EYE ON THE FUTURE OF indian TEXTiLES

The Chairman of Kotak & Co., often hailed as the ‘cotton man of India’, Mr Suresh Kotak, in his address at CITI’s Diamond Jubilee Celebrations, discussed today’s challenges, emphasising on the need to build a sustainable textile future

CITI’s Diamond Jubilee Celebrations with the theme ‘Disruptions and Innovations for Sustainable Growth’ will prove to be the harbinger of drafting a new agenda for

transforming India to become a textile superpower.We cannot regale in the past glory that India

was a textile superpower in the last two centuries and all other countries were trailing behind. Today, the position is that many countries have captured opportunities to surge and develop – and, we need introspection to find how we can change the situation by transformative thinking, reflection and by employing appropriative strategies.

The end retail transformation has changed buying patterns, shifting orders; moving towards larger quantities of garment and lower lead time for fashion. This has had a knock-on effect across the textile value chain. Bangladesh and Vietnam have emerged as economies benefitting from the changes and transitions, which is the law of life.

However, we need to realise that no economy, other than India’s rival China, has the capacity to host the entire supply chain and serve global consumers.

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Evolving TrEnds & drivErs for ChangEWe need the whole value chain in India to meet

the shifting demands of this global industry, which involves speed and scale. The key to achieving speed and volume can be essentially found through the integration of the value chain – today, it is sordidly fragmented.

While the global textile industry has always been a fast-evolving sector, the structure of this sector has been constantly redefined by significant changes. These changes are also Disruptions and Innovations – which, if not channelised, we in India cannot develop sustainable growth.

On the commercial or business side, the key driver behind this transformation is the ever-changing policy environment the world over.

The dismantling of MFA (Multi Fibre Agreement) facilitated a consolidation of production in Asia, while the introduction of AGOA capitalised renewed competitiveness in Africa. This Trans-Pacific Partnership will surely redefine the competitive landscape once again.

Changes in the policy environment have been complemented by technological evolutions that have stimulated remarkable gains in productivity, product diversity and quality. The changes are also being enhanced by new technologies in the field of Bio-Technology & Genomics, new cotton breeding techniques together with advancement in the Logistic & Supply Chain Management that allows for greater and more flexible speed to the market.

susTainabiliTy in TExTilE indusTry: a gamE ChangErTo drive innovation and sustainability in textiles

and move towards a cleaner, greener, more efficient future, a collaborative approach between all stakeholders is essential.

The global textiles and apparel market is not only huge but rather diverse and fragmented with multiple stakeholders, and there are challenges while trying to instigate change.

With the multiple regulatory bodies, ecological

labels, individual brand standards and consumer demands, curving a more sustainable way forward etc., is a challenge but a necessary one which must involve the entire value chain.

Any innovation and disruption must be economically as well as environmentally sustainable. Diverse fibre capabilities are our strength which should be harnessed effectively in a sustainable manner. There is a fear of rising costs or changes in established processes, implying a strong resistance to change – but rather than shying away from innovation altogether, the industry can start by making small, high impact improvements.

Specifically in the Indian context, the following

We need to realise that no economy, other than India’s rival China, has

the capacity to host the entire supply chain and serve global consumers

Shri Suresh Kotak, Chairman Kotak & Co., receving the CITI Life Time Achievement Award from Hon’ble Vice President of India, Shri M Venakaiah Naidu

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suggestions need to be done to make India a competitive exporting country. Let us discuss the fibre profile of India and how our advantage in various fibres is internalised so that we can rank as a competitive and well-profiled textile goods manufacturing country.

Our manufacturing suffers from the contradictions in fibre availability, quality and utilisation as well as effectively in the cost aspect because of various handicaps. More so because of our attitude of Chalta Hai!

We have about five groups of fibre at our command, but we are not able to take any appropriate advantage of the fibre strength.

Cotton, to start with, is our main fibre. We are the highest producer in the world as per quantity, but we deploy the highest acreage with a low productivity of 500 kg. In stark contrast, Brazil has 2,200 kg per hectare. In processing, we tarnish our cotton by adulteration (a criminal offence), contamination, non-marking of bales, which makes

our bale management and identification

difficult. Our mills are disadvantaged and we export our cotton at a discount even lower

than African Cotton.Under these

circumstances, how shall we brand our Indian Cotton as

‘cotton with reliability’? Even our profile of Indian Cotton, in terms of

attributes, is lop-sided; hence, we need critical imports to fulfil the required needs

of our textile industry.Even with the second-largest availability

of manmade fibre, we are yet to give competitive material to our industry and stop our dependability on Chinese fibres and filaments etc.

We have other advantages of fibres such as silk, wool, mast fibre like jute, hemp, and even fruit fibres have been developed. We also have enormous fibre material in terms of bamboo, which abounds the North-East. Today, we are importing bamboo yarn from China for our medical textile needs.

Of course, CITI and all other associations are aware of this situation and are trying to get out of this dilemma and stumble. And, they are effortlessly trying in this direction.

CITI-CDRA has achieved 900 lb/kg in Rajasthan, against the world standard of 750, and is marching ahead to improve the profile of Indian Cotton by working in extra-long staple with the Madhya Pradesh Government.

somE dirECTional porTEnds and iniTiaTivEsIndia must also expand quality manufacturing

capacity, particularly weaving, processing and knitting. We should build huge capacities in Defence Textiles for camouflage, medical textiles etc. Capacities should be so large that we become global players and our manufacturing achieves economy of scale.

We should also consider investing overseas, particularly in American markets; we should send fibre and yarn from India. Weaving and processing can be done in USA, hence products become Made in America, which has a very wide acceptance and a manufacturer can gain from the tremendous opportunity at disposal.

E-Commerce has provided huge opportunity, we all have realised the opportunity and size of recovers – because of media and social networking, fashion is reaching every corner of India. Today, villagers and residents of small towns have the same buying opportunity that we have in Mumbai and Delhi. This will connect India across global markets and thus create a big market.

We are happy that we have a Government who listens and acts and our Textile Ministry is doing its best to solve all the riddles, problems and infirmities. Let us work towards an ‘Empowered Textile India’ as a team, together with all the optimism in a missionary mode. Jai Hind!

CITI Secretary General felicitating Shri Suresh Kotak during CITI Diamond Jubilee Celebrations