A TEXTILE SUMMIT WAS HEAD IN NEW DELHI TO LOOK INTO THE ISSUES PLAGUING THE TEXTILE INDUSTRY AND TO FIND MEANS TO OVERCOME THEM…
The Ministry of Textiles organized Tex- Summit 2007 – a conclave to deliberate upon the areas of concern in the textile sector. This was held from August 31 to September 1, 2007 at Vigyan Bhawan in New Delhi.
The textile industry is the sunrise sector of the Indian economy and holds a great potential for employment and investment. It has been recognized as a priority sector for development during the eleventh fiveyear plan. In fact, a big leap in the growth of the textile and clothing sector is expected to create additional employment of 12 million people. In the aftermath quota abolition, India has also emerged as a major sourcing destination. In the prevailing vibrant milieu, it is projected to reposition the sector with a long-term vision to achieve 10 per cent share of the world textile trade.
Notwithstanding the fact that the quotafree markets have seen an impressive growth over the last two years, the country’s textile exports currently seem to be waning due to a variety of factors. The current noticeable deceleration in the sector can primarily be attributed to the recent hardening of the rupee value visà- vis US dollar, in addition to the high transaction and power costs, labour issues, etc., which are thus eroding India’s competitive advantage.
The proposed summit was organized not only to highlight the critical issues that are facing the textile industry today, but also to suggest ways and means to surmount the perilous industry situation. The August gathering brought together eminent industrial economists, educationists, professionals and technologists expected to pave the way for the all-round development of the sector, which is set to take a quantum jump forward. The Prime Minister had consented to address the meeting on September 1. The summit was structured on workshop methods and had been disseminated into four working groups, namely, textile inputs, HR development, policy framework and the role of government and finally, market development. The participation to the summit was by invitation, though invitees could nominate four delegates.
Since the advent of human civilization, textiles have played a significant role in human life. Establishing itself steadily over the years, it is one of the most ancient and the largest industries in India. The textile sector has carved out a special niche as a facilitator of growth and participative development. It derives its strength from a large production base of basic raw materials, presence across the entire value chain, availability of relatively inexpensive and skilled workforce as well as enriched design expertise. However, the prospects of the Indian textile industry are marred by a dualistic manufacturing structure, small fragmented units and a declining vertically integrated, large-scale composite mill segment.
However, the textile sector has consequently gathered momentum after the termination of the quantitatively restrictive trade arrangements on December 31, 2004. So much so, that it has registered a phenomenal 22 per cent growth in the very first year. Riding on a strong investment inflow, the sector now has a 9-10 per cent annual growth, which is expected to touch 16 per cent during the current five-year plan.
