference, a basic data fixation report should beprepared, which would be referred to as a bible and wouldforms the basis for further designing & planning, coveringbuilt-up area, statement of utility requirement for machinery,building specifications, utility requirement and equipmentspecifications, design conditions, time schedule and budget.2) Project Management: Project management revolvesaround the objectives of scheduling, effectively estimatingcosts, working out cost benefit analysis, preparing file notewith single line diagram, preparation & evaluation of tender,prequalifying & approving contractors, givingrecommendations and preparation & submission of design &working drawings.The geo-technical analysis of the proposed site needs tobe carried out with particular regard to size, surface, shapeand level conditions, load bearing capacity of subsoil andsurface water conditions, water supply, yield of wells,interpretation of water analysis, drainage, disposal of rainwater & waste water and industrial effluent, electric powerconnections, climate and meteorological data, rainfall,velocity & direction of prevailing winds, municipal/ local rules& regulations etc. If, in the course of investigation regardingwater supply, load bearing capacity of sub-soil and sub-soilwater conditions, it is found necessary that civil work likeexcavation pits, boreholes or load tests has to be carried out,the same will be carried out. If an up–to–date contour planand survey map is not available it should be arrangedaccordingly.Based on geotechnical analysis of the site and masterplan prepared, architectural drawings should be prepared forinfrastructure, production buildings and ancillary buildings.The primary challenge of project management is toachieve all of the project goals and objectives while honoringthe preconceived project constraints. Typical constraints arescope, time, and budget. The secondary—and moreambitious—challenge is to optimize the allocation andintegration of inputs necessary to meet pre-definedobjectives.In the Project execution stage, multiple agencies worktogether on parallel activities. The challenge lies in constantmonitoring of each activity, quality check and taking mid-course correction if required, enabling an efficient andsmooth implementation of the project.There are 3 major steps to be followed for projectmanagement :Execute & ControlInitiate Prepare• Scope Manegement• Workplan Manegement• Resource Management( Time, Cost, People)• Deliverable Management• Quality Management• Transition Management• Vendor ManagementStart upDefination/Scope/RequirementPlanning &ResourceAllocationReviewReportingCompletion&AssessmentsTrack & ControlCloseRisk & Issue Management Communication Manegement
19Textile Value Chain | April - June 2013Architectural drawings include plans, sections, elevation,doors & window schedule for each building and necessarydetails for implementation. Structural design and detaileddrawings includes static calculations of reinforced concreteor steel construction for buildings, preparation of structuralGA drawings, preparation of RCC designing and drawings.Utility systems need to be effectively designed to arrive at anappropriate system, detailed design, scheme drawings andlayout drawings. Following is the sequence of activities to befollowed for Project Management :Some of the major reasons for project failures or delay inexecution are inadequate project planning, poor schedulingof projects leading to delays in implementation, misallocationof funds, lack of accountability and transparency, Lack ofdefined, clear, or concise requirements, bureaucracy indecision-making, weak monitoring systems, lack of teamwork etc.These reasons can be overcome by improved projectmanagement that would resolve most of the issues faced bythe project investor in implementation of the project.Need of Improved Project Management: Betterproject management leads to better predictability leading tocommitments that can be met. Lower cost can be achievedthrough reduced rework, better resource management andbetter planning. Quality is improved through proper qualityplanning and control. Project management aids in bettervisibility into project health and state leading to timelyintervention and also helps in better handling of risksreducing the chances of failure/delay. All this put togetherleads to higher project investor satisfaction and self andorganization improvement. This can be achieved byappointing a proficient project management team within theorganization or a professional project managementconsultant outside the organization.Importance of Project Management Consultant: Aproject management consultant has practical experience ofsetting up various projects and complete knowledge of theproject execution along with the intricacies involved whileimplementing a project. The consultant is cognizant of thesystematic process for managing a project and is able toanswer crucial queries like the goal of the project, the needfor the project, the beneficiaries of the project, probableobstacles in the project execution etc. With effectivecommunication and good interpersonal skills, a projectmanagement consultant can efficiently co-ordinate betweenvarious vendors and the project investor delivering theproject within the prescribed time schedule and withoptimum budget.Implementing a project within prescribed schedule, withinsignificant deviations from budget and maintainingappropriate quality enable the project investor in savingaround 5-10% of the project cost.Summary: To summarize, project planning is the key forexecuting any project within cost estimates, timely executionand avoiding repetitive work and delays. The precisionneeds to be taken while planning, designing andimplementing any project. As there are various independentfactors involved in project management, a right andomniscient consulting firm having relevant team withknowledge of project execution should be appointed whichcan assist in giving most favourable end-to-end solutions forany project.The work needs to be closely supervised to ensuretimely completion as well as to ensure quality. Schedule ofwork for each contract should be monitored. Adequateresource should be deployed at site. Monthly progressreport should be prepared covering costs, critical decisionsand progress achieved by collecting site reports for material,labour, work progress. The list of drawings issued and diaryof important events should be maintained.3) Construction Management: Constructionmanagement revolves around the objectives of resourceplanning, micro scheduling & orientation, site supervision,risk assessment and management, safety & securitymeasures, material control, quality control, cost control andsuccessful implementation. Following are the activities to befollowed for Construction Management:REALITYBITESMajor Reasons for Project Failures/Delay: Project, ifnot planned properly, can fail or get delayed indefinitely.Testing of soil& ConductingtoppgraphicalSurveyFinalization ofbuildingSpecificationsCostEstimation& ValueEngineeringPreparationoftenderdrawingsPreparationoftendersFloating &evaluationof tendersIssuingofwork orderFinalizingTendersPreparation ofgood forconstructionDrawingsIssuing ofgood forconstructiondrawingsSite visit &coordinationSubmissionof montlyprogressreportPreparationof finalprojectreportPreparationof as-builtdrawingCertificationof RA BillsChecking of site& site conditionAnalysis &monitoring ofmaster scheduleAnalysis ofResourcesDay to day siteSupervisionChecking ofquality ofmaterialWorkmanshipCoordinationat siteImplementationof safety practicesChecking of &verification ofmeasurements ofcontractor billsPreparationof finalreport
20 Textile Value Chain | April - June 2013REALITYBITES Interview - Sel GroupManufacturing Co. Ltd.TVC: Which markets does SEL group supply?NG: The value added products of the Company i.e. knittedgarments and terry towels are 100% exports, while the yarnsales constitute of about 30% of exports. SEL exports toabout 80 countries including entire Latin America, MiddleEast, Europe, USA and some African & Asian Countries.TVC: What is the current market size and share of SEL?NG: Textile is a very vast field and includes hosiery, apparels,home textiles, cottons, silks woollens, hand-crafted textiles,jute & coir, technical textiles, synthetics, etc. The total Indiantextile market would be around 90 billion USD out of whichabout 60 billion USD is for domestic consumption while thebalance is exports. Similarly, the global market for textileswould be around 650 billion USD.SEL is mainly into yarn, fabric and made-ups like knittedgarments and terry towels. At present, the group is not intoretail segment and caters only to industrial consumers andbig retail chains. Considering the overall huge range ofproducts in textiles, the market share of SEL would not bevery big. But the thrust and focus of the group is to be oneof top integrated players of textile market.TVC: Does SEL have any future plans for expansion ordiversification?NG: SEL has been in expansion mode since its inception.Recently, we have set up a spinning project in MadhyaPradesh with installed capacity of about 4.00 lac spindleswhich is the largest spinning capacity under one roof in India.We have expanded the facilities in MP by adding anotherSEL is a leading vertically integrated textileconglomerate operating in various textile sub-segments. It has facilities right from spinning & knitting,processing of yarns and fabric, to the value added productsviz. terry towels and ready-made garments. SELManufacturing Company Limited has been ranked as the10th largest in analysis of the Europes top 100 Yarn & ThreadSuppliers.SEL is driven by the vision of building a sustainable,profitable, growth oriented and socially responsiblecorporate through strong and effective systems, committedteams and satisfied stakeholders. Today SEL group isrecognised as a “System Oriented ManagementSupported” corporate.TVC interviewed the dynamic, insightful andbrilliant Mr. Navneet Gupta, Executive Director &C.F.O of SEL Group…TVC: SEL presently manufactures an entire range oftextile products from yarn, knits, fabrics, readymadegarments and terry Towels. What was the vision thatmade you enter this entire sector?NG: The group started as a garment manufacturer with avision to create a niche market for itself with quality products.We believe in creating the best quality garments, procuredfrom the best quality of raw material (i.e. yarn and fabric).Secondly, the size of textile markets is growing rapidlyworldwide. Today both international & domestic buyerswant to deal with people where they can be assured of thesupplies. In case of value added products the supplycontracts are for long terms and only the integrated playerscan be reliable sources for long term supplies as they are self-sufficient when it comes to raw material. Thirdly, theintegration gives the group cost effectiveness. Today, whenyarn is moved from spinning division to knitting/toweldivision or fabric is moved from knitting division togarmenting division, the company saves on packing,transportation, commission etc., which minimizes the risk oflosses in case of price fluctuations.Therefore, reliability of supplies, assurance of quality andcost effectiveness promoted the group to enter theentire value chain. To complement the chain, the group hasalso set up a 22 MW Captive Power Plant which is bio-massbased and uses rice husk as a fuel. Besides givinguninterrupted and quality power supply, the steamgenerated by the plant is used for processing in terry toweldivision.TVC: What is your current Production capacity of each?NG: The Company has been into continuous expansionmode since its inception. The current and upcomingcapacities are summarized below:Category Unit Existing Upcoming TotalRing Spinning Spindles 6,13,872 4,79,616 10,93,488Open-end Spinning Rotors 10,680 2,400 13,080Yarn Processing TPA 9,000 -- 9,000Knitted fabric TPA 43,050 36,000 79,050Fabric Processing TPA 6,900 -- 6,900Terry Towel TPA 21,600 12,600 34,200Denim fabric million metresper annum-- 40 40Denim garments million piecesper annum-- 8 8Ready-madegarmentsmillion piecesper annum20 -- 20Captive PowerGenerationMW 22 -- 22Mr. Navneet GuptaExecutive Director & C.F.O,SEL Manufacturing Co> Ltd.
21Textile Value Chain | April - June 2013REALITYBITES2.50 lac spindles. In addition to that, the group is also settingup an integrated textile project in Punjab which would haveabout 2.00 lac spindles and an annual capacity tomanufacture 40 million meters of denim fabric and 8 millionpieces of denim garments. Besides that, the knitting andgarmenting capacities of SEL keeps on adding up. Also, SELis constantly on the look out for acquisition opportunitieswherein we have had about 6 acquisitions in the past 3years, which have added to the capacities of the Company.TVC: What is the general approach followed by yourcompany while putting up a project?NG: Raw material proximity is one of the factors that arestudied while conceiving a project. Land availability and landprices also play an important role in deciding the project. Ournew MP spinning project, is centrally located and in a cottongrowing belt. It is also close to the ports and land is availableat reasonable prices. Our spinning project in Dist. Muktsar,Punjab was again set-up because it is a cotton belt and Govt.of Punjab has a special thrust for development of that regionas a textile hub.TVC: For execution of projects, does SEL take assistancefrom outside consultants or agencies?NG: Over a period of time the Company has developed apool of professionals who take care of the project execution.The team includes people who are experienced in theirrespective fields like civil construction, engineering,government approvals etc. Besides, there are also fresh faceswhich give additional energy to the team. The team iscapable of handling big size projects and implemented thespinning project in MP in the most efficient and timelymanner. However, in case a need arises, the group is notaverse in taking assistance from outside consultants.TVC: What are the major infrastructural obstacles?NG: Power is a major issue. Power consists of about 18%to 20% of the total manufacturing cost. Availability of powerand also the quality are the areas where we have to reallylook into. Industries require uninterrupted power supply ataffordable prices to be really competitive at internationallevel. Apart from this, land acquisition is another area ofconcern.We need to have a clear policy on land acquisitions.TVC: Do you face obstacles while taking loan fromfinancial institutions? Is it easy to get Finance from them?NG: Textile sector may not be a priority area for thelending institutions. One of the reasons for the same canbe the cyclical nature of some of the products and lower levelof profit margins. However, the textile industry has a trackrecord of more than a century. Further, with the growinglevels of integration and increasing size of the units the riskfactors are being taken care of. As the manufacturingcapacities grow in size and the industry moves towardsmore and more of integration, the shock absorbingcapacities are also increasing. Last one year has been verygood for textile industry and same is likely to continue for atleast next 4-5 years. With this the confidence level of thebanks is also increasing. Luckily, with continuous profit recordand meeting the financial obligations on time, we have neverfaced any kind of obstacles in getting finance from the banks.TVC: Is SEL planning investmentsoutside India?NG: With increasing purchasing power and youngpopulation, the Indian domestic textile market is growing at arapid pace. Further, many manufacturing facilities abroad arebeing shut down due to high labour and manufacturing costs,environmental issues, etc. About 60% of the globalproduction base is in Asian countries. Today everyone wantsto setup base in India. As such, at present the group isconcentrating on building capacities in India.TVC: What are the major difficulties SEL faces whiledealing with Govt.?NG: complexity of variousThe major issues are withapprovals required for setting up and running the projects.We should have a wheresingle window clearance systemon a single application all the necessary approvals aregranted. This would save plenty of time & effort which can berightly used for setting up of the project.TVC: How would you like the Govt. to assist you toboost the market of your products?NG: The Indian Govt. has promoted a number of exportpromotion policies for the Textile sector. It has also allowed100% FDI in textiles under the automatic route. Due torecent Govt. policies, the Indian textiles industry is in astronger position than it was in the last six decades. Theindustry which was growing at 3-4% has nowaccelerated to an annual growth rate of 8-9% in valueterms. Additionally, initiatives like TUFS, SITPs and ISDSsare helping to promote the growth of textiles industry inIndia. Apart from this, some State Governments like Gujarat,M.P. & Maharashtra have also given interest subsidy & otherbenefits for setting up of projects. These measures go a longway in reducing the operational costs and making the Indiantextiles industry more competitive in global markets. Theonly thing required is stability and certainty of policies.TUFS blackout period had discouraged the industry andcreated very negative impact in the minds of entrepreneursdue to uncertainty on Govt. regulations. Decisions shouldbe taken and policies should be framed in the interest ofthe Country and not in the interest of various lobbies likeginners, spinners, weavers, garmenters, etc.“ There are childrens who are working in textilebusiness in asia who would be prostitute on thestreets if they did not have those jobs ”Lawrence Summers
Mr. Vitthal JadhavDirector,Pratibha Constructions
ADVT. 20- 50 % Faster Projects 200+ Organizations worldwide includingTrident, L&T, Nakoda, Siemens, TATA STEEL Boeing and ABB $3.5 Billion impact on Cash and profits.“WE WERE ABLE TO COMPLETE A YARN PLANTCOMMISSIONING IN 14 MONTHS COMPARED TO21 MONTHS DONE PREVIOSLY”Mr. Rajinder Gupta,Managing Director, Trident GroupOnly 3%of infrasturcture projects inIndia finished on time and within budget.Economics DepartmentDelhi Board of Economics
If there is one company in India in the space oftextile engineering that can claim to be a singlewindow solution provider across the textile valuechain, it is only A.T.E.!home textiles, synthetics, carpets, a complete range inprocessing, lab equipment, utilities which include ETPs (fromits own group company), and air engineering, comprisinghumidification and also comfort conditioning (from its owngroup company). It also created separate divisions foraccessories and retrofits to drive this business with focus topromote the use of genuine spares, accessories and retrofitsto help customers to optimize their machine performanceand to conserve resources. ATEEPL is also viewed as aconsulting resource by its customers, in view of its deeplyembedded knowledge in textile processes.Certified under ISO 9001:2008 for its best qualitypractices, the companys 300+ team includes around 200professionals for sales, marketing and services, out of whichrdover 2/3 are dedicated to its textile engineering businessalone. The company has eleven branches all across India(located in Ahmedabad, Bengaluru, Chennai, Coimbatore,Chandigarh, Hyderabad, Kolkata, Mumbai, New Delhi,Pune and Surat) and also has residential representatives atkey textile centres like Tirupur, Nagpur, etc.Passion, Commitment and ExcellenceFrom a humble beginning over 7 decades ago, A.T.E. hasgrown organically and inorganically-occupying a centre stagein the Indian textile industry, while firmly establishing itself inother areas of business such as clean technology, print andpacking solutions and machine-to-machine solutions. A.T.E.group now consists of 9 companies, which includemanufacturing units, a project execution company, and anindustrial sale, distribution and service company with anationwide network as well as subsidiary in Dhaka,Bangladesh.A.T.E. is a leader in textile engineering. Its manufacturingunits in the textile engineering field include its own unit forhigh precision spinning machinery components, under theMr. Anuj BhagwatiManaging DirectorA.T.E. GroupMr. G. V. ArasDirectorTextile Engineering GroupHere is a quick overview of ATEEPLs textileengineering businesses:Mr. Laxmikant RathiBusiness HeadSpinning Accessories Div.Spinning machinery andaccessories: ATEEPL has twoseparate divisions to handle thebusiness of spinning machineryand accessories. ATEEPLcommands a significant presencein the Indian spinning industryrepresenting global Germanmajors:Truetzschler, ZinserTextile Systems (ZTS),Oerlikon
28 Textile Value Chain | April - June 2013CORPORATEPROFILE portfolio includes the high precision TeraSpin spinningmachinery components such as spindles and inserts, toparms, etc. (manufactured by A.T.E. based on SKFtechnology), Truetzschler card clothing, original spares forvarious spinning machinery, Inspiron flyers, Inarco cots andaprons etc. The portfolio also includes slub, multi-twist,multi-count, core spun devices from SKAAT, which help invalue addition in spinning yarn and MAG textile testingequipment for accurate testing of fibre to garments. ATEEPLalso represents Bajaj Steel, the largest ginning machinerymanufacturer in the world, for the complete range of ginningand bailing machines.industry and its name is synonymous with warp knitting.Lace, tricot and raschel are the main variants of warp knittingmachines.Karl Mayer has sold over 200 tricot knitting and specialapplication warp knitting machines for technical textiles suchas home textiles, automotive textiles, sports textiles,outerwear, shoe fabrics, agro textiles, geo-composites, flexbanner, coating substrates, geo textiles and medical textiles.Notable customers in this line of business are, BMD, GinzaIndustries, Haria Enterprises, Techfab India, Garware WallRopes and others.Warp Preparation: Since 2008 Karl Mayer has combined thesynergies of Karl Mayer, Benninger, Sucker and Griffin tooffer one stop solutions for warp preparation for textiles,technical textiles and indigo denims. Karl Mayer enjoys asignificant market share with a population of more than 850installations across India with almost all leading mills andcorporate weaving houses.ATEEPL has promoted Karl Mayer strongly with majorinstallations at Alok, Bombay Rayon and Fashion, Welspun,Mandhana, Arvind, Raymond, Sri Shanmugavel, VT Mills,Loyal Textiles, Himatsingka, Premier, NSL, Nahar,Vardhman, etc.geotextiles, filtrations and roofings; Enka Tecnica (Germany)for spinnerets and jet strips; Wenzhou Seek BenefitMachinery (China) for spun bond and SMS lines; Luwa for airhandling systems; Ramisch Guarneri (Italy) for calenderingsystems; Mahlo (Germany) for GSM monitoring andmoisture measurement systems; Fongs for bleachingvessels; Monforts (Germany) for coating systems andZeller+Gmelin, (Germany)for warp and weft knitting oils.A.T.E. has also recently tied-up with Tayu Machine(Xiamen, China), which provides a full range of machines tosuit every need, in the circular knitting sector. The rangeencompasses single jersey and double jersey machines. Tayualso manufactures alloy steel cylinders which add to themetallurgical strength, thus assisting in effective dissipation ofheat between the knitting elements.Carpet and Synthetic Machinery: The carpet business hastremendous potential, driven by a rapidly growing demandfor interior décor both by business establishments as well ashouseholds. With a low per capita consumption of carpetsin India, as well as a rapid growth rate for consumption,carpet is by far, one of the most unexplored products inmanufactured textile applications in India. Backed by itsdomain knowledge in textile applications, A.T.E. has recentlyentered into the carpet machinery business, to help theIndian carpet industry to tap the growing market for carpets.ATEEPL has tied-up with a number of leadingmanufacturers of carpet machinery and equipment aroundthe world, such as: Zimmer, Austria (carpet printingChromoJET and back-coating lines), Cobble Blackburn,U.K. (machine-tufting), Crabtree, U.K. (carpet looms,belting looms for producing specialized industrial fabrics forconveying), EFAB GmbH for robo-tufting, Ornek Makine,Turkey (heat setting) and Yamuna, India (for indigenous backcoating lines).ATEEPL has also understood that it needs to take astrong position in the synthetic textile sector too whichshows very good promise of sustainability and growth. Ofcourse, it is already into the warp knitting and beampreparation sector with Karl Mayer equipment, but the needwas felt to enter into the highly competitive as well as highlycapital intensive sectors of POY/FDY lines, PET/PP staplefibre lines, Continuous Polymerisation (CP) lines,monofilament lines and tape manufacturing lines, to name afew. ATEEPL has a very strong line-up of principals in thissector as well, comprising of world leaders such asTruetzschler, CTMTC, Huitong and others.Mr Sunil BhatnagarBusiness Head - Spinning& Fabric Forming Div.Fabric Forming : ATEEPLsFabric Forming Divisionrepresents Karl Mayer, Germany,for warp knitting and weavingpreparation equipment.Warp Knitting: ATEEPL has beenrepresenting Karl Mayer,Germany, for over 5 decades.Karl Mayer has a very highreputation in the Indian textileKnitting & Non Wovens:ATEEPL has been present in thenon-woven segment since the1990s and represents in India arich technology basket with alarge number of world classmanufacturers. ATEEPLsprincipals in the technical textilessegment include TruetzschlerNon-wovens (Germany) forspun lace, thermo chemicalProcessing Machinery andAccessories: ATEEPL providesa most-complete technology-package for textile processing forboth woven and knits from globalleaders. Principals handled byATEEPL in the processingsegment include Monforts forstenters for wovens, knits &technical textiles, CDR (E Controltechnology)& MXL ranges; FongsMr. Avinash NaikBusiness Head ProcessingAccessories & CustomerService GroupMr. Vikas SharanBusiness Head - CircularKnitting, Non-wovens,Synthetics & Carpets Div.
for package & soft flow dyeing machines; Fongs Europe(Goller) for continuous bleaching and mercerizing ranges forwovens and knits; Fongs Europe (THEN) for air flow dyeingmachines; Osthoff-Senge of Germany for singeing machinefor wovens & knit fabrics; Mahlo for weft straighteners forwovens, knits & denim fabrics with modular process controlsystems; Stalam of Italy for RF dryers for loose stock, hanks,tops & hydro extractor for yarn packages; EliarElektromekanik of Turkey for weighing & dispensing systems;Corino of Italy for balloon padders & wet slit opener; A.T.E.Envirotech for water & waste water treatment plants andcomplete packages for zero liquid discharge system fortextile effluents, Ramisch Guarneri of Italy for calendars fortextiles and technical textiles; Montimac of Italy for greypreparation lines; Salvade of Italy for loopsteamers andZimmer of Austria for digital printing machines; and nowL A C O M f o r c o a t i n g a n d l a m i n a t i o n .As one could see, this line-up clearly reflects A.T.E.sfocus on not only the main-stream textile process lines, butspecial value adding process as well as post-process activitiesincluding crucial waste disposal and pollution control areas.ATEEPL has a dedicated set-up for customer supportwith 30+ engineers/technologists to provide post-salesservices for a host of state-of-the art textile processingmachines of its local and foreign principals. This team offers abouquet of services such as erection and commissioning,trouble shooting, annual service contracts, performanceoptimization, technological assistance, spare parts handling &training. With a highly competent and experienced serviceteam, A.T.E. is committed to ensure uninterruptedproductivity and quality, giving its customers a sustainablecompetitive advantage. Services of A.T.E. engineers aresought even by international textile machinery companiesfor various kinds of services for their installations supplied allaround the world, which is an eloquent testimony to thec o m p e t e n c y o f A . T. E . s s e r v i c e t e a m .As in the case of spinning, ATEEPL has also created aseparate business division to promote the business forspares, accessories and retrofits for processing machinery.Besides promoting the use of genuine spares for optimizingmachine performance, the accessories and retrofits broughtby this division is designed to save cost, improve productivityand improve quality at substantially low cost of investmentsand with fastest ROI.Garments Machinery:ATEEPL has forayed intogarment machinery two yearsback and is fast making itsmark in the garment makingindustry with the latest eco-friendly automation solutionsf r o m r e n o w n e dmanufacturers around theworld. ATEEPLs offering willcertainly save man-hours,reduce energy consumptionMr. Kanhaiya PrasadBusiness Head - Garments& Home Textiles Div.Mr. S RajendranBusiness HeadProcessing Div.frame trolleys, box trolleys, batch rotation station andhydraulic spindle batchers); Valence (antistatic units); MAGFORM IV
Birla Spundyed Viscose Fibre – An Eco Concept for Future TextilesSushil Hada, Ravinder Tuteja,Ganesh Jadhav, Praveen Kumar& Alkesh Darji,TRADC, Birla Cellulose, Birladham, Kharach, Gujarat.Stock dyed fibre /piece dyeingFig. AFabric / garmentprintingSpun dyedViscosePigment ¬ DyesParametersDenier X Cut LengthShade No.DenierOPU %Conditioned tenacity (Gms/Den)Conditioned elongation%1.3d x38 mm96761.3 D0.35 -0.382.58 – 2.6118 – 20%Values
As per the Table no. 2 & the graphs, spun dyed Viscoseyarn is showing results comparable to the Uster 25% normsfor 30s normal Viscose yarn. All the testing done atcontrolled lab conditions of 65% RH with 27±2°ctemperature.Fabric Quality Reports –Below mentioned table shows the benefits comparison ofspun dyed viscose fabrics over the piece dyed fabrics. As theSpun dyed are manufactured by injecting pigments at thefibre spinning stage, the fastness ratings for the Spun dyedfabrics are excellent as compared to the piece dyed fabrics.Colour fading Values –FIBREFOCUSTable no. 3TestFastness To WashChange in shadeStaining on CottonFastness to RubbingDryWet5554-5443-43IS764 -1979IS766 - 1988Spun DyedViscosePiece DyedViscoseTable no. 4OriginalAfter 1 washAfter 3 WashAfter 5 WashAfter 10 Wash5555554-543-43Spun Dyed ViscoseWash Sample Piece Dyed ViscoseTestMethodAs per the above mentioned table, spun dyed Viscose shows no colour fading even after repetitive washings. Value 5 denotesno colour fading & solid appearance where as 1 denotes poor colour fading & fuzzy appearance.Process savings in Spundyed Viscose Knits -171615141312Uster 5% Uster 5%Uster 25%RKM Total IPI/KmUster 25%Uster 50% Uster 50%Spun DyedViscoseSpun DyedViscose100806040200
M. D. Teli
As per 70% of the customers, yarn fuzziness is a commonproblem. It is more severe in case of cottons as compared toA. Bleeding of Embroidery Yarns:Fig.2 : Comments of Customers on Fuzziness of Yarns
38E. Puckering of Garment at Stitch Joints:2520151050No.ofpeopleResponceNo. ofpeopleRespondedNever Rarely Occasionally OftenFig.4: Comments of Customers on Puckering of Garments at Stitch JointsUsage Cycles Cotton SyntheticWoven% of people given response63.6723.36.676.6713.31026.653.3316.6713.3706.6713.3356.6203.332-35-78 andabove3-516.6726.656.67101023.363.673.32073.36.673.323.366.6766.673063.36.622.214.171.12416.673.333.366.613.3326.6601023.363.673.316.616.666.676.613.38016.663.67200.5122.522.5342.53411.522.5322.533.5344.5544.551233.5122.5333.544.54.5533.541.522.553.54.5544.553.544.5% of people given response% of people given response % of people given responseGrading GradingGrading GradingWovenKnitted KnittedThe solution adopted by manufacturers for such a problem isto mercerize the yarns which are going to be used for
Weaving – Challenges and Opportunities for the SME sectorIndia has been witnessing rapid modernisation inalmost all fields of technology. This change has touchedlives like never before and continues to do so in more andmore areas of our day to day life. Electronic voting, thepenetration of mobile services are but just two examples.It is but natural that textiles are also swept along in thesweeping changes. Like any other industry textiles has alsosought to embrace the new technologies for better productsat lower prices; starting from fibre manufacturing to spinning ofnatural fibres and finished garments. Today, we have worldclass man-made fibre plants and equally modern and up-to-date natural fibre spinning mills, especially cotton spinning unitsthat have placed India on the world map of quality yarnsuppliers.However, if we take a look at the total textile sector, wenotice that the weaving sector some how still seems to bestruggling. There is lack of adaptation & Upgradation of newtechnologies which our competitors like China have taken toin a big way. It is surprising that in a technology friendly countrylike India, which is known for its technical support to the entireworld, we have not adapted in the other sectors.The reason is not complex to fathom. What has been thestrength and the driving force of the weaving industries growthin India, is now becoming its biggest obstacle to thistechnological absorption; the weaving industry being majorlyin the Small and Medium Sectors. In the past, there has beenexponential growth due to fast and commercial baseddecision-making of the owners with adaptation oftechnologies where they saw the benefits. Yet, paradoxicallythis has also led to retarded growth in the same sector as lackof management skills forces owners to slow down growthplans beyond a certain level that are required in todays worldeconomy. The key difference between India and China isthe volume and scale at which the two operate. Nowonder, China leads and India still struggles to get its expectedmarket share.- Sharad Tandon, CEO, Standon ConsultingFABRICFOCUSMr. Sharad Tandon,CEO, Standon Consulting
Key Print Trends Autumn / Winter 2013Over-sized Flower Heads / Inky Colours / Florals With Mark Making / Single Blooms / Watercolour Backgrounds /Bleeding / Over-exposure / Flooded Ink / Intense Colour On Dark Backgrounds / Dusky Colour Schemes /Glowing Hues / Overlapping AreasBauhaus Expression / 1920′s 1960′s 1970′s Mixed / Omega Workshop References / Bloomsbury Style / WallpaperLooks / Optical Mixes / Tie-styleFoulards / Paisley Motifs / Grid-like Patterns / Chevron and StripedCourtesy: Alix Malka, Amanda Richardson, Preen via Fashionising, Magriet SmuldersCourtesy: Anni Albers, Friedlinde de Colbertado Dinzl, Marni, Vintage WallpaperFORECAST42 Textile Value Chain | April - June 2013
FORECASTCourtesy: Première Vision + Indigo via www.patternbank.comRococo Styles / Hidden Silhouettes / Baroque Imagery / Unfinished Work and Sketching / Bleach Effects /Victoriana / Devore Velvets / Scroll Work / Paisley Bleed / Decorative Work / Ornate Gold and CoppersUrban Landscape / Photographic Cities Overlaid / Urban Imagery / Pixel Blur / Collage Mix / Graffiti One Colour /Black & White / Industrial Landscape / Mapping / Contour Lines / Mixed Drawn Imagery / Grainy PrintsCourtesy: Vintage Carpets, Daniela Ovtcharov, Mariano Fortuny, Valentino Haute Couture A12 via FashionisingCourtesy: Jeanne Williamson, U.S. Army Corps of Engineers, Stephanie Jung, Federico Cortese43Textile Value Chain | April - June 2013
46 Textile Value Chain | April - June 2013FASHIONFOCUS Trends and Developments in Apparel and Fashion TechnologyProf. Kalyan RoywithReetipal Singh & Nisha AroraDepartment of Textile Engineering, Punjab Technical Univ.
47Textile Value Chain | April - June 2013colourways, and construction details - are available for reusethe next season and can be shared easily with suppliers forquick replenishment.®Lectra Fashion PLM gives fashion companies completecontrol over operations so that they can continuouslyanticipate and respond to consumer demands down tocolour, size, style, and fit for each distribution channel, whileat the same time making supply-side decisions and reactingquickly and intelligently to external factors, such asfluctuations in the price of raw materials.®Another feature of Lectra PLM is to manage fabric toreduce costs. Embedded automated marker-making toolsenable fast and effective prototyping, costing, andproduction. The material management solution can be usedto optimize markers and increase material efficiency,generating fabric savings of up to 5%.2.3 Laser Cutting in Apparel Production: This highprecision and high quality cutting results into high addedvalue for garment cut by laser. And the high precision one-time cutting can help garment manufacturers save fabric,production time as well as labour cost by great measures.Besides, data for every pattern can be saved in computer forfuture use. The need to draw graphics/sketch, cut and keepcardboard for each size of each style by hand is eliminated.That is why it is so good for made-to-measure garment andto make pattern/sample clothes.FASHIONFOCUS3. Developments in Management : Supply chainmanagement through Quick Response & AgileMarketing: “Managing the Supply Chain to meetConsumer Demand”. Quick Response Managementemphasizes the beneficial effect of reducing internal andexternal lead times. Shorter lead times improve quality,reduce cost and eliminate non-value-added waste within theorganization while simultaneously increasing theorganizations competitiveness and market share by servingcustomers better and faster.Quick response (QR) is widely accepted andimplemented by retailers of department store typemerchandise. QR is also described as a state ofresponsiveness and flexibility in which an organization seeksto provide a highly diverse range of products and servicesto customer/consumer in the exact quantity. Many retailershave found that they can serve customers better byimplementing QR without reducing profits. A QR strategy isreported to result in efficiencies, such as quicker deliveries,faster inventory turns, fewer stock-outs, fewer markdownsand lower inventory investment. Most companies that haveimplemented QR have got positive impacts on their financialand operating data by increasing profits and/or impartingbetter pricing to consumers. The introduction andimplementation of QR are gradually increasing.Implementation of QR strategies provides a lot ofadvantages. It is evident from the previous research that all ofthe below economic benefits and advantages to both theretailers and to the supply chain members have beenobtained because of QR implementation. The benefits ofQR implementation can be tabulated as follows:Table 1: Advantages of QR implementationSuppliers benefits Suppliers benefits Reduction of buyingmistakes Minimization of stockholding Quick tracking ofmerchandise Higher stock turn Improvement of cash flow Increment of customerservice Very higher level of profit Enlarged competitiveadvantages Improvement ofcommunication Improvement of planningsystems Quick access to salesinformation Easy tracking of products Security of getting moreorders Improvement ofmanufacturing systems High volume of production Reduction of stock holding Higher level of sales Good profit margin Getting of competitiveadvantages Enhanced customersatisfaction & loyaltyThe typical disadvantages of implementing QR systems forthe suppliers are: Installing of IT systems increases the cost. Increased retailer demands may erode the margin.4. Fashion Trends and its Developments: The meaning oflatest trends and fashion technology gives an explanation offashion as a sign system of cultural change and ethnicbelonging. New trends development depends on theclimate, culture, weather and the textile materials. There aredifferent fashion trends in different states at different times.Outfits can be made from different types of textiles to suitdifferent occasions and climate. Mostly, traditional Indianpreference is using cottons and silk apparels, although, latelythe fashion trend in India is diverting towards western cultureand people prefer to wear western style outfits.Fashion is a very broad word, fashion never remains thesame and over the years fashion changes periodically andalso repeats with new sensibilities. It is exciting, stylish andvery graceful.Figure 1.Clothing Laser Cutting Machine
48FASHIONFOCUSFigure 2: ColourBlock TrendThe trend that isp o p p i n g o u teverywhere thisseason is colourblock fashion trend.Fun and playfuldresses in strikingcombinations are IN.A mix of hot pink,emerald green,tangerine, lemonyellow, turquoiseand many moreThe spring spirit isembraced in a loudn e o n c o l o u r e ddress. From dressesto shoes, handbagsto hair or nails;everything was goingneon. The key tostay true to trendwas not to wearmany neon pieces atthe same time.Neon colouredshoes, bags,Figure 4: NeonColour TrendFigure 5: MaxiDress TrendFeminine and elegantmaxi dress was thecentre of attention formany. Summery maxidress is an essentialp i e c e o f e v e r ywomans wardrobe.These long flowingdresses were flattering,comfortable and verysmart. There was anarray of styles toSpring/Summer2012 season was allabout floral prints.Floral print trend hasdominated mostrunways and nowfloral jeans trend isone of the seasonsbiggest trends.Figure 3: FloralJeans TrendConclusion: The fast changing scenario apparel productionrequires enormous expertise, both technological andmanagerial, to manage the business. A few developmentsand trends are mentioned in this article to understand thesetransformations. It is expected that this write-up willgenerate further interest in the reader to obtain acomprehensive idea on the subject.Reference:1. www.gprotechnologies.com2. http://www.researchandmarkets.com/reports/664358/3. www.lectra.com4. www.lectra.com/en/fashion_apparel/products5. Barnes, L and Leegreenwood, G, Fast fashioning andsupply chain shaping the research agenda, Journal ofFashion Marketing and Management, Vol. 10, Issue 3, 2006,pp-259The art and work related with the designers is not onlyrestricted with the designing of clothes but also broadens tofashion accessories like shoes, bags, jewellery and manymore. The interest in fashion apparel is on endless rise;accordingly the concerned opportunities and competitionexists. A few of the current trends for Spring Summercollection are highlighted here to elucidate these facts.Spring/Summer fashion is all about bright colours and boldprints. So, its right time to ditch the dark and heavy winterclothes and go for something colourful and trendy, must-have pieces of the season. This season, women fashiontrends feature dazzling prints, eye-popping colours, andoverall, new styles.vibrant shades are seen on red carpet and street. Colourblocking effects on clothes are complimented by accessorieslike shoes and handbags for a fun-edgy look.jewellery etc adds to fresh and fun look.choose from. These dresses were worn with flats andchunkyjewellery pieces for a gorgeous look.Textile Value Chain | April - June 2013“ Be sure what you want and be sure about yourself.Fashion is not just beauty, its about good attitude. Youhave to believe in yourself and be strong.”Adriana Lima
The Indian Apparel industry, in spite of two recentglobal economic crises, is still very optimistic and movingahead confidently. India has emerged as a favorable destinationfor the world in terms of business operations and investments.According to a report by “the Assocham-Yes Bank study”, India willbe the most sought after luxury market worth Rs.82,000 cr, 2 yrs.from now.The announcement of FDI in retail, which is a great initiative intodays scenario, brings with it many challenges to the Indianclothing brands, which are into western-wear category. The scenewill be such that “Only the best will Survive”. Of course manydomestic brands here are at par with international ones in terms ofquality and fit, but we cannot deny the fact that till today we modelourselves on them and follow them as our mentors. Though thejourney began as knockoffs, inspiration and adaptation of leadinginternational brands, today most of the domestic brands arestriving for original identity. Our market seems to be moreprepared and resilient to meet the future challenges, the currentexample is an initiative by COLOR PLUS new retail strategy to giveshoppers a unique experience by providing a complete look.In spite of having such a big market, we are still unable to growas much as we should have. Indian clothing brands still lack in manyareas. The time has come that we should organize ourselves in allaspects in order to survive in the current scenario as the real war isabout to begin, when worlds leading brands will have theirpresence in India. One should not have the misconception that ourdomestic brands will not be affected as their presence is in almostevery tier of the society. The fact is just the opposite; internationalbrands are more aware about Indian demography and know verywell how to penetrate and capture the target market. Theirresearch, development and marketing strategies are almostflawless. Lee Cooper had introduced “FAMOUS BASICS” linemany years back to capture the customer segments that wished towear the brand at economical prices. The current example isSUPERDRY, a British clothing brand, who has tied up with RelianceBrands and are planning to enter Indian market and also targetingtier-2 cities.In the market research conducted in different cities like Jaipur,Mohali, Chandigarh, Jalandhar, Bhatinda, Amritsar, Mumbai, Latur,during my Trend Forecast Workshops (organized by variousfashion and textile design colleges) surprising facts were revealed.In view of the current situation, few measures are suggested whichIndian clothing brands should apply to sustain and excel when theyface the storm in the years to come.1. Sense the Consumer Trend: Today, just the brand name isnot enough. In the survey, consumers were asked to rank thefactors like BRAND NAME, PRICE, FIT AND QUALITY,INSTORE EXPERIENCE according to their priority. Majorityranked in the order of “Price, fit and quality, in-store experienceand finally the brand name”. It is really amazing that brand name hastaken the last position. What does this reflect? This is a clearindication that today if a “Brand / Label” does not provide goodquality at an expected price it will be rejected by their customers.This is a truly unbiased market, packed with opportunities for eventhe lesser-known brands.2. Customer Service & Knowledgeable Staff: In most of thebrand stores (exclusive or franchise) it was shocking to find that theTextile Value Chain | April -June 2013RETAIL Strategy & Innovation - The Only way to Survivestore managers and staff didnt have adequate product knowledgeand information about the brand image. Trained staff is a must instores as they are the ones who first interact with the customerface-to-face and hence can drastically affect the buying. Propertraining on regular basis and measures to motivate them in terms ofcareer growth and remuneration can be very effective in salesgrowth. Each customer today seeks personal attention and shouldbe carefully handled. So, if along with the pleasant interiors andappealing window displays, if the store doesnt have trained staff, itsa matter of great concern.3. Make the Fresh Arrival ‘Happening’: Another fact in thesurvey revealed that most of the customers wait either for some orthe other offers or sales periods for their major purchases. This is aserious concern for the clothing business because with the flood ofoptions available to the consumer, the life of the product isreducing day by day. Brands need to take extra care to developsome strategies to keep attracting their existing target customersduring the fresh arrivals. Today, brand loyalty is the biggestquestion. So, its very important to hold the existing customers andat the same time try to increase the horizon.4. Invest in Innovation & Research: Its high time that theIndian clothing brands give due importance to product innovation& research and invest in it. It should not be considered a creativewastage fund. It is now necessary to understand the importance oftrends and its forecast and give flexibility to the designers toexplore. Another problem with many domestic brands is that theyhire very few experienced designers (freelance or full time) just tosave money. Its not a safe practice and should be strongly avoidedin todays scenario as we have reached a stage where if the branddoesnt have product identity of its own, it will be difficult to survivethe storm that is underway. One should keep a team of juniordesigners depending upon ones need but guided by veryexperienced ones, in order to move into the right direction.5. Strategy - The Key Market Drivers: Proper marketingstrategy is the only solution to gain market share; there are noalternatives to it. We all understand that clothing business isseasonal in nature and has lots of constraints in terms of spending inadvertisements or various activities to promote the product. Butstill lots can be done to catch the attention of the right customersfor ones product. Exploring newer product categories such asMATERNITY WEAR, SPORTS WEAR, INNERWEAR etc. can bevery profitable. One should understand the difference betweenthe brand and the brand image. Spending huge amounts onadvertisements may catch the attention of the customers but maynot lead to sales growth and gaining popularity in terms of brandimage. It needs to be backed with quality product, appropriatepricing and proper product positioning. Precaution should be takenin regards of brand image; if a brand doesnt have a strong brandimage it should avoid opening too many exclusive outlets. Thereare many initiatives taken by the CMAI to help the domestic brandsand these will surely help the brands in future e.g., the NATIONALGARMENT FAIR, which is a wonderful business platform for bothbuyers and brands and at the same time attending the variousconferencesduring the fairs can be very helpful.6. The Real v/s Virtual: Information technology has changedthe world altogether. Having a brands own website with e-commerce facility can be very useful in terms of reaching thecustomers easily and getting associated with social media forproduct promotion and sales. The operational cost of virtual storesis much lower as compared to real stores. There are immenseopportunities available and just by small efforts we can dominate inour own market rather than rely on International brands.Anup KumarOwner - UBHO by Anup KumarFashion Designer & Trend Forecaster49
5.1 Management Commitment6.1 Provision of Resources8.4.1 Analysis of Data5.2 Customer of Focus8.2.1 Customer Satisfaction126.96.36.199 Corrective Action
58 Textile Value Chain | April - June 2013
Developing a Global Designer Clothing Market byusing Information Technology and ComparativeCost Advantages.AbstractThe main objective of this study is to look into thepossibility of developing a new market for designer clothesby approaching the market while addressing the individualsdesire for wearing something unique, tailor made, andaffordable. This could be achieved by harnessing PC CADtechnology and developing a software platform formarketing and selling. The low cost production capacity in adeveloping country and modern telecommunicationsystems can bind the different processes together. Theobjective of this project is to create a new opportunity fordesigners who can work directly with the customers or smallboutiques.IntroductionIn the global market place, textile products depend fortheir success on the right combination of aesthetics,engineering quality, and price. The textile designers anddesign engineers need to strike the right balance. Most often,an aesthetic design starts with a creative idea. Later, it goesthrough an extended period of detailing and developmentthat aims at explicitly bringing out the exquisite features of thetextile material and the clothing design. This is followed by aseries of instructions for machine control and productioncycles. However, throughout the process there must beconsideration of functional performance and cost of themarket needs and of the equipment and expertise of thecompany concerned. The use of computers in the textileindustry is no longer only in compartmental areas such asfibre measurements, economic modelling, productionplanning, colour matching, machine control and (knittingmachine and automatic looms). In recent years, there hasbeen a tremendous development in computer technologywhich has led to the use of computing in many new areas.New applications such as computer aided design,computerized control, cutting, and layouts are beginning toshow promise. All these computer applications arebecoming available to smaller companies as computersoftware and hardware becomes cheaper. However, therehas been comparatively slow progress in use of computing asa tool for the designers and developing their market.63Textile Value Chain | April - June 2013FUTURETRENDS Developing a Global Designer Clothing MarketDr. Sabita BaruahDept. of Textile & Apparel DesignSNDT Womens University, MumbaiGeir HerlandBusiness Management &IT Consultant, Oslo, NorwayThe main reason for this slow development is the designersneed for visual expression. Up until now it had been difficultto create visual representations by using computers. Lookingahead, the big advance is likely to come from total integrationof computer applications by looking at the entire value chain(from designer - to the market - to the manufacturers).Essentially, this issue is about a sophisticated communicationchannel between the market and the manufacturers.Designs produced with the aid of computers (CAD) will bepresented to the market, “tested” by the client (the client orcustomer can be companies or individual customers) andthen transmitted to the manufacturing country where theyare automatically turned into operating instructions for theproduction machinery. Todays multimedia technologiesembracing virtual reality could make all this possible in thenear future.As a first step, we need to establish what computer facilitiesthe textile designer would need as an aid to visualizing thematerial while providing the information to the market, andthe manufacturer. The computing platform should be able toprovide adequate freedom for visual representation whilealso generating the constructional details. There are severalfavourable circumstances for CAD in the textile and garmentindustry.The industry is now taking a long view of the R & D.The cost of computers has fallen dramatically and theirpower has increased. The younger generations are comingto accept and expect them as naturally available tools.In academic work, basic research is not only continuingto advance in engineering designs, but is also addressing theissue of valuable interaction between artistic designers andthe computer.The control of textile machines is being achieved bymicroprocessors which form part of the increasing industrialuse of computer aided manufacturing (CAM).The recent development of multimedia and virtualreality techniques has made them fit for complexapplications.Rapid technological advancements have reduced costsof networking and communication across internationalborders.Approaching the new marketExcept for a few well known designers in Paris and NewYork, most designers are engaged in the business ofproducing clothing for the mass market segment. Theyusually work with major clothing marketing chains. Theobjective of this project is to create a new market fordesigners where they can work directly with the customersand /or small boutiques using modern IT technology andnetworks to produce designer clothing at prices that areaffordable for the upper middle classes.A broad overview of the CAD/CAM technology in textileindustry provides many technical challenges for ever growingconsumers/designers/manufacturers both in national andinternational level. Today consumers in developing countries
64 Textile Value Chain | April - June 2013want designer clothes that are tailor-made and affordable.Meanwhile, manufacturers are looking for more economicalways of producing quality products. And to reduce the costof production, they take advantage of developing countries,and the comparative advantages of producing clothing incountries like China, India and Bangladesh.Building a Global NetworkThe project is briefly described in the enclosed graphicalpresentation (Fig: 1). To create the new designers market,the designs will be presented to the customers/clients byusing PC based video presentation or virtual reality. The nextstep would be to apply the clients vital measurements and fitthe designs to the individual customers vital statistics. Thecustomers choice and measurements will then be sentdirectly to the tailor or manufacturer for producing.effectively and efficiently for presenting, ordering, and payingfor the commodities. There may be a need to build a pool ofdesigners and tailors who can be a part of such a productionenvironment. Also, it must be evaluated on how to deliverthe clothes to the customers who have bought the designs.A market research should be conducted to make sure thatthere is a market for specially designed and tailor-madeclothes. It is also important to forecast how the market andcompetitors will react.Research activities involvedThe activities needed to be part of this project which havenot yet been identified are- Evaluate software suitable for CAD/ CAM Evaluate software available for marketing and salechannels and deployment over the Internet. Evaluate Networking solutions Evaluate and decide hardware for designers, saleschannels and manufacturers or tailors Organize and carry out market research Analyze the competitors Develop a business plan Set up a designers pool and pool of tailors Develop the market and sales channelsConclusionThe objective of this project is to find ways to meet the needsof a global niche market for custom made designer clothingthat is affordably priced. This initiative could utilize talent andcapitalize on the cost advantages which developing nationscan offer, while using information technology and theInternet for a global outreach. However, this initiative shouldnot result in a new wave of sweat shops that spring up toexploit cheap labour in third world countries. It is believedthat globalization allows the great industrial powers of theworld to impose unfair trade agreements through the WTO.In the tough years ahead, bilateral trade activities betweennations will become more intense, entwined, and complex.For survival in a globalizing world, competing clothingmanufacturers in India, Taiwan, China, Malaysia, Thailand,South Korea, Bangladesh, and Sri Lanka might have to moveup the value chain into designer clothing.References1. Tony Hines & Margaret Bruce, Fashion Marketing: ContemporaryIssues, Elsevier publishers, New Delhi, 2006,Pg48-63,203-207.2. Michael Levy & Barton A Weitz, Retailing Management, TataMcGraw-Hill Publishing Company Limited, New Delhi,2003,Pg 57-59,146-308.3. V.D. Dudeja, The Business of Fashion Challenges and Expectations,Gagandeep Publications, Delhi, 2008,Pg131-142.4. R. Mathew, Apparel merchandizing, Book Enclavepublisher,Jaipur,2008,Pg91-93,168-1695. R. Aggarwal, Marketing Fashion Product Through E-Commerce,Apparel views,Feb, 2013,Vol-XII, issue-02The idea is to capitalize on the innate desire of the uppermiddle class clientele to be seen wearing somethingexquisitely unique and tailor made. Many people todayconsider the possibility of getting tailor made clothing whenthey visit countries where custom tailoring is available ataffordable prices.In this project it will be necessary to evaluate either readilyavailable off the shelf software that can be used for presentingclothing, or custom develop software for this application.Furthermore, the next objective is to develop functionalnetworking systems between designers, boutiques,customers, and tailors. A part of the project should be toexamine how the Internet platform can be used costFUTURETRENDSFig:1 New Designer’s market using IT TechnologyINDIVIDUAL CUSTOMERSPC with multimedia (video & virtual reality) software as salestool where the customer are trying/fitting the designs andcorrect individual measurements are send via the network-tailorINTERNETBOUTIQUESsmall shopsRetail shopsManufacturers inDeveloping countriesTailorsSpecific sales channelslike home partiesDESIGNERSADMINISTRATIVE FUNCTIONOrders, payment etc.2.Customer orders188.8.131.52.1. 1.1.5.Payments3.Orders to TailorsMarketing indevelopedcountries and soldvia sales-channel1.Designersdeveloping &sending thedesigns to themarket placeCommunicationbetween designers, saleschannel, administrativefunctions &manufacturers viatelecom/networkDesigners to tailorsmanufacturers &feedback from them4.Product delivery“ The week can never Forgive. Forgiveness is theattribute of the strong”Mahatma Gandhi
67Textile Value Chain | April - June 2013
69Textile Value Chain | April -June 2013COLLEGEFOCUSGhaziabad CampusFebruary 2013 NITRA PRESS COMMUNIQUEthChairman, NITRA Graces 11 ConvocationAt the Convocation: (L-R) Dr. J. V. Rao, Director General, Sh. R. K.Jain, Dy Chairman, Sh. R. L. Nolkha, Chairman, and Dr. R. C. Jain, PastChairman, NITRA, Dr. M. S. Raizada, Director, NTC, and Sh. Abhijit Pal,Officiating Director, NITRASh. R. L. Nolkha, Chairman, NITRA in his convocationaddress said that the Indian textile industry is the second largestemployment provider in the country that directly and indirectlyemploys 35 million people. The current size of Indias Textile andClothing Industry is US$ 55 billion which is likely to substantiallyincrease in the coming years. It is also estimated that the textileand clothing industry will generate additional 30 million direct andindirect employments for the Indian youth by 2020. He washappy to inform the gathering that NITRA has already invested asubstantial amount for the up-gradation of physical and academicfacilities such as setting up exclusive training and academic wingNTC and modernizing the existing training infrastructure. NITRAis providing huge benefit to the Industry by developing skilled andwell-trained supply line to meet out their manpower needs. Thisactivity would definitely enhance industry confidence in NITRAsprograms and industry will continue to support NITRA byrecruiting its students in large numbers, opined the Chairman, toconclude.
THE ECONOMY AND THE CHALLENGESGetting back to potential growth rate of 8% is the challengefacing the country. Slowdown in Indian economy has to be seen in the contextof slowing global economic growth from 3.9% in 2011 to 3.2%in 2012. However, no reason for gloom or pessimism. Of the largecountries of the world only China and Indonesia growing fasterthan India in 2012-13. In 2013-14, only China projected to growfaster than India.Between 2004 & 2008, and again in 2009-10 and 2010-11the growth rate was over 8% and crossed 9 per cent in four ofthose six years. 11th Plan period had average growth rate of 8%, highestduring any Plan period, entirely under the UPA Govt. High growth rate can again be achieved through cooperation. Higher growth leading to inclusive and sustainabledevelopment to be the mool mantra. Govt. believes in inclusive development with emphasis onimproving human development indicators especially of women,the scheduled castes, the scheduled tribes, the minorities andsome backward classes. This Budget is a testimony to thatcommitment.FISCAL DEFICIT, CURRENT ACCOUNT DEFICITAND INFLATIONThe purpose of Budget is to create economic space and findresources to achieve the objective of inclusive development. Dr Vijay Kelkar Committee made its recommendations toGovt. in September 2012. A new fiscal consolidation path withfiscal deficit at 5.3% of GDP this year and 4.8% of GDP in 2013-14 announced by the Govt. Foreign investment is imperative in view of the high currentaccount deficit (CAD). FII, FDI and ECB three main sources ofCAD Financing. Foreign investment that is consistent with oureconomic objectives to be encouraged. Development must be economically & ecologically sustainable& democratically legitimate. Battle against inflation must be fought on all fronts. Efforts inthe past few months have brought down headline WPI inflation toabout 7% and core inflation to about 4.2%. Food inflation is worrying but all possible steps to be taken toaugment the supply side to meet the growing demand for fooditems. Govt. expenditure has both good and bad consequencesand trick is to find the correct level. Faced with huge fiscal deficit, Govt. expenditure rationalisedin 2012-13. Some economic space retrieved. Space to be usedto further Govts socio-economicobjectives.ICDS 17,700 crores allocated for ICDS in 2013-14 representingan increase of 11.7% over 2012-13. Allocation of 300 crores in 2013-14 for a multi-sectoralprogramme aimed at overcoming maternal and child70 Textile Value Chain | April - June 2013GOVT.POLICYKey Features of Budget 2013-2014malnutrition. Programme to be implemented in 100 districtsduring 2013-14 to be scaled to cover 200 districts the year after.AGRICULTURE Average annual growth rate of agriculture and allied sectorwas 3.6% during XI Plan against 2.5% and 2.4% in IX and X plansrespectively. In 2012-13, total food-grain production will be over 250million tonnes. Minimum support price for every agriculturalproduce has increased significantly under the UPA Govt. 27,049 crores allocated to Ministry of Agriculture, anincrease of 22% over the RE of current year. Agricultural research provided 3,415 crore.AGRICULTURAL CREDIT For 2013-14, target of agricultural credit kept at 7 lakhcrores. Interest subvention scheme for short-term crop loans to bea continued scheme & extended for crop loans borrowed fromprivate sector scheduled commercial banks.GREEN REVOLUTION Bringing green revolution to eastern India a remarkablesuccess. 1,000 crores allocated in 2013-14. 500 crores allocated for starting a programme of cropdiversification that would promote technological innovation &encourage farmers to choose crop alternatives. Rashtriya Krishi Vikas Yojana and National Food SecurityMission provided 9,954 crores and 2,250 crores respectively. Allocation for integrated watershed programme increasedfrom 3,050 crores in 2012-13 (BE) to 5,387 crores. Allocation made for pilots programme on Nutri-Farms forintroducing new crop varieties that are rich in micro-nutrients. National Institute of Biotic Stress Management for addressingplant protection issues will be established at Raipur, Chhattisgarh. The Indian Institute of Agricultural Bio-technology will beestablished at Ranchi, Jharkhand. Pilot scheme to replant and rejuvenate coconut gardensimplemented in some districts of Kerala and the Andaman &Nicobar extended to entire State of Kerala.FARMER PRODUCER ORGANIZATIONSMatching equity grants to registered Farmer ProducerOrganization (FPO) up to a maximum of 10 lakhs per FPO toenable them to leverage working capital from financial institutions. Credit Guarantee Fund to be created in the Small FarmersAgri Business Corporation with an initial corpus of 100 crores.INVESTMENT, INFRASTRUCTURE AND INDUSTRY Infrastructure Debt Funds (IDF) to be encouraged, IIFCL to offer credit enhancement. Infrastructure tax-free bond of 50,000 crores in 2013-14. Build roads in North eastern states and connect them toMyanmar with assistance from WB & ADB. Raising corpus of RIDF to 20,000 crores and 5,000 crores to NABARD to finance construction forwarehousing. Window to Panchayats to finance construction ofgodowns.ROAD CONSTRUCTIONShri. V. Y. TamhaneEditorial Advisor,Secretary General of MOA
71 A regulatory authority for road sector. 3000 kms of road projects in Gujarat, Madhya Pradesh,Maharashtra, Rajasthan and Uttar Pradesh will be awarded in thefirst six months of 2013-14.NEW INVESTMENT Companies investing 100 crores or more in plant andmachinery during the period 1.4.2013 to 31.3.2015 will beentitled to deduct an investment allowance of 15% of theinvestment. Incentives to semiconductor wafer fab manufacturingfacilities, including zero customs duty for plant and machinery.SAVINGS Need to incentivise greater savings by household sector infinancial instruments. Following measures proposed: Rajiv Gandhi Equity Savings Scheme to be liberalized.Additional deduction of interest up to 1 lakh for a persontaking first home loan up to 25 lakh during period 1.4.2013 to31.3.2014In consultation with RBI, instruments protecting savings frominflation to be introduced.INDUSTRIAL CORRIDORSPlans for 7 new cities have been finalized and work on twonew smart industrial cities at Dholera, Gujarat and ShendraBidkin, Maharashtra will start during 2013-14 Delhi Mumbai Industrial Corridor (DMIC) to be providedadditional funds during 2013-14 within the share of the Govt ofIndia in the overall outlay, if required. Chennai Bengaluru Industrial Corridor to be developed. Preparatory work has started for Bengaluru MumbaiIndustrial Corridor.PORTS 2 new major ports will be established in Sagar, West Bengaland in Andhra Pradesh to add 100 million tonnes of capacity. A new outer harbour to be developed in the VOC port atThoothukkudi, Tamil Nadu through PPP at an estimated cost of7,500crores.OIL AND GAS A policy to encourage exploration and production of shalegas will be announced. The 5 MMTPA LNG terminal in Dabhol, Maharashtra will befully operational in 2013-14.COAL rIn the medium to long term need to reduce ou dependenceon imported coal. One way forward is to devise a PPP policyframework with Coal India Limited as one of the partners. Ministry of Coal to announceGovts policies in due course.POWER Guidelines regarding financial restructuring of DISCOMShave been announced. State Govt. urged to prepare the financialrestructuring plan, quickly sign MoU and take advantage of thescheme.TEXTILES Technology Upgradation Fund Scheme (TUFS) to continuein 12th Plan with an investment target of Rs 1,51,000crores. Allocation of Rs 50 crores to Ministry of Textile to incentivisesetting up Apparel Parks within the SITPs to house apparelmanufacturing units. A new scheme called the Integrated ProcessingDevelopment Scheme (IPDS) will be implemented in the 12thPlan to address the environmental concerns of the textileindustry. Working capital and term loans at a concessional interest of6% to handloom sector. Scheme of Fund for Regeneration of Traditional Industries(SFURTI) extended to 800 clusters during the 12th Plan. Basic Customs duty on certain textile machinery and portsfalling in H.S. line # 8444, 8445, 8446, 8447, 8448 and 8449 hasbeen reduced from 7.5% to 5%. The zero excise duty route which existed prior to Budget2011-12 has been restored for readymade garments and made-ups, in addition to the cen vat credit route. All handmade carpets and carpets and other textile floorcoverings of coir and jute whether or not handmade, falling underchapter 57 are fully exempted from excise duty.FOREIGN TRADE Support measures to be taken to boost exports of goods andservices.CAPITAL MARKET Proposal to amend the SEBI Act, to strengthen the regulator,under consideration. Number of proposal finalised in consultation with SEBI. Designated depository participants, authorised by SEBI, mayregister different classes of portfolio investors, subject tocompliance with KYC guidelines. SEBI will simplify the procedures and prescribe uniformregistration and other norms for entry for foreign portfolioinvestors. Rule that, where an investor has a stake of 10% or less in acompany, it will be treated as FII and, where an investor has astake of more than 10%, it will be treated as FDI will be laid. FIIs will be permitted to participate in the exchange tradedcurrency derivative segment to the extent of their Indian rupeeexposure in India. FIIs will also be permitted to use their investment incorporate bonds and Govt. securities as collateral to meet theirmargin requirements. SEBI to prescribed requirement for angel investor pools bywhich they can be recognised as Category I AIF venture capitalfunds. Small and medium enterprises, to be permitted to list on theSME exchange without being required to make an initial publicoffer (IPO). Stock exchanges to be allowed to introduce a dedicated debtsegment on the exchange.ENVIRONMENT Support to municipalities that will implement waste-to-energy projects. Govt. to provide low interest bearing fund from the NationalClean Energy Fund (NCEF) to IREDA to on-lend to viablerenewable energy projects. Generation-based incentive reintroduced for wind energyprojects and 800 crores allocated for this purpose.GOVT.POLICYTextile Value Chain | April - June 2013
72OTHER PROPOSALSBACKWARD REGIONS GRANT FUND New criteria for determining backwardness to be evolvedand reflect them in future planning and devolution of funds.SKILL DEVELOPMENT Target of imparting skills to 50 million people in the 12th Planperiod, including 9 million in 2013-14.DEFENCE Allocation for Defence increased to 2,03,672 croresincluding 86,741crores for capital expenditure. Constraints not to come in the way of providing any additionrequirement for the security of nation.SCIENCE AND TECHNOLOGY Despite constraints substantial enhancements given toScience and Technology, Space and Atomic Energy. 200 crores to be set apart to fund organisations that will scaleup S&T innovations and make these products available to thepeople.INSTITUTIONS OF EXCELLENCEA grant of 100 crores each made to 4 institutions ofexcellence.SPORTS National Institute of Sports Coaching to be set up at Patiala ata cost of 250 crores over a period of 3 years.BROADCASTINGAll cities having a population of more than 1,00,000 will becovered by private FM radio services.PANCHAYAT RAJ Augmentation in the Budget allocation of Rajiv GandhiPanchayat Sashaktikaran Abhiyan (RGPSA) to 455 crores in 2013-14. An additional 200 crores proposed to be provided.POST OFFICESAn ambitious IT driven project to modernise the postalnetwork at a cost of Rs. 4,909 crore. Post offices to become partof the core banking solution and offer real time banking services.CENTRAL SCHEMES Centrally Sponsored Schemes (CSS) and Additional CentralAssistance (ACA) Schemes to be restructured into 70 schemes.Central fund for the schemes to be given to the States as part ofcentral plan assistance.THREE PROMISES Promises made to woman, youth and poor. We stand in solidarity with our girl children and women. Andwe pledge to do everything possible to empower them and tokeep them safe and secure. A fund - “Nirbhaya Fund” - to besetup with Govt contribution of 1,000 crores. Youth to be motivated to voluntarily join skill developmentprogrammes. National Skill Development Corporation to set thecurriculum and standards for training in different skills. 1000crores set apart for this scheme. For the poor of India direct benefit transfer scheme will berolled out throughout the country during the term of the UPAGovt. with the motive “Äapka paisa aapke haath”.BUDGET ESTIMATESPlan expenditure is placed at 5,55,322 crores. Non Plan Expenditure is estimated at 11,09,975crores. Fiscal deficit for the current year contained at 5.2% and forthe year 2013-14 at 4.8%. Revenue deficit for the current year at 3.9% and for the year2013-14 at 3.3%. By 2016-17 fiscal deficit to be brought down to 3%, revenuedeficit to 1.5% and effective revenue deficit to 0%.GOVT.POLICYTextile Value Chain | April - June 2013“EDHHAR KUUA UDHHAR KHHAEE” NA LBT, NA OCTROIPolicy of Maharashtra Govt. fuelling Stagnation, Corruptionand Forcing Industry, Businesses and masses to move to fair,Transparent & Progressive States like GujaratOver a period of time, every country and every other state inIndia has abolished age old form of tax collection OCTROI. Withmodernization, octroi became redundant & outdated leading tolocalized & unchecked corruption, wasting man hours, forex (fuelwastage), adding to inflation, anti-growth, and much more….Cities like Delhi, Kolkatta, Chennai, Surat and Ahmedabad cansurvive without Octroi and without LBT, why cant Mumbai, Puneetc. survive? As we are facing competition from other states andcountries, we cannot compromise our competitive edge due tothese obnoxious forms of taxes. Maharashtrians have realized thereasons of slow and gradual deterioration of Maharashtraseconomy. Political indifference over decades have lead to ironicsituation where the most advanced city of our country still has themost backward form of tax collection. Octroi has been undercontroversy of corruption since its inception and is a burden to thepeople. Free and fair movement of goods is the democraticright of everycitizen, while Octroi & LBT is against it.Now, to add confusion to the matter, Local Body Tax (LBT) isproposed to be introduced in place of octroi. There is strongopposition to LBT. But it has been tactfully projected that peopleare favouring Octroi. The strong opposition to LBT should neverbe misunderstood for acceptance to Octroi. It is ironical whyOctroi collecting municipal staff are opposing withdrawal of octroi.Their jobs will in any way be taken care by the municipalities, thenwhat is their personal interest in opposing? At a trade associationmeeting, one politician asked where they would get the revenuefrom if Octroi is abolished. The politician was silenced by theprompt replies:- Where did the other cities get revenue when they abolishedOctroi years ago? If at all the state Govt. is unwilling to fund the municipalities,collection can be done along with existing taxes, viz VAT. And nowwith GST in 2014,we are moving towards single point taxation.As a leading national level trade, commerce & industrialassociation, representing textile & textile related sectors; BharatMerchants Chamber has taken strong stand in the interest ofits members & masses of Maharashtra urging the State Govt.and BMC not to delay the Octroi abolishment on the pretext ofLBT imposition.
73Textile Value Chain | April - June 2013BUDGEREACTIONSAssociations React to BUDGET 2013-14TVC has compiled reactions of various Indian Textile Associations for our readers benefit. Below is thesynopsis…THE SYNTHETIC & RAYON TEXTILES EXPORTP R O M O T I O N C O U N C I L ( S R T E P C ) &FEDERATION OF INDIAN ART SILK WEAVINGINDUSTRY (FIASWI)Shri Rakesh Mehra, Chairman of SRTEPC andMr. Arun Jariwal Chairman of FIASWI stated there wasa strong case for reduction in excise duty and customs duty onman-made fibre textiles as envisaged in National Fibre Policyso as to bring about parity in various fibres. However, this hasbeen skipped by the Finance Minister. The Budget has notmade any significant changes for the man-made fibretextileindustry.SRTEPC Chairman also added that the continuation ofTUFS with greater emphasis on weaving sector is a welcomestep along with the revertal of optional route for readymadegarments. He also expressed hope that the much neededincentives for the exporters will be announced in theforthcoming Foreign Trade Policy wherein the interestsubvention scheme will be extended to the entire TextileSector along with inclusion of all man-made fibre textile itemsunder the Focus Product/Market Scheme.INDIAN SPINNERS ASSOCIATION (ISA)ISA lauds the Budget which proposes effective steps tocontrol the price spiral. However, the Association feels thatthe man-made fibre textile and garment segment has notrecovered from previous years, despite distinct consumerpreference enjoyed by man-made fibre fabrics and hence itrequires a helping hand from Govt. Over the years, man-made fibre textiles and garments have been subject to ahigher rate of excise duty which needs to be brought inpar with natural fibres and garments.CONFEDERATION OF INDIA TEXTILE INDUSTRY(CITI)Shri S.V. Arumugam, Chairman of CITI expressed thatCITI and the textile industry were extremely grateful for theseveral positive provisions incorporated in the Union Budget.The reduction of customs duty on textile machinery from7.5% to 5% is a helpful feature which will improve theinvestment climate for the textiles sector. He was also thankfulfor the continuation of TUFS and revertal of optional route forreadymade garments. The allocation of Rs. 50 crores forApparel Parks and launching of IDPS was good. The Budget didnot address the power issue facing the industry which wasdisappointing.FEDERATION OF ALL INDIA TEXTILEMANUFACTURERS ASSOCIATION (FAITMA)Shri Ramesh Poddar, President of FAITMA called theUnion Budget a delightful blend of investment push forgrowth and measures for economic welfare. BesidesTUFS, abolition of distinction between branded and un-branded ready-made garments and made-ups, hethanked the Govt. for providing working capital andterm loans to the handloom sector at concessional rateof 6%.He was of the view that Govt. should have acceptedthe long-standing request of the textile industry to treatman-made stream of production on the same footing ascotton stream of production for purposes of levy of exciseduty. Referring to GST (Good & Service Tax), heobserved that Govt. should here the textile industry tounderstand its problems and apprehensions beforetaking a final decision on the subject.CLOTHING MANUFACTURERS ASSOCIATION OF INDIA (CMAI)Mr. Rahul Mehta, President of CMAI thanked Govt. for This wasremoval of excise duty from branded garments.essential in this economy and it will bring back some vigour & strength to the sector. This will not only provide 0% duty tothe industry but also provide some form of production to the domestic industry from cheap imports. It will also encourageforeign retailers setting up shop in India to manufacturer their requirement in India rather than import from othercountry. This minimizes the attraction of grey market purchase and its an incentive to the brands and manufacturers toscale-up and move to the organized sector.
thOn 7 Sept2011, Indian Prime Minister announced on his Bangladesh visit, duty-free import of 48 textile items fromBangladesh to India. The primary justification given was to address the problem of trade imbalance between the two countries. It wasclaimed that India was selling goods worth about $ 3 billion to Bangladesh against the latters export of about $ 400 million to India.The above policy was announced in spite of widespread protest and resistance from across the country, including textile industry, tradeunions & the masses employed in garment sector of India. After agriculture, textile is the second major employment generator to the masses inIndia, across various states and in various sectors related to textiles. The industrial growth of India was on the backbone of Textiles and forcenturies, is the only livelihood for crores of uneducated families employed in farming of cotton, weaving, hand processing, embroidery,garmenting, laborers etc. Textile has been Indias core competence area and needs to be strengthened further, in view of stiff competence fromunfair policies from countries like China. If we fretter away our advantages, our textile industry will die a pre-mature death.As feared, in the duty-free import of garments policy have surfaced.over a period of 18 months, several cracks1) Several garment units have shifted from India to Bangladesh, leaving lakhs of workers, tailors and other uneducated employees jobless inIndia.2) Garmenting units in India are unable to compete with dumping of Bangladeshi imports, and are slowly shutting down, rendering lakhs ofworkers, tailors and other uneducated employees jobless in India.3) An Indian wage earner of Rs.6000/- per month is made to compete with the Bangladeshi worker being paid a meager amount of Rs.2000/-per month. Arent we driving him towards poverty?4) Ready fabric is being dumped from China into Bangladesh and after converting into garments, dumped in India.5) Lately, container loads of readymade garments from China are being dumped in India, through duty-free route of Bangladesh. This way thegarmenting workers of India and Bangladesh are both deprived and left high and dry.The problem of trade imbalance between the two countries may not have eased significant, but the trade imbalance between China andBangladesh will definitely widen. China will be at advantageous position and can exploit the situation. India, as big brother to Bangladesh shouldtake lenient & supportive stand, but not at the cost of crores of Indian workers. The present policy is nothing but robbing Peter to feed Paul.The Indian Government needs to take views of concerned stakeholders before announcing such policies. As neighbours, India should takeviable and sustainable steps to help Bangladesh, but not the cost of its own people.As leading national level trade, commerce & industrial association, representing textile & textile related sectors, BMC has taken strong stand inthe interest of its members & masses engaged in cotton farming, textile workers, daily wage earners, ancient HAST KALA industryof India. We have urged the Central Govt. to urgently evaluate the anomalies and take following steps:-1) To assist Bangladesh, should formulate policy which does not harm Indian masses and benefit Bangladesh, rather than any third country.2) Immediately withdraw the policy of duty-free import of garments.3) Rehabilitate / compensate workers rendered jobless, unpaid wages, delayed payments due to above policy.4) Encourage companies who have shifted to Bangladesh to return back and reinstate workers rendered jobless by them.5) Restructure debt / give one time financial assistance to companies remaining in India, adversely affected by the above policy.6) Give financial grant to labors of struggling garment majors suffering due to above policy.74 Textile Value Chain | April -June 2013LETTERSTOGOVT. In March 2013, BMC and SASMA shot a couple of letters to the Central Govt.regarding Export/ Import Policies. Lets take a look at those letters...Proposal to allow Import of Man-made Fabrics at confessional rate of duty for Exports of Readymade GarmentsChairman Shri Maganlal H. DoshiWe understand that the Govt. is actively considering permitting Import of Man-made Fabrics at concessional rate on Import Duty to supportExports of Readymade Garments. Synthetic & Art Silk Mills Association Ltd. (SASMA) is an Association which represents the manufacturers ofMan-made Fabrics.While the objective of this proposal would no doubt facilitate increase of Exports of Readymade Garments. But, we have to consider theover all picture of the Indian Textile Industry. This move would severely affect the Small & Medium Units who manufacture Man-madeFabrics which are mostly made on Powerlooms.As you are aware the Powerloom Sector has around 20 Lac Looms and employs over 50 Lac workers. If the proposal goes through, it willbe a massive blow to this Sector causing disruptions and closures of Powerloom Units and thereby causing massive unemployment. As a resultthe economyof the country would suffer and cause embarrassment to the Govt.We feel the best solution would be to allow Import of Fabric at Zero Duty under the Advance License Scheme under which there can be astrict monitor to see that such imports are accounted for by way of Export of the same Fabrics.At the same time Govt. should also look into bringing down the Excise Duty on Man-made yarn / fabrics to be at par with cotton yarn / fabrics.This point has been clearly mentioned in the Draft National Fibre Policy. As of now yarn is not available at International prices in our country asthe Yarn produced is being diverted for Exports and also there is Anti-Dumping Duty levied on Imports of Yarn. More attention should be givento creation of Textile Parks and continuing with TUFS for modernization of the units. These moves will be a big boost to the domesticPowerloom Sector, which will enable them to supply quality fabrics at cheaper prices to the Garment manufacturers.Synthetic & Art Mills Association ltd. (SASMA), MumbaiHonorary General Secretary, Shiv Kanodia,Bharat Merchants Chamber (BMC), MumbaiTextile Value Chain | April - June 2013Flaws in Policy of Duty-free Import of Garments from Bangladesh
The Synthetic and Art Silk Mills ResearchAssociation (SASMIRA) situated in Worli, Mumbai,Maharastra (www.agrotech.sasmira.org) is theCentre of Excellence in Agrotextiles (COE-Agrotech)in association with Man-made Textile ResearchAssociation (MANTRA), Surat, Navsari AgriculturalUniversity (NAU), Navsari and Indian Institute ofTechnology (IIT), New Delhi.A textile fabric has a long history of application in agriculture.Textiles in different forms are exclusively used for manyagricultural end uses that include knits, wovens, non-wovens,extruded sheets, moulded products, ropes, belts, etc. TheAgrotextile sector comprises of all textiles that are used ingrowing, harvesting, protection and storage of either crops oranimals. Agrotextiles help to keep sufficient soil humidity andincrease the soil temperature. Various synthetics as well asnatural fibres are used in agrotextiles applications viz. Nylon,Polyester, Polyethylene, Polyolefin, Polypropylene, Jute, Wool,etc. Among all these fibres the Polyolefin is extensively usedwhere as among natural, jute and wool is used as it not onlyserves the purpose but also after few years it can degrade and actas a natural fertilizer. Man-made fibres give advantages overnatural fibres, mainly due to their favourable price/ performanceratio, ease of transport as well as set-up, space saving storageand long service life.Agrotextile includes diverse items such as fishing nets andfish lines, ropes, shade fabrics, mulch mats, woven and non-woven covers for crops, bird protection nets, wind-breakscreens, frost protection covers, hail netting, insect screens,silage protection, ventilation screens, shading and reflectionscreens, etc.Agrotextiles are driving the agrosector profitably byimproving the productivity and reducing the need for chemicals.The need to feed an ever-expanding population is theunderlying driving force behind the agrotech sector. COE-Agrotech is set-up with a vision “to become a world class leadingservice, driven with research based international technical textileassociation to serve the industry in general and agriculture sectorin particular”. With this vision, its mission is to create awarenessregarding the advantages of agrotextiles to improve productivityand quality of the produce with state-of- the-art infrastructure oftesting and certification, demonstration & training andinformation centre to support the entrepreneur needs.In line with its vision and mission of creating awarenessregarding agrotextile products, SASMIRA has so far conductedvarious seminars across the country in association with theAgriculture Universities, Krishi Vigyan Kendras (KVKs) and localagricultural bodies. COE-Agrotech organizes these seminars toexplore the enormous potential of Agro Textiles and theirproducts. The Seminar also aims to provide a unique platform tocomprehensively address the concerns and bring together thestake-holders viz., farmers, the industry, agro productsmanufacturers, agro processing goods manufacturers, fishingindustry professionals, investors, financial institutions, warehousingcompanies, engineers, technicians and consultants working on alltypes of agro textiles.March News1) Accreditation of COE-Agrotech laboratory byAmerican Association for Laboratory Accreditation(A2LA), USA: This lab for testing of textiles and allied substrateswas audited for renewal of accreditation and after successful auditthe renewal was granted and now valid upto march 2015. A total129 tests are accredited under A2LA accreditation for mechanical,chemical and biological testing of textiles and allied products.2) One day seminar on “Prophylactic Cultivationusing Agrotextiles” (PCA) by COE-Agrotech: ASeminar on PCA was held on 16th March 2013 at FarmersTraining Hall, Jabalpur, MP jointly by SASMIRA, KVK andJawaharlal Nehru Krishi Vishwa Vidyalaya(JNKVV). Theprogramme was supported by Ministry of Textiles and TextileCommissioner Office and inaugurated by Honorable, Shri V.S. Tomar, Vice Chancellor, JNKVV. The 3 technical sessionshighlighted the Ministerial support to the agriculture andagrotextiles sector as well as the manufacturing techniquesfor the agrotextile products including the raw materials, thesuccess stories of few greenhouse farmers and the role ofCentre of Excellence for Agrotextiles, SASMIRA.3) Training Programme on Microbiology by COE-Agrotech: A 5 days training programme on “Testing ofAntimicrobial Textiles” was conducted at Microbiology laboratory,SASMIRA for candidates from Dharwad Agriculture University,th thDharwad, Karnataka from 11 March to 15 March 2013. Trainingprogramme included introduction to lab procedure of generalmicrobiology, hands on training of International test methods fortesting antimicrobial efficacy of textile substrates as per AATCC,ISO and ASTM.PRESS RELEASE FROM BHARAT MERCHANT CHAMBERBharat Merchants Chamber, lead by MahaSachiv (General Secretary) Shiv Kanodia alongwith MLA Niranjan Davkhare felicitated Sri AjitPawar, Dy.C.M. & F.M., Maharashtra, for hisbudget proposal, exempting inter-state VAT(CST) on furnishing cloth.Mr. Shiv Kanodia congratulated Sri Ajit Pawar, for hisvisionary and futuristic budget which will uplift the massesof Maharashtra. MLA Niranjan Davkahre said that this willbenefit the commonman including weavers, workers &mathadis etc. He also informed that the exodus of furnishingtrade and industry will stop to neighbouring states. He alsorequested that total withdrawal of VAT from furnishing willcreate “ADVANTAGE MAHARASHTRA” type situation. Hethen invited Sri Ajit Pawar to visit the Asias biggest textilemarket, which he graciously accepted and assured in April totour and understand the problems of weavers, traders,mathadis, workers of textile industry. He assured that Textilesector has been the backbone of Maharashtras growth andlakhs of livelihood depend on it.PRESS RELEASE FROM SASMIRAASSOCIATIONNEWS75Textile Value Chain | April - June 2013
Press Releases from TEXPROCILCotton Textiles are amongst the select fewitems in the textile & clothing basket that haveshown positive growth in Exports during thecurrent fiscal year 2012-2013. Cotton TextileExport can grow @ 20% during 2013-2014.Current trends in exports indicate that they willsurpass the target of US$ 9 billion set for the sector andreach US $ 9.56 billion. Overall growth in exports duringfiscal 2012-2013 is expected to be around 9% over theprevious year against the backdrop of adverse marketconditions in European Union & USA.The textile industry seems to have fully recovered fromthe losses it has incurred in the previous years when therewas a severe volatility in the national and internationalmarkets. Capacity expansion is once again beginning tohappen.Robust export growth is very essential for the financialhealth of the textile industry. policyThe followinginterventions will enable greater increase in exports –(i) Notifying export benefits under Focus Product Scheme& Market Linked Focus Product Scheme at 2 digit levelHS Code for Home Textile Sector instead of 6 digit or 8digit levels. This will also ensure against unwantedexclusions.(ii) Treating “Cut & Sew” products like garment, madeups &bags on par for all export promotion benefits. Just asjewellery exports does not discriminate betweenbangles and necklaces, we feel exports of cut and sewproducts should not differentiate between garments andhome textiles.(iii) Ensure that Indian Cotton is made available atinternational prices or lower. In this connection Govt.procurement agencies should not hold undueinventories of Cotton and unwittingly contribute toincrease in domestic prices to the disadvantage ofexports.(iv) Importing cotton at higher International prices wouldonly exacerbate the current account deficits (CAD), at atime when the country needs to increase exports andreduce CAD.Texprocil has requested the Govt. to request CCI andNAFED to start selling their large inventory to remove theartificial shortage and restore international price parity(Domestic is 3-5% higher than intl. prices) which is mostimportant to help maintain export momentum. The TextilesMinistry and the Commerce Ministry have been extremelyappreciative of the efforts by Texprocil and have beenconsidering various efforts made by Texprocil positively.TEXPROCIL welcomes the removal of safeguard duty on import of cotton yarn in to TurkeyTurkey has repealed the safeguard duty imposed onthimport of cotton yarn with effect from 4 August 2011 for astperiod of 3 years on 31 December 2012. Welcomingthis move, Shri Manikam Ramaswami, Chairman,Texprocil complimented the Govt. for its proactive effortsin ensuring that the unjustified measures imposed byTurkey were withdrawn well before their official expiry byAugust 2014.It may be recalled that these measures were anextension of an earlier safeguard measure imposed byTurkey against the import of cotton yarn for a period of 3years from 14.07.2008. India had held consultations withth thTurkey on 12 & 13 March 2012 and impressed uponthem about Turkey having breached safeguard provisionsof GATT and WTO Agreement on Safeguard Measures byillegally extending the duties after the original period forwhich the safeguard measure was put in place had expiredas there was no such provision in the Agreement.The withdrawal of the Safeguard Measures on importsof cotton yarn into Turkey augurs well for exports of cottonyarn from India which had declined from US $ 198 Million in2007(prior to imposition of Safeguard Measures) to US $94.57 Million in 2011. During January – October 2012imports declined to US $ 20.77 million from US $ 85.30million i.e. by (-) 75%. In quantity terms imports declined to4.20 million kgs from 14.85 million kgs during this period.thIndia also slipped to the 4 position in terms of supplier in2012from being the largest supplier in 2008.With Turkey being the gateway to Europe, removal ofsafeguard duties would enable toIndia restore its exportsearlier levels and also Theincrease its market share.Council has already drawn up plans to participate in thethIstanbul Yarn Fair in Turkey being organized from 29 Mayst2013to 1 June 2013.- Mr. Manikam Ramaswami, ChairmanThe Cotton Textiles Export Promotion Council(TEXPROCIL)Cotton Textile Exports on the Upswing – Need toMaintain MomentumTextile Value Chain | April - June 201376ASSOCIATIONNEWS
Press Release from BTRABTRA conducted a one-day technical workshop onASTM Test methods for Geosynthetics jointly with ASTMndIntl, USA at BTRA premises on 22 January, 2013.Mr. Sam Allen, VP, TRI/ Environmental, Inc., USApresented a paper on GRI-GM13 Specifications along withcarious requirements after a brief introduction on ASTMinternational and various applications in geosynthetics. He alsopresented another paper on Reinforcement applications usingGeogrid and Geotextile growth along with Erosion ControlApplications.Mr. V.K.Patil from BTRA presented a paper on Ourexperience in testing of Geosynthetics. He shared theexperience with testing of productions and problemsencountered in testing. He also made various suggestions intest methods that are necessary based on experience andfeedback from customers.Around 40 participants attended the workshop and tookactive interest in discussions. The workshop was wellappreciated by participants and thanked BTRA for organisingsuch an event.Textile Value Chain | April - June 2013ASSOCITIONNEWSPress Release from CITI- Honble Secretary General D.K. NairConfederation of Indian Textile Industry(CITI) has requested the government forimmediate release of cotton procured byvarious government agencies throughMinimum Support Price (MSP) Operations.In a letter addressed on March 05, 2013 to the UnionMinister of Textiles, Shri Anand Sharma, Shri S.V.Arumugam, Chairman, CITI stated that cotton prices hadincreased steeply because of an artificial shortage ofcotton in the market which is created partly byhoarding of cotton by traders and partly by non releaseof procured cotton by the Cotton Corporation of India(CCI) and other procurement agencies. Shri Arumugampointed out that the current stock of nearly 25 lakh baleshave been procured through MSP Operations a fewweeks ago and cotton prices have increased 12-15% afterthat. Thus, releasing these quantities now can fetch animpressive profit for the procured agencies. Procuring cottonat MSPs when the market prices were lower gave therequisite protection to cotton farmers. However, holding onto the procured cotton would help only traders who are alsohoarding cotton purchased from the farmers earliest at lowprices. He further pointed out that a substantial part of thecrop has already arrived in the market and therefore, increasein cotton prices now will help farmers only marginally.Shri Arumugam observed that the industry wasfinding it difficult to pass on the increased cotton prices tothe consumers. He has requested Govt. that the procuredquantities of cotton should be released immediately whichwill also force the traders to release cotton held by them.Technical Workshop on ASTM Test Methods forGeosynthetics77Press Release from UCMTFthTechnical Textiles Machinery on 19 March at New Delhindand 22 March at Surat. 9 French textile machinery companies(AESA, CALLEBAUT de BLICQUY, DOLLFUS& MULLER,LAROCHE, N. SCHLUMBERGER, ROUSSELET, STÄUBLI,SUPERBA, VERDOl), leader in their sectors, participated inthis event which was a big success. More than 100 Indiancompanies attended this event at Delhi and 200 companiesattended the event in Surat.The seminar was inaugurated by H.E. Mr François Richier,Ambassador of France in India. Mr AB Joshi, TextileCommissioner graced the occasion at Surat. A study byTechnopak was also released at this occasion.The French delegation also visited the ATIRA centre atAhmedabad.The French Trade Commission-Ubifrance & UCMTF(French Textile Machinery Manufacturers Association)organized, under the patronage of Embassy of France in Indiaand Office of the Textile Commissioner, Ministry of Textiles,Govt. of India, an Indo-French Seminar on Textiles &
78 Textile Value Chain | April - June 2013ASSOCIATIONNEWSIndian Yarn ScenarioViews of Shri Jay Krishna PathakBombay Yarn Merchant Association & Exchangeltd.In recent years, there is not much purchase of yarn in thedomestic circuit due to lack of consumption. This is due tothe domestic & global markets not doing well. Many spinningmills are facing huge losses because they have been unable toeven come close to their production cost. Simultaneously,spinning mills overheads are increasing due to lowerproduction.There is hardly any market for yarn dealers and brokersfor reselling to fabric manufacturers in the domestic market.Many consumers do not have holding capacity of goods andconsequently they have to sell the goods at lower rates andsuffer tremendous losses. In International marketconsumption of synthetics is 65% & of cotton is 35%.Scenario of Cotton Yarn: Currently only China buyscotton yarn from India. USA, Asia, and Europe do notpurchase yarn from India but purchase from ourneighbouring countries Pakistan and Bangladesh.Scenario of Synthetic Yarn: There is next to nil researchand innovation in synthetic yarns in India. India does notexport synthetic yarns and manufacturers have tocompletely depend on local market to sell them.Pricing: Yarn prices are always unstable due to fluctuation inraw material prices. We suggest our buyers to purchaseyarns at the right time from the market. We recommendGovt. to control/ stabilize cotton prices because dailyfluctuation is not desirable. Brokers/ agents are fighting fortheir survival.Yarn production cost is increasing as traders are notbuying; there is less demand for exports because ofpackaging & consistent quality. To add to that the wages haveincreased and there are severe power issues. All thesefactors increase the cost of production resulting in decreasein demand & causing excess stock at spinning mills. Govt.needs to step up and address these issues before it is too late.Today it is a Buyers market and it is notfavourable for yarn manufacturers, as there is notmuch demand for domestic as well as internationalmarket. We are waiting for the right time to come.Shri. Jay Krishna PathakBombay Yarn Merchant Association& Exchange ltd.AEPC Seminar 2013 with WGSNMr. Vitthal JadhavDirector ofPratibha ConstructionsApparel Export Promotion Council (AEPC), theapex Indian body for exports, organized anexceptionally informative Fashion ForecastSeminar in association with WGSN on 1st March,2013 at Indian Merchants Chamber, Mumbai. Theseminar was inaugurated by AEPCs Vice Chairman ofWestern Region, Shri Ashok G Rajani, to a packedaudience.shapes, silhouettes, materials, and colours for womenswear, mens wear and kids wear with colourful slide shows,mood boards with swatches and actual garments. Withconsumers spending less and the western world inrecession, many trends are taking on a craft and DIYelement; the essence of fashion is being built upon thefoundations of re-invention, re-use, and revamp. She alsogave valuable insights on the importance and trends in visualmerchandising.AEPC gave opportunity to raise questions toWGSNs expert directly as well as engage in dynamicconversation with industry peers during the networkingsession. The seminar was well attended by merchandisers,fashion designers, entrepreneurs, market consultants,students, professors, manufactures, buyer/planners,retailers & brand promoters, etc.AEPCS spirited effort to help the Textile/ Fashionindustry to understand global trends and forecasting islaudable and in the right direction for the nascent IndianFashion Industry.WGSN is an invaluable source of information, from itsunrivalled international catwalk coverage to its real-timeinformation sourced on a global basis every season.Subscribers can track trends from the international runwayand the latest trade shows. It offers vital information to fast-track the seasons key looks and analyse their potential forfast-response commercial development.Ms. Sara Maggioni, Product Expert and Store Editor ofWGSN spoke in length about the hottest trends for theupcoming Autumn/ Winter 2013/14 and Spring/ Summer2014 seasons. WGSN is the worlds leading fashion andstyle forecaster. Ms Maggioni spoke about the macro trendsfor both the seasons giving a comprehensive report on key
T-EX- 2013 Jetpur, Gujarat
L S AUXI CHEM Pvt. Ltd. Presence in Igmatex 2013, Panipat82Textile Value Chain | April - June 2013TRADESHOWREPORTTextile Value Chain | April - June 2013Inter Continental Industries Presence T-EX 2013 , Jetpur