Recently, the Ministry of Textiles of the Indian government released data showing that the textile industry is the industry with the second largest employment population in India, second only to agriculture. The Indian textile industry directly employs more than 35 million people, and its total output accounts for 17% of the manufacturing industry. The Ministry of Textiles of India estimates that the output value of India’s textiles and garments will reach US$221 billion in 2020. In fact, India’s textile exports accounted for 30% of the country’s total exports in 2013, and earned approximately 27% of the total foreign exchange through textile exports. Therefore, the output value of the country’s textile and apparel industry is expected to reach US$220 billion this year.
India is the world’s third largest cotton producer after China and the United States, and is also the world’s largest jute producer and the second largest raw silk producer. There are as many as 23 cotton varieties in the country. Other fiber raw materials include silk, linen, wool and man-made fibers. Diversified production allows India’s fiber products to occupy an important position in the world.
In recent years, the most significant change in the Indian textile industry has been the emergence of man-made fibers. In 2013, the annual output of man-made fibers and cotton yarn in India increased by 6%, the annual output of non-cotton yarn increased by 5%, and the annual output of the entire apparel industry increased by 2%. With the official support of India and the planning of the Indian Garment Export Promotion Council, India’s garment exports are expected to reach US$60 billion from 2014 to 2016. It can be said that the growth and development of the textile and apparel industry directly affects India’s economic lifeline.
As far as India is concerned, the country is currently in a period of rapid economic growth and rapid urbanization, which has produced a large group of ready-made apparel consumers with high spending power and emphasis on fashion trends. Therefore, both local and international practitioners in India have great expectations for this highly growing and rapidly changing ready-to-wear apparel market. It is reported that in the next 20 years, India’s urban population will increase by another 300 million people. These people will change their purchasing habits of clothing products and increase market demand for clothing due to their new lifestyles.
At present, the government has allowed 100% foreign direct investment in the textile industry. Global apparel brands such as HugoBoss, LizClaiborne, Diesel and Kanz have all set up factories in India. More other global apparel retail giants have chosen to outsource production to India, which has increased the value of the country’s textile and apparel industry. The Ministry of Textiles of India pointed out that Africa and Latin America are expected to be the main destinations for Indian textiles in the next 10 years.