A Growth Performance of Textile Industry in Tamil Nadu
1. A GROWTH PERFORMANCE
OF TEXTILE INDUSTRY IN
TAMIL NADU
K. Krishnakumar
Ph.D., Research Scholar
Dept. of Economics
A.A Government Arts College
Namakkal
2. INTRODUCTION
The Textile industry in India is one of the largest in
the world with a large raw material base and
manufacturing strength across the value chain.
India is a global leader in jute production,
accounting for about seventy per cent of estimated
world production.
The Textiles industry in India is estimated at around
150 billions of US dollar and expected to reach 250
billions of US dollar during 2019.
India has the most substantial acreage with 12.2
million hectares under cotton cultivation, which is
around 42 per cent of the world area of 29.3 million
hectares. India produced an estimated 6.5 million
tonnes during 2017-18.
3. TEXTILE INDUSTRY IN TAMILNADU
Some of the textile products from Tamilnadu which are universally recognised
for the excellent crafts manship and their uniqueness are Kancheepuram Silk
Sarees, Bhavani Carpet (Jamukalam), Madurai Sungadi Sarees, Coimbatore
Kora Sarees, Paramakudi Sarees, Salem Silk Dhoties, Erode and Karur Home
Textiles, Tiruppur Knitwear Garments, etc.
The State accounts for 19 per cent of the Nation's Textile output with a robust
network of all the sub-sectors of the Textile industry. State Textile industry is
the most significant economic activity after Agriculture.
Tamilnadu is the leading State in the Country in Textile sector and having
major stake holders with
46 per cent of Spinning capacity,
60 per cent of yarn export,
20 per cent of Power loom capacity,
12 per cent of Handloom capacity,
70 per cent of Cotton Fabric Knitting capacity.
4. OBJECTIVES OF THE STUDY
TO STUDY THE PERFORMANCE OF
TEXTILE INDUSTRY IN TAMIL NADU.
TO ANALYSE THE GROWTH AND
OF TEXTILE INDUSTRY IN TAMIL NADU.
5. RESEARCH METHODOLOGY
THE STUDY IS BASED
ON SECONDARY
AND THE STUDY
COVERS THE PERIODS
FROM 2001-02 TO
2016-17.
THE STUDY
ARE FIXED CAPITALS
CLASSIFIED FROM 3-
DIGIT NIC 2004 AND
2008, TOTAL INPUTS
AND TOTAL OUTPUT
WERE CONVERTED
INTO 2011-12 BASE
YEAR.
THE DATA OBTAINED
FROM ANNUAL
SURVEY OF
INDUSTRIES,
GOVERNMENT OF
INDIA AND VARIOUS
REPORTS OF RESERVE
BANK OF INDIA.
THE RAW DATA CONVERT IN
LOGARITHM (LOG) VALUE, AND TO
ANALYSE THE DATA, AVERAGES,
ANNUAL GROWTH RATE, STANDARD
DEVIATION, COMPOUND GROWTH
RATE, SIMPLE LINEAR REGRESSION
AND SEMI-LOG LINEAR REGRESSION
MODEL HAVE BEEN USED.
7. The study witness a moderate growth rate in the select variables in
the period of the study.
The select variables mostly witnessed a negative growth rate
during the years namely 2004, 2007, 2011, 2012, 2014.
The analysis of coefficient of variation recorded better stability
except the number of factories and fixed capital during the study
period.
The analysis of compound growth rate shows a moderate growth
rate except the consumption of Fuels during the reference period.
The study recorded better stability during the period of study. (R
squared value is 0.90)indicating that y explains an estimated 90%
of the variation in x.)
8. CONCLUSION
The Indian textile industry is at present is one of the largest and most important sector in the economy in terms of output,
foreign exchange earnings and employment in India.
The Textile industry has the enriched potential to scale new height in the globalized economy. The industry is facing
problems and among them the most important once are those of liquidity for many organized sector units, demand
and insufficient price realization.
The study recorded a moderate growth rate during the period in reference. Even though the study recorded a slow rate of
growth the overall growth indicated a moderate growth with better stability of the textile industry during the period in
reference.