Economics Cotton Textile

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8/9/2019 Economics Cotton Textile

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Introduction Cotton King of Fibres

One of the principal crops of India

Vital role in the Indian Economy Significant contribution to export earnings

It engages around 6 million farmers

About 40-50 million people depend oncotton production

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Contd

India have the largest area under cotton

cultivation i.e. 9 million hectares and

constitutes around 25% of the total world India ranks first in cotton-cultivated area

Second in production among all cotton

producing countries in the world next to Chinaand the USA

More than 25 varieties are cultivated in India

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Contd

Principal raw material for the domestic textile

industry

Sowing : June - July, Harvest: September December

Arrivals extend till April

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Contd

Classified based on Fibre length

1. Short staple

2. Medium staple

3. Long and Extra long

Major demand for medium and medium long

staple variety, which also has the largest sharein the total production

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Various Policies

 National Textile Policy

 National Jute Policy 2005

Power loom Cluster Development Scheme

(CPCDS)

Hand Loom Cluster Development scheme(CHCDS)

Handicraft Cluster Development Scheme(CHCDS)

Technology Mission On Cotton Textile Workers¶ Rehabilitation Fund

Scheme(TWRFS)

Generalized System of Preferences (GSP)

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Impact of Cotton Industry

On Indian Economy

Contributes towards the industrial output, employment generation

and foreign exchange earnings

Contribution of the textile industry to GDP is about 4 percent.

Provides direct employment to about more than 35 million people

Second largest employment provider in India after agriculture.

Textile industry alone accounts for 29 million and the apparel industry

accounts for balance 6 million people.

Size of the Indian Textile and Apparel Industry is estimated to be US $ 85

bn comprising US $ 45 bn in domestic and balance in exports by 2010.

Contribution to gross export earnings is about 17%

Gross import bill of the country in 2004-05 is less than 2 %

Textile industry is a self -reliant industry

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Sector Units Volume (2004-05) Employment(Million)

Organised TextileMills 1789 1.5 bn sq.mts 1.0

Powerloom 0.4 million 28.3 bn sq.mtr 4.8

Handloom 3.5 million 5.7 bn sq.mtrs 6.5

Jute

-

1.6 mn tonnes 4.4

Handicrafts

- - 6.4

Sericulture

- - 6.0

Sector-wise contribution

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  YEAR COTTONBLENDED/MIXED

FABRICS

100% NON-COTTON

FABRICSTOTAL

1991-92 13.71 2.90 6.26 22.87

1992-93 15.57 2.57 6.36 24.50

1993-94 15.92 3.58 6.72 26.22

1994-95 15.24 3.27 7.47 25.98

1995-96 16.32 3.48 8.19 27.99

1996-97 16.24 3.98 9.08 29.30

1997-98 15.94 4.57 10.41 30.92

1998-99 13.07 4.13 10.99 28.19

1999-00 14.16 4.48 11.91 30.55

2000-01 14.22 4.50 11.96 30.68

2001-02 14.82 4.69 12.46 31.97

2002-03 14.40 4.38 12.59 31.37

2003-04 13.41 4.51 13.09 31.01

2004-05 14.08 4.11 15.32 33.51

PER CAPITA AVAILABILITY OF CLOTH

The per capita cloth availability in the country has increased from

22.87 square meters in 1991-92 to 33.51 square meters in2004-05.

(In Sq. Mtrs)

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Condition in Recession

 period Jobs are being slashed

The Indian textile sector, which was already wobbling due to

rupee appreciation, and rising cotton prices, is hit hard than

any other sector 

Decreases in the purchasing power of the consumers foretell

an unpleasant market condition

Big companies involved in garment retailing like Eddie Bauer,

Talbot, Cace, Foot Locker, Gap Inc and Goodbye have scaleddown their operations.

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Survived during recession

Company manufactured high quality products

and were able to sell them at competitive price

Job losses were temporary People who were able to switch over to various

 portfolio and accept additional responsibility

within textile segment.

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The consolidation of textile

manufacturing in Asia gives impetus to

Indian Textile industry

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Growing world trade in Textile &

clothing offers significant opportunities

for Indian T&C exports

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India¶s share in Cotton production

World is growing (mn tones)

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Textile Ltd.

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Arvind textile is top amongst the textile

industries in India

Arvind Ltd. Set up by three brothersKasturbhai, Narrottambhai and Chimanbhai

Lalbhai in 1931

Started with share capital Rs. 2,525,000

(US$55,000)

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Chairman and Managing Director of the Company

- Mr. Sanjay S. Lalbhai

Manufacturing units is in Gujarat and Bangalore

Revenue of the company is as on 31 march 2009

was 2345 crores

International brands like Lee, Arrow, Tommy

Hilfiger, Wrangler and domestic brands likeNewport, Flying Machine, Ruff n Tuff and

Excalibur,

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Innovations

Nano Technology

I. From functional to intelligent smart Textile

II. Applications of Nano fibers in Nonwoven websIII. Sol gel processing

IV. Self cleaning textile

V. Antimicrobial finishVI. UV protective finish

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