India'S Textile Exports Face Fierce Competition From Bangladesh

The slowdown in global economic growth and unfavorable exchange rate changes have caused huge losses to India's textile exports.

The same is true of other major Asian textile exporters, such as Sri Lanka, Pakistan, China, Thailand and Vietnam. However, Bangladesh has withstood the crisis, and exports have actually increased during the period of global economic slowdown.

In 2008/09,

Exports of textiles and clothing (TandC) amounted to US $22 billion 146 million in 2007-08, but decreased to US $20 billion 939 million in 2009-10.

India textile state minister Panabaaka Lakshmi recently said that 2009-10 (as of December 2009) exports of textiles and clothing in India amounted to $15 billion 44 million 890 thousand, compared with exports of 15 billion 970 million 500 thousand dollars in the same period of 2008-09.

Analysts pointed out that the future export growth of India's textile industry will depend on the government's measures to promote modernization and innovative investment.

India's federal textile minister Mullen said the government is making every effort to improve India's share in the global market.

The measures proposed include developing potential markets in Latin American and Caribbean countries, such as Brazil and Argentina, which have been identified as one of the key developing countries because they are huge potential countries.

Mullen said recently that although

The Ministry of textiles has formulated policies for the rapid, inclusive growth and participatory development of industry.

The goal is to maintain the export growth momentum that has just started, increase the output and production capacity of cotton and cotton yarn, increase the added value of the clothing department, carry forward the rich legacy of the jute looms and handicrafts, improve the output of mulberry fields and maintain employment opportunities.

In addition, the Ministry of textiles is making full use of India's economic growth prospects to attract more capital inflows / foreign direct investment.

India textile Ministry said that in the post quota era, India's textile and clothing (TandC) exports grew by 25% in 2005-06, while exports increased by US $3 billion 500 million to US $17 billion 520 million, and 2006-07 continued to grow to 19 billion 150 million US dollars, an increase of 9.28% over the same period last year.

Although exports of textiles and clothing amounted to US $22 billion 130 million in 2007-08, it was seriously affected by the strong appreciation of the India rupee against the US dollar. However, according to the US dollar, it still increased by 15.59%, which was about 2.76% increase in accordance with the rupees.

The textile ministry hopes that the TUFS will accelerate the modernization of the textile industry in India.

This is the first major stimulus plan for the textile industry. In August 6, 2009, 25 billion 460 million rupee subsidies were granted, and the funds were remitted to 12514 beneficiary's bank accounts within three working days.

In the year of 2009-10, the subsidy was paid 28 billion 859 million 800 thousand rupees.

The government has put forward a national fiber policy. Yesterday, the draft policy was widely negotiated in the public sphere.

The Ministry of textiles has proposed that the 20 sewage treatment plants (CETP) of Rupp dyeing enterprise provide a one-time subsidy of 2 billion rupees to ensure zero liquid emissions.

Despite the global economic slowdown, the proportion of India's textile exports in the total export volume increased from 10.82% to 12.05% in 2008-09.

In the east look policy of India, in order to promote exports, in addition to consolidating the existing market, such as the European Union and the United States, as part of the plan, India has also developed new markets, and India has held large-scale textile fairs in new markets, such as Japan, South Asia, Australia, Latin America and South Africa.

Some analysts pointed out that India and China's textile exports will face fierce competition from Bangladesh.

India's new initiatives may not be effective soon. Therefore, India's textile exports may at least remain depressed for a year.