Export sector of home textiles in india

EXPORT SECTOR OF HOME TEXTILES IN INDIA

Presented by: Arushi Saran Khushboo BagriMahima Kabra

Prakriti Gaur Sushant Lulla

OBJECTIVES

• To analyze the export industry of home textile of India

• To study the market share of major key players.

• To study the contribution of various products to the export industry of India

• To perform a SWOT analysis of the sector

FINANCIALS OF INDIA

MARKET SIZE

Exports in textiles and apparel from India are expected to increase to USD 65 Billion by 2016-17 from USD 38 Billion (provisional) during 2014-15.

INDIAN HOME TEXTILE EXPORTS

INR 284 Billions Out of INR 18 Trillions (Total Exports of 2014-2015)

PRODUCTS•Bed linen, Table linen, Kitchen linen, Toilet linen• Beddings• Bed covers, Bed spreads• Cushions, Cushion covers, Duvets• Quilts and quilting materials• Curtains• Terry towels• Comforters• Carpets and other floor coverings• Blankets and Rugs• Mattresses• Upholstery• Other made-ups

HARMONISED SYSTEM CODE

CATEGORY GROWTH

Export scenario of blankets & travelling rugs with HS code- 6301 *Values in Lacs

HS Code Name of the commodity 2011-2012

2012-2013

2013-2014

2014-2015

2015-2016

630110 ELECTRIC BLANKETS 44 38 50 22 91

630120 BLANKETS(OTHER THAN ELECTRIC BLANKETS)AND TRVLNG RUGS,OF WOOL OR OF FINE ANIMAL HAIR

4037 2912 4222 3176 3097

630130 BLANKETS(OTHER THAN ELECTRIC BLANKETS) AND TRAVELLING RUGS,OF COTTON

18550 23184 32001 31636 28673

630140 BLANKETS(OTHER THAN ELECTRIC BLANKETS) AND TRAVELLING RUGS,OF SYNTHETIC FIBRES

10492 13161 23394 28238 19561

630190 OTHER BLANKETS AND TRAVELLING RUGS : 26301 29630 34435 42350 28943

TOTAL 59425 69928 94104 105423 80361

2011-2012 2012-2013 2013-2014 2014-20150

20000

40000

60000

80000

100000

120000

Export scenario of blankets & travelling rugs with HS code- 6301

Export Scenario of: Bed linen, Table linen, toilet linen and Kitchen linenHS codes- 6302 *All Values in Rs. Lacs

HS code Name of Commodity Exports in 2011-

12Exports in 2012-13 2013-2014 2014-2015 2015-2016

63021010

Bed linen, knitted or crocheted: Of cotton 33269 22219 12815 13,922 7,593

63021090

Bed linen, knitted or crocheted: Other 7455 10787 7604 3330 2245

63022200

Other bed linen, printed: Of man-made fibres 13935 16714 11803 12361 5998

63022900

Other bed linen, printed: Of other textile materials 10479 9341 100367 12626 6473

63023100

Other bed linen: Of cotton169809 108265 104047 80783 123811

63023200

Other bed linen: Of man-made fibres 1692 1131 5306 4580 5102

63023900

Other bed linen: Of other textile materials 15163 6014 7412 4590 10334

63024020

Table linen, knitted or crocheted: Of wool or fine animal hair 107 114 66 21 28

63024030

Table linen, knitted or crocheted: Of cotton 2766 5943 8749 8386 8452

63024040

Table linen, knitted or crocheted: Of man-made fibres 350 1092 527 165 147

63025300

Other table linen: Of man-made fibres 114 1656 1112 1301 1223

TOTAL 724869 647466 782168 859898 692662

2011-2012 2012-2013 2013-2014 2014-20150

100000

200000

300000

400000

500000

600000

700000

800000

900000

1000000

724869647466

782168859898

Export Scenario of: Bed linen, Table linen, toilet linen and Kitchen linen

HS codes- 6302

Exports during a year

HS code Name of Commodity Exports in

2011-12Exports in 2012-13

Exports in 2013-14 2014-2015 2015-2016

(Apr-Dec)63031

100Of cotton 76751.24 80380.51 83098 - --

63031200

Knitted or crocheted: Of synthetic fibers 542.81 410.897 358 333 236

63031900

Knitted or crocheted: Of other textile materials 715.71 649.86 723 315 389

63039100

Other: Of cotton 49,110.30 53,941.27 53334 52893 42166

63039200

Other: Of synthetic fibres 8,019.59 5,790.64 5039 4717 4638

63039910

Of other textile materials: Silk shower curtains 958.58 1,230.33 1335 936 691

63039990

Of other textile materials: Other 17404.25 18357.53 28554 27354 20874

TOTAL 76751 80380 89346 86149 68996

Export Scenario of: Curtains (including drapes) and interior blinds: Curtain or bed valances (Knitted or crocheted)HS codes- 6303

*All Values in Rs. Lacs

Export Scenario of: Curtains (including drapes) and interior blinds: Curtain or bed valances (Knitted or crocheted)

HS codes- 6303

2011-2012 2012-2013 2013-2014 2014-201570000

75000

80000

85000

90000

95000

HS code Name of Commodity Exports in

2011-12Exports in 2012-13

Exports in 2013-14 2014-2015 2015-2016

(Apr-Dec)63041

100Bedspreads- knitted or crocheted 981.15 327.34 483 420 1764

63041910

Bed sheets and Bedcovers of Cotton 1,84,009.76 3,99,978.14

413692 498858 366697

63041930

Bed sheets and Bedcovers of Man-made Fibers 19,815.96 20,107.51 18921 16393 9200

63041990

Other Bed sheets and Bedcovers N.E.S 19,271.09 33,688.86 114917 120281 68497

63049110 Silk Belt 61.19 17.97 13 36 23

63049120 Woollen Cushion Cover 881.85 831.19 815 780 343

TOTAL564085 875216 990796 1048715 793811

Export Scenario of: Other furnishing articles, Bed spreadsHS codes- 6304

*All Values in Rs. Lacs

2011-2012 2012-2013 2013-2014 2014-20150

200000

400000

600000

800000

1000000

1200000

Export Scenario of: Other furnishing articles, Bed spreadsHS codes- 6304

PERCENTAGE OF EXPORTS OF DIFFERENT PRODUCTS

PERCENTAGE ACCORDING TO CONTINENTS

PERCENTAGE ACCORDING TO THE COUNTRIES OF EUROPE

GROWTH FACTORS

SUPPLY SIDE

• Leading home textile manufacturers.• Up gradation in the infrastructure &

technology• Relaxation in the government policies &

other incentives• End of quota regime acting as a stimulus to

further export growth

DEMAND SIDE

• Increasing consumption trend towards global products.

• There is a trend of going with the seasonal tastes.

• Hospitality Sector is also one of the major sectors which have a huge demand for soft furnishing

EXPORT LOCATIONS

MAJOR EXPORTERS• Bombay Dyeing Ltd.• Alok Industries Ltd.• Abhishek Industries Ltd.• Orient Craft• Welspun Ltd.• Kurlon Ltd.• S Kumars Nationwide Limited• Gujarat Fertilizers & Chemicals Ltd• SPC Industries Ltd.• Shital Fibres Ltd

WELSPUN LTD.Asia's largest and the 2nd largest Terry Towel producers in the World.a distribution network in 32 countries largest exporters of home textile products from India.Fully integrated Home Textile Manufacturer - from spinning to finishingowns leading brands like Christy, Hygro Comfort and others

Trident Ltd.

• One of the largest yarn spinners in India, one of the world's largest terry towel manufacturers

• Sold under various established brands, namely Home Essential, Classic, Kids & Mom, Floral, Colors and Indulgence.

• Customer base spread across more than 75 Countries in 6 Continents

DCTEX

• India’s largest manufacturer and exporter of curtains and upholstery fabric for last five years.

• One of India's largest exporters of synthetic furnishing fabrics to Asia, Europe, US, Gulf etc.

• Amongst the top furnishing companies in the world manufacturing luxury furnishing fabrics, upholstery, drapery, bed linen, and made ups with a turnover of 350 crore INR approx.

Foreign collaborations

SWOT ANALYSIS

STRENGTH

•Large and diverse cotton textiles industry and its intrinsic strength in embellished home textiles.•Abundant availability of skilled labour at a low cost for carrying out handwork embellishments such as embroidery and embellishments such as patchwork, thread work and decorative accents also gives makers an edge

STRENGTH

• Excellent design capability of Indian Designers.

• Government support to increasingly diversify and further exports.

WEAKNESS

• Fluctuating value of the Indian Rupee • The industry is critically Dependent on cotton.

Raw cotton prices are highly fluctuating.• Highly competitive quality and prices from

neighbouring countries like Bangladesh and China

• China’s competency to produce certain finishes is much advanced than India.

OPPORTUNITIES

• India is currently highlighted at the global level, India could utilize this place to open pvt labels abroad.

• Elimination of Quota Restriction, according to FICCI research, has helped India expand its global market further since 2005.

THREATS

• Rupee fluctuations with respect to US $ and Euro affects the volume and value of exports.

• Increasing energy costs.• Not upgrading our technology may result in

Indian exports shifting to other countries.

SECTOR & FDI POLICIES

1. 100% FDI is allowed under the automatic route in the textile sector; investment is subject to all applicable regulations and laws.

2. Technology Up gradation Fund Scheme has infused investment of more than INR 2,687 Billion in the industry. Support has been provided for modernisation and up gradation by providing credit at reduced rates and capital subsidies.

3. Scheme for Integrated Textile Parks provides world-class infrastructure to new textile units. To date, 57 Textile Parks have been sanctioned with an investment of INR 60 Billion. By 2017, 25 more textile parks are to be sanctioned.

4. Integrated Processing Development Scheme for sanctioning processing parks has been initiated. INR 5 Billion has been earmarked for this scheme.

*EXPORT PROMOTION CAPITAL GOODS SCHEME(EPCGS)*DUTY EXEMPTION & REMISSION SCHEME

FOCUS MARKET SCHEME(FMS)

The exporters of all products to countries, as

notified in Appendix 37C of HBP Vol.1 are

entitled for Duty Credit Scrip equivalent to 3%

of FOB value of exports in free foreign

exchange.

5. Integrated Skill Development Scheme has provided training to 1.5 Million people to cover all sub-sectors of textiles such as textile and apparel, handicrafts, handlooms, jute and sericulture.

EFFECT OF TRADE AGREEMENTSComprehensive economic partnership agreement between India & Japan

TAX DEDUCTIONS

• A weighted tax deduction is given under Section 35 (2AA) of the Income Tax Act.

EXPORT SECTOR SCHEMES

• Export Promotion Capital Goods Scheme (PCGS).Duty Remission Scheme. Focus Product Scheme, Special Focus Product Scheme, Focus Market Scheme.

EXPORT PROMOTION COUNCILS

• The Cotton Textile Export Promotion Council• Carpet Export Promotion Council• Cotton Corporation of India Ltd.• National Institute of Fashion Technology

REFERENCES

• Confederation of Indian Industry• Ministry of Textiles• Ministry of foreign trade• Ministry of commerce• Market research paper by Ace Global Private

Limited

THANKYOU