Indian textiles and apparel have always had strong competitiveness in the woven field, and a recent report by the research consulting firm Wisedge pointed out that Indian knitted products will show a double-digit growth trend in the future, and the industry will grow in India Play a more important role in the textile and apparel industry.
In the past year, the Indian knitting industry has experienced strong growth. Research consulting firm Wisedge pointed out that in 2012, knitted clothing accounted for 50% of India’s domestic clothing market and accounted for 45% of India’s exported clothing. Globally, the trade performance of knitwear is better than that of non-woven fabrics, and the demand for knitted clothing has increased significantly. From 2005 to 2011, the compound annual growth rate of global knitted garment production reached 7%, and is expected to grow at a faster rate in the next few years. The same is true in India, where the compound annual growth rate of knitted clothing is expected to reach 9% to 10%.
Traditionally, the Indian textile and apparel industry has been based on non-woven fabrics, but changes in consumer preferences have boosted the rapid development of Indian knitted apparel. Hues, director of RupeshPuri, said: “In the past, it was difficult to find clothing suitable for consumers around 40 years old in India, but now this situation has changed a lot. Middle-aged consumers have become accustomed to spending 800 rupees (equivalent to RMB 86 Yuan) to buy a T-shirt instead of spending 1,200 rupees (equivalent to RMB 130) to buy a shirt. In fact, T-shirts are also more suitable for India’s climate characteristics.”
However, in the process of rapid development of the Indian knitting industry, it still needs to face a series of limiting factors. Among them, the rising prices of cotton and yarn are the most difficult problems, and competing with global brands is also a big challenge. Dawinder, a brand partner at Granzstein & Gavio, said that the fact that international brands are developing in the Indian market cannot be avoided, but higher prices make them less advantageous. Indian consumers prefer knitted products at low prices.
The development trend of the Indian knitting industry is that production areas are more dispersed. The knitting industry that was once only concentrated in Tirupur and Ludhiana is now fully covered in India. An increasing number of knitting enterprises have been established in Rajasthan, Gujarat and Bangalore. However, it is undeniable that at present, T-shirt manufacturers in India are still in the minority, because this industry requires more investment than other segments, and the construction of infrastructure is detailed and complex, so this type of investment is risky.
In recent years, the competitive relationship between the Bangladeshi knitting industry and India has intensified. Indian industry players believe that the reason why Bangladesh has the upper hand in market share is mainly because Bangladesh’s production costs are lower than those in India, such as wage costs. . The country’s players are capable of providing cheaper products. Chopra, general manager of Raves Company, believes that these impacts are short-term. “Some big brands have tried to outsource production in Bangladesh. But due to the huge logistics costs, they have not gained actual benefits. Moreover, the consumption tax on branded clothing in India has been abolished. Basically, India’s knitted products are more competitive and will play a positive role in promoting the development of the industry.”
Industry insiders in India pointed out that no matter what the market competition will be, in the next few years, the Indian knitting industry must start to improve its competitiveness. Ashish, marketing director of Wisedge, pointed out that innovation in finishing technology will be the key to the competitiveness of the Indian knitting industry and to increase the added value of products.
