9. Strengthening the Base of the Industry
Normally all Novembers and Decembers are quite pleasant throughout India, but not for the trade and
industry which is gripped by the Budget fever, till the Hon'ble Finance Minister delivers his Budget Speech
in Parliament.
This year was no exception. The textile industry was anxiously awaiting reduction in excise duty on man-made
fibres and had sleepless nights. But the bonafide expectations of the man-made fibre textile industry was dashed to
the ground on the D-day.
Even though productivity of Indian cotton is much lower than the world average, the country is still the second largest producer of cotton in
the world. This is so because uptil now, the country was generous enough in making available land for cotton cultivation. Such a situation
may not continue for long. After all India is a land-deficit country. There are competiting claims on lands for various purposes like
Agriculture, infrastructure, industrial projects, social needs, housing etc. Besides, Cotton cultivation requires large quantities of water, but
water is scarce.
In such circumstances, the pressure on cotton must be lightened. Hence, the excise duty on cotton stream of production on the one hand
and man-made fibres and man-made fibre textiles and ready-made garments on the other must be the same, so that the decision of the
consumer is not unduly influenced by the level of taxation. The distinct preference of Aam Admi for polyster-based fabrics should not be
overlooked. In the years to come, when at the global level, production of cotton is going to fall short of its requirement, willy-nilly, there is
going to be a reversal of role between cotton and man-made fibres. Hence, Government has to create conditions which are conducive to
much larger investments in the manufacture of man-made fibres.
This view of neutrality intaxation gets a direct support from the National Fibre Policy put forward by the Ministry of Textiles, Government of
India. This will create a true level-playing field, for diverse fibres, whether natural or artificial and synthetic, to grow on their intrinsic strength.
While some sections of the industry were cheerful at the Budget, some expressed disappointment. The Union Budget is an effective
instrument to reinvigorate national economy. The Budget has generally generated optimism with regard to fiscal correction and higher
GDP growth. The phase of subsidy adjustment has started with the oil sector. It may be possible to discipline the subsidy bill at 1.6 per cent
of GDP. The proposal to set up 'National Manufacturing and Investment Zones as proposed by the Commerce Ministry will help increase
the share of manufacturing in GDP to 25 per cent from the current 16 per cent and create
100 million jobs in 2025.
So far as the textile industry is concerned, the critical issues are availability of raw materials in
requisite quantities at right prices and at right times, infusion of sophisticated technology on a
continued basis, taxation policy and general economic conditions. The Budget has largely
addressed these issues, except excise duty on man-made fibres and man-made fibre textiles.
th
Continuation of TUFS in the 12 Plan, availability of exempted and cenvat routes for all
textiles including garment reduction in basic customs duty on certain textile machinery parts
from 7.5% to 5% are all welcome and encouraging steps which are a good augury for the
textile industry.
11. Mr. G. Banerjee - Management & Industrial Consultant
Mr. Shiv Kanodia - Sec. General, Bharat Merchant Chamber
12. th
Eventful 4 Quarter at Siyaram's
CORPORATENEWS
Siyaram launches Prism & Estro under its elegant Italian brand Moretti in India
After successfully launching the premium Italian fashion brand Moretti in India, Siyaram Silk Mills Ltd. has added 2 vibrant collections
under the same brand for the fashion conscious Indian male. The event was held at The Retreat, Malad, which comprised of a Fashion Show to
highlight the latest offerings by Moretti. The collections were strongly appreciated by the dealers and retailers which was evident from the fact
that a record booking of over Rs. 7 crores was registered in just 2 days after the launch of the collections.
Prism, as the name suggests, is the only collection in the market that boast of 1000+ plain qualities & colours to choose from. Prism is
available across one lakh MBO's and is priced at Rs. 600 – 1000 / mt. On the other hand, Estro is a bold collection of fancy dobby & colours in
various designs. Estro is available across one lakh MBO's and is priced at Rs. 700 – 1000 /mt. Both the collections are made from 38 – 42
mm length of high value pure Italian cotton yarn – unmatched by any player in the Indian textilemarket.”
Siyaram's Adds Two Vibrant Collections under Royale
Linen
After the successful launch of Royale Linen – a linen fabric brand last year,
Siyaram's has added 2 vibrant collections, Purito and Vivante, under the same
brand for the linen loving fashion conscious Indian male. The event was held on
st
21 March at InFashion in Goregaon, Mumbai.
Mr. Manish Malhotra, renowned Bollywood fashion designer and the brand
ambassador for Royale Linen, expressed his joy after inaugurating the new Royale
Linen collections – “It is a wonderful feeling being associated with a brand like
Royale Linen. It has been offering the purest and most premium linen fabric which
transfers the royal appeal to the person wearing it. The new collections
launched today are unique, vibrant and still pure ones which I feel are
MISTAIR - Style Partners for INKAAR launches POWER PLAY
collection
Mistair– a division of Siyaram Silk Mills has been associated with Viacom 18 Motion
Pictures next as a style partner. The association between Mistair and 'Inkaar' was facilitated'INKAAR'
by Carat Fresh Integrated, an experiential marketing agency of Aegis Media India Group.
Present at the event was Mr. Ramesh Poddar, Managing Director and Chairman of Siyaram Silk
mills along with the star cast of 'Inkaar'. The highlight of the event was the fashion show that unveiled
the Inkaar inspired collection called “POWERPLAY” with the showstopper being none other than
Inkaar's lead actress Chitrangada Singh.
Siyaram's launches Wedding Affairs
Siyaram Silk Mills Ltd., has recently launched a collection of fabrics that are tailor made
for the Indian weddings. The launch was done at the popular InFashion 2013 exhibition
through a glittering Fashion Show at Goregaon, Mumbai. The collection consists of fabrics
of various premium qualities & colours that are synonymous with the fashion conscious
Indian male during wedding celebrations and is named Siyaram's Wedding Affairs.
Mr. Ramesh Poddar – Chairman & MD (Siyaram Silk Mills Ltd.) said, “Wedding is not
just about the bride and the groom. It is about 2 families coming together for a jovial
celebration. Wedding Affairs is a collection of carefully handpicked premium fabrics that are
ideal to dress up men for a great Indian wedding. In a nut shell, it is an exclusive ensemble for
discerning bridegrooms, this blend of fine fabrics, vibrant colours and rich textures that is
ideal for occupyingcentre stage & making weddings a grand, special affair.”
The collection costs from Rs. 400 – Rs. 1000/- and is available across 1,00,000 MBOs in India, apart from the 120 odd
exclusive flagship showrooms of Siyaram's Shop. It is supported by strong pan India Print, Outdoor & digital campaigns that are expected to scale
up the awareness and visibility of the collection.
The entire range of Powerplay is exclusively available at select retail outlets. It is an ideal choice to get that perfect corporate look for
conscious youth who opts for stylish formal wear to create an impression in their workplace. Keeping in mind the young age
segment that Mistair caters to, Powerplay has been offered in vibrant colours, thereby making it a complete techno-commercial collection.
Siyaram Silk Mills had always been a conservative brand which works on principles. This is the first time that they have ventured into a
movie association which is their next step towards being accepted as a youth brand . They would look at many such associations in future.
meant for a pro-fashion persona like me.
Purito, as the name reflects is the collection of pure plain colours which gives the consumer more than 50 different variations to choose
from. The major attraction of Purito is a range of Pure Whites which is available in 125 Lea. Vivante as the name suggests is the unique
collection made from 150 Lea presented in various colours. Both the collections are available in 1,00,000Multi Brand Outlets in country.
Textile Value Chain | April - June 201310
13. Raymond, Rajasthan Govt sign MoU to set
up the State's first Tailoring Centre
Centres to be located at Jaipur,
Jodhpur
Raymond to educate, empower and
uplift tailoring community,
underprivileged youth, minority
community and women in the State
State Govt. to provide infrastructure
Follows successful implementation in
Bihar last year; the Centre offered
placements to first batch of students in
March 2013
Jaipur, April 4, 2013: Raymond Ltd., India's
leading manufacturer and retailer of fabrics
and garments, today signed a Memorandum
of Understanding (MOU) with the Rajasthan
Industries Department towards setting up of
the innovative Raymond Tailoring Centres in
Jaipur and Jodhpur, with the support of
Rajasthan Skill & Livelihood Corporation.
To be set up in BaisGodown Industrial
Area, Jaipur and near the Rotary Circle,
Jodhpur in 6000 sq.ft of built-up area each,
Raymond Tailoring Centres will impart
tailoring skills to underprivileged youth and
tailors. This is an ideal example of Public-
Private-Partnership as Raymond will provide
state-of-the-art machinery and trainers for
the centres while infrastructure will be
provided by the Industries Department and
Rajasthan State Livelihood Development
Corporation. The Center shall train over
500 students per year in various aspects of
tailoring including suit, shirt and trouser
making over the next five years. The
minimum qualification for admission to the
Raymond Tailoring Center is 8th
standard pass.
Talking about this association, Mr Sunil
Arora, Additional Chief Secretary of
Industries Department, Govt of Rajasthan
said, “This is a unique opportunity that the
Rajasthan Govt. wishes to offer the weaker
sections of the society towards building a
skill. This, we believe, is an integral part of
our plans to empower the people of
Rajasthan and help them lead a quality life. It
is commendable that leading companies like
Raymond are coming forward to participate
in developing the minorities and weaker
sections of the society. The State Govt. is
giving Raymond a built-up infrastructure to
run this Tailoring Centre.”
Mr. Aniruddha P. Deshmukh, President
– Textiles and Retail, Raymond Limited, said,
“We are pleased to unveil our plans to launch
the Raymond Tailoring Centre in an
illustrious state like Rajasthan. The Raymond
Tailoring Centre will help the tailoring
community acquire professional skills, thus
encouraging the youth of the State to find
value in pursuing tailoring.
Mr Ram Bhatnagar, Vice President –
Emerging Businesses, Raymond Limited
added, “Considering technological
advancements in the sector, The
Raymond Tailoring Centre module includes
training candidates on the latest modern
machinery and use of best tailoring practices,
all at no financial expense to students. Special
focus shall be given to encourage women to
pursue our programs through reservation
for them. We are proud to have the support
of the Govt. of Rajasthan for this unique and
innovative initiative.”
Raymond is taking pioneering steps in
developing the ecosystem of the sector. The
company believes in the ideology of
'growing together'. It has been the
company's endeavour to rejuvenate the
fading art of tailoring and in this direction has
initiated several steps. The Centre holds the
vision of imparting training skills to
unemployed, underprivileged youth and
existing tailoring community, be their
upgrading their current skill sets and
e n c o u r a g i n g e m p l o y m e n t a n d
entrepreneurship. This training helps them
upgrade their tailored product quality in
terms of finish and style, earn better revenue
and thereby improve their social and
economicstatus.
Raymond Tailoring Setup in Rajasthan
CORPORATENEWS
Advt.
14. INVISTA is one of the world's
largest integrated producers of
polymers and fibres, primarily for
nylon, spandex and polyester
applications. INVISTA's global businesses
deliver exceptional value for customers
through technology innovations, market
insights and a powerful portfolio of global
®
trademarks including COOLMAX fabric,
® ® ®
CORDURA fabric, freshFX fibre, LYCRA
® ®
fibre, SUPPLEX fabric, TACTEL fibre, and
®
THERMOLITE fabric.
Jan 2013
INVISTA teamed up with toARVIND
build new roads into the high potential global
denim market. This association seeks to bring
to India the best of technologies from
INVISTA together with the denim fabric
making expertise of ARVIND, to piece
together an eventful journey for the Indian
denim market going forward.
LYCRA® brand owner INVISTA
announced that it had joined the Sustainable
Apparel Coalition (SAC). The SAC is a
group representing more than 60 leading
apparel and footwear brands, retailers,
suppliers, nonprofits and nongovernmental
organisations working to reduce the
environmental and social impacts of apparel
and footwear products around the world.
The SAC's main focus is on sustainability in the
clothing and footwear industries.
Feb 2013
launched its latest range ofARVIND
stretch denim fabrics with LYCRA® fibre at
t h e m u c h a w a i t e d ' L Y C R A ®
RENDEZVOUS'. This launch brought
together the best of INVISTA's textile
innovations together with the denim fabric
making expertise of ARVIND. Thus
establishing a milestone within the Indian
denim market innovation journey. Arvind
stretch denim with LYCRA® fibre was
launched under two key themes of Denim
glam and Pop vintage. Aamir Akhtar, CEO,
ARVIND Denim said, “From Arvind, we
ensure a stretch that performs and stretch
which provides freedom to the designer to
create a fashion denim he/she would want to
create. We have also mastered extremely
difficult stretches with LYCRA® fibre like
Stretch Selvedge Denim, Stretch Jacquard
Denim, Super soft high recovery excel stretch
denim and many more”.
LYCRA® brand owner INVISTA
announced its collaboration with global sports
and lifestyle brand on a new premiumPUMA
product innovation in performance apparel.
PUMA unveiled a range of training tights,
shorts and tops this month: PUMA ACTV and
PUMA RCVR. Both take performance wear
to the next level, by utilizing LYCRA® SPORT
fabric in a first-to-market use of both athletic
taping and enhanced compression within the
garments. PUMA ACTV has been awarded
the sports industry 'ISPO Gold Award' quality
seal in the Compression Apparel category, at
ISPO 2013.
offers its andINVISTA COOLMAX®
THERMOLITE® fabric technologies to cater
to the performance socks category in the
Indian textile and apparel market. INVISTA is
working across the value chain from spinners
to socks knitters to retail brands and thereby
facilitating the development of performance
socks in the country. Packed with moisture
management technology and comfort,
COOLMAX® Socks cater to the end-
consumer's need for dry comfort and high
performance. Mr. Rohit Pal, Regional
Managing Director, Renfro Europe and Asia
states, “Renfro Corporation is the largest
global hosiery company in the world. Renfro
India is the market leader in domestic as well
as export market in the country and has a
portfolio of 10 licensed brands and exports.
Globally Renfro Corporation and locally
Renfro India lead technological innovation,
selling more than 700 million pairs of socks
globally. COOLMAX® Socks offer to the
retailers an innovative yarn with several
performance characteristics and are being
widely used by several licensed brands.”
March 2013
I N V I S TA ' s c o n c l a v e ' LY C R A ®
RENDEZVOUS' at the Taj Palace, New Delhi
witnessed leading mills and brands from the
textile and apparel industry such as
Vardhaman, Banswara Syntex, Arvind Limited
- Denim, Mafatlal Denim etc. The curtains
opened to an action packed day, full of
insightful discussions and product showcase
by INVISTA's key customers, launch of its
latest innovation LYCRA® T166L fibre,
unveiling of ARVIND Stretch Denim
powered by LYCRA® fibre, futuristic panel
discussions amongst the best of think tanks
from the industry and a scintillating denim
fashion show. The new product offering by
INVISTA - LYCRA® T166L fibre has been
especially designed for robust processing
performance in the manufacturing of stretch
woven fabrics and possesses good recovery
and low growth that are essential
requirements for the denim industry.
INVISTA also showcased its global denim
concept collection for Spring/Summer 2014.
The collection encompasses innovative
garments highlighting INVISTA's key
technologies for denim including TOUGH
MAX™ LYCRA® fabric, XFIT LYCRA®
fabrics, LYCRA® dualFX® fabrics and
COOLMAX® fibre and new under key 3
themes - Fantasy, Reality and Harmony.
Featured styles under Fantasy comprise of
pearlized coatings, reflective surfaces,
coloured weft yarns, prints and tie-dye
effects; Reality features simple evergreen
denim structures and neon colours;
Harmony collection represents performance
denims with knit inspired jacquard weaves of
cotton and LYCRA® fibre.
Latest Offerings from the World of INVISTA
April 2013
INVISTA, added on to the Indian textile
innovation landscape as it showcased its 3
premier global innovations, LYCRA®
dualFX® fabric, COOLMAX® BLACK
fibre and THERMOLITE® insulation at the
th
8 edition of Fibres & Yarns exhibition from
April 11 to April 13, 2013 in Mumbai.
LYCRA® dualFX® fabric enables creation of
super stretch denim with extra comfortable fit
that lasts longer. COOLMAX® BLACK fibre
technology supports the growing trend for
black colour in various apparel segments
specially socks and sportswear.
THERMOLITE® insulation from INVISTA is
a high performance offering to the growing
outdoor industry in India.
CORPORATENEWS
Textile Value Chain | April - June 201312
15. Arvind Lifestyle Brands, a subsidiary of
Arvind Ltd, one of the largest players in
the apparel brands and retail space, today
announced an agreement to market and
sell basic and intimate apparel in India
under the Hanes and Wonderbra brands,
two of the largest and well-known global
apparel brands, under a licensing
agreement with U.S. based Hanesbrands
Inc.
Announcing the licensing agreement,
Mr. Sanjay Lalbhai, Chairman & Managing
Director of Arvind Limited said, “This
transaction is a significant milestone as it
signals our entry into the highly lucrative
market of branded apparel essentials with
lingerie and undergarments. This market
segment of branded essentials is
estimated at over Rs. 18,000 crore and is
expected to grow over 18% from
thereon year-on-year. This new market
niche, thus, offers a completely distinct
and promising business opportunity for
us, which will only help further
consolidate our position in the Indian
market.”
CORPORATENEWS
Arvind Enters Agreement for Licenses of Hanes and Wonderbra Trademarks in India and acquires
Hanes Brands India Operations
Arvind Lifestyle Brands Ltd,
recently announced that it has signed a
long term licensing agreement with Iconix
Lifestyle India Pvt Ltd, a JV between Iconix
Brand Group, USA and Reliance Brands
Ltd for Ed Hardy. Ed Hardy is the
alternative lifestyle fashion brand that
celebrates the classic American tattoo as
an art form across apparel and
accessories.
Arvind Lifestyle Brands Limited, will
hold the exclusive multi-year license to
manufacture and distribute Ed Hardy
apparel and accessories throughout India.
Ed Hardy is projected to launch in India
during Autumn/Winter 2013 with a new
global product and price strategy.
J Suresh, MD and CEO Arvind
Lifestyle Brands Ltd & Arvind Retail Ltd.,
said, “Ed Hardy is a well-known
internationally recognized brand and
enjoys the status of a 'cult classic' with
massive fan following and a unique cutting
edge image. We are thrilled to work with
Iconix Lifestyle to bring Ed Hardy into
India. As the brand rolls out in AW13, we
foresee a very successful launch. Ed
Hardy will also substantially strengthen
our portfolio in the youth segment.”
Commenting on the alliance, Darshan
Mehta, CEO of Reliance Brands said,
“Tattoo art has a timeless appeal and Ed
Hardy celebrates its history and beauty by
creating dynamic apparel and related
lifestyle products. We could not ask for a
better partner than Arvind, as they
understand this market extremely well
and are equally committed to growing
the Ed Hardy brand in India.”
“Tattoo art has a timeless appeal and Ed
Hardy celebrates its history and beauty by
creating dynamic apparel and related
lifestyle products. We could not ask for a
better partner than Arvind, as they
understand this market extremely well
and are equally committed to growing
the Ed Hardy brand in India.”
equally committed to growing the Ed
Hardy brand in India.”
Arvind’s Joint Venture & Acqusition
Gerald Evans, Co-Chief Operating
Officer of HanesBrands said, “We are
very excited to enter this licensing
agreement in India for two of the
strongest global brands with Arvind, a
leader in the apparel and retail market.
Our Hanes and Wonderbra brands have
great growth potential in the lingerie and
branded apparel essentials market in
India. We are confident that Arvind
Lifestyle Brands Ltd., which has one of
the largest portfolios of licensed US
brands in India, is the right partner for us
to aggressively expand growth in India.”
“In the past we have focused on and built
a strong position in the Indian menswear,
womenswear and kidswear segments,
with one of the strongest portfolios of
homegrown and acquired global brands.
It was only logical then, that we look at
the branded apparels
segment. The 100-year-old Hanes brand
is the No. 1 apparel brand in the United
States and offers comfortable, high-
quality underwear, intimates, casualwear,
hosiery and socks. A leader in innovation,
Hanes is responsible for bringing to the
industry creative ideas like Tagless tees,
Comfortsoft waistbands and EZ Sort
socks. Arvind plans to increase the
current number of Hanes points of sales
in India from 5,000 to 15,000 in the next
3 years.
In the women's intimates segment
world famous Wonderbra brand of
intimates which is known to empower
women by making them feel sexy and
confident, is expected to be a lead brand.
The Wonderbra brand offers women a
complete line of bras and lingerie.
Market Size of Innerwear Market
Men's Innerwear
Women's Innerwear
Rs. 7,200 Crs
Rs. 10,800 Crs
Rs. 18000 CrsTotal
Organized
Unorganized
CAGR: 18%
60%
40%
Arvind Lifestyle Brands Ltd enters into Licensing Agreement with Reliance Brands & Iconix
Brand Group JV for Ed Hardy Brand in India
Textile Value Chain | April - June 2013 13
“A life spent making mistakes is
not only more honourable, but
more useful than a life spent doing
nothing.”
George Bernard Shaw
16. FEEDBACK FROM INDUSTRY
TVC thanks , for his feedback after reading our issues & stated,Shri. Vijay Raut, VP of Garware Wall Ropes Limited
“Please accept my thanks and congratulations on the success of Textile Value Chain with the objectives of Reshaping
Textile Industry. While much has been written on textile topics, the magazine has topics that are easy to understand with
excellent background information, well documented, explained so clearly, will surely be of great value. Please keep such
fine quality printing and good design. Keep up the good work .”
The Story behind Reality Bites
Textile Value Chain | April - June 201314
TVCCORNER
July – Sept 2013 Issue HIGHLIGHT
Our Cover Story for next issue is In this super competitive world, what is theValue Addition.
USP of your company? What Value do you add to your product/s to be better than your
competitor?
Alongside, we also have the continuation of our section covering, creditReality Bites
ratings, banks and finance institutions regarding their policies of giving loans and guarantees to
textile industry.
We invite our readers and our future subscribers to contact us to share their stories regarding
loans and guarantees for our feedback column and/ or interviews & articles for our next issue.
Also, if you would like to advertise with us be it textile or fashion companies, and banks and
financial institutions; please contact info@textilevaluechain.com ; call : 022-21026386
Correction in Issue Name: Vol 1, Issue 4,
Visual Merchandising & its Effects on Sales Page no: 40
Not mentioned Second Authors' Name
Second Author name along with Dr. Sabita Baruah, DIPTI SALVE Department of Textile Science & Apparel Design, SNDT Women's University
Typing error in Advt. It should read Klassic Fabrics
We deeply regret the errors and did not wish to hurt the concernedintentionally.
Whether we like it or not, India has been affected by the global recession. Our current GDP for 2013 is 6.5%
which was estimated at 8-9% earlier. In these trying times, Textile Industry receiving/ expecting loans and guarantees
from banks and finance institutions has hit rock bottom. Hence it becomes even more imperative that we use our
resources ingeniously and with utmost sincerity.
Our Reality Bites section for our Anniversary Issue covers the current state of affairs of the textile industry, yarn
being one of them. In the next chapter we move to the importance of project planning and management for
companies to function at a higher level of functioning. Further more we have interviewed businesses that are directly
and indirectly related to Textiles, who spoke about their projects and obstacles they face to complete them in timely
fashion. Moving over we interviewed project consultants and project managers to talk about their success stories so
that our Industry can use such services for streamlining their projects.
We will conclude our reality bites section in our next issue where we will cover credit ratings for companies
where the ratings help them to acquire loans. We will also cover banks & finance institutions regarding their policies
of giving loans and guarantees to textile industry be it, MSME's, SME's and industrialists.
With China's equation changing daily, it's a great opportunity for India to realize the importance of Professional
Planning to set up new businesses in India.
17. 15Textile Value Chain | April - June 2013
REALITYBITES Success Story of Yarn & Issues Facing the Textile Industry
Tamil Nadu enjoys a place of pride in the textile map of
India. Tamil Nadu accounts for 47.5 % of the spinning
capacity in the country. Fortunes of the weaving and
garmenting industries are inter woven with the spinning
industry & spinning industry consciously playing its role as a
big brother, which is evident from the fact that despite a
growth rate 7% to 9% of the Downstream sectors, yarn has
maintained a growth are of 12%.
In a Freewheel interview to TEXTILE VALUE
CHAIN, Shri S. Dinakaran, Chairman of SIMA
(Southern India Mills' Association), unravels the
success story of Yarn.
Before the interview started with Shri S. Dinakaran, a
highly respected stalwart of the textile industry started
fielding questions from TVC team; Dr. K. Selveraju, the
ebullient Secretary General of SIMA, who is always
bubbling with new ideas, reeled of statistical dimensions
to the Growth of the Spinning Industry. Dr. Selveraju
explained as follows:
Though yarn production capacity has been increasing
year after year, the growth of yarn consuming segments like
handlooms, power looms and knitting have not grown in
tandem with the capacity building in yarn production. The
handloom segment is shrinking day by day.
Of all the segments, spinning sector has been most
modernized and earned global reputation of being the
reliable supplier of yarns of international quality. It would take
some more time for the downstream segments to upgrade
technology to use the high quality yarn, which attracts
international buyers.
The number of handlooms in the country had come
down drastically to 23.77 lakh looms as per the 3rd National
Handloom Census 2009-10, 28% less than the previous
census (1995)figure of 32.96 lakh looms.
The prime raw material of the Indian Textile Industry
continues to be cotton. Cotton consumption by Non-SSI
and SSI sectors during the year 2012 registered an increase
of 7% over the pervious year. Cotton consumption during
the year stood at 232 lakh bales as against 217 lakh bales in
the previous year.
All yarn production during the year 2012 registered an
increase of 6.4% over previous year's production. While the
production of cotton yarn registered an increase of 9.2%,
production of blended yarn has come down by 1.1% when
compared to previous year's production, production of
blended yarn remained at the same level of previous year
Production of cotton yarn during the year 2012 stood at
3451 million kgs, blended yarn at 802 million kgs and non-
cotton yarn at 455 million kgs while the same was at
3159 million kgs, 811 million kgs and 454 million kg
respectively during the previous year.
Domestic consumption of all yarn during the year 2012
registered an increase of 7.9 per cent over the previous
year's consumption. Domestic consumption of all yarn
during the year 2012 stood at 3672 million kgs, while the
same was at 3404 million kgs last year.
Domestic consumption of cotton yarn during the year
stood at 2632 million kgs, 8.9% higher than the previous
year's consumption of 2417 million kgs.
The country has earned good reputation of supplier of
international quality cotton yarn. Registrations for cotton
yarn exports during the year 2012 stood at 961 million kgs as
against the previous year's registrations of 725 million kgs,
the lower quantity is because of the ban prevailed during the
initial months of the year 2011.
Increased exports during the year had been mainly due
to the shift in China's policy of increased imports of cotton
yarn, because of cost advantage.
Unlike any other textiles manufacturing country, the
country has a number of positive factors to its advantage –
complete value chain, encouragement for upgrading
technology, skilled man power, etc.
At this stage, Shri S. Dinakaran entered into
the dialogue with TVC...
Shri S. Dinakaran
Chairman
SIMA
TVC: TVC is glad to learn that Spinning Industry is about
to hit a sixer in 2012-13 by export of cotton yarn of 1000
million + kg. Tell us how the industry could achieve this
record-bearing hit?
S.D.: The Industry has been subjected to many hurdles such
as power shortage, high cost power, recession, etc. Despite
all these hitches, if the industry could cross the 1000 million
kgs mark, it is mainly because of China factor. China accounts
for 30% of India's cotton yarn exports, while Bangladesh
accounts for 16%. China imports a substantial amount of
cotton yarn from India, as the cost of production in China is
18. 16 Textile Value Chain | April - June 2013
REALITYBITES
higher due to high cotton prices and labour cost. China might
prefer import yarn rather than cotton from countries like
India and Pakistan in the years to come. Hence, India has
good potential to improve its yarn exports.
The biggest employment provider industry had its own
problems and obstacles on the way. The industry is largely
fragmented and needs integration and balanced growth
among various segments to increase the unit value of
exports. Even under difficult times spinning industry is
capable of exporting around 100 million kgs/ month during
the last three months, around 1/3 of production after
meeting the domestic demand fully.
Cut-throat competition can not be avoided in the
globalised era, where every country thrives hard not only to
sustain but also to improve their share in the global market.
The only way is to improve the productivity and achieve cost
advantage. However in this era, not only the cost but also
external factors like conditions of the importing countries,
fluctuation in forex rates, etc., have their say in product
pricing and competitiveness.
Volatility in the prices of cotton, cotton yarn or any other
commodity is natural and can not be avoided. Imposing
unnecessary controls results in adverse effects, which forced
the industry into recession because of controls imposed on
cotton and cotton yarn in the recent past.
The country's textile exports, which had been dependant
on the demand from the US and EU markets had been badly
affected because of demand compression due to economic
recession for the past five years. But thanks to the market
diversification initiatives encouraged by the Govt. and the
industry could venture into new markets. In the future, the
industry is sure to become a significant player not only in
cotton yarn but also in other textile products also
Spinning industry should be taken out of the clutches of
the Hank Yarn Obligation Scheme, which prescribes to
produce at least 40% of the cotton yarn delivered to
domestic market in hank form and of which 80% should be
below 80s count with effect from April 2010. Whereas the
industry is pleading to levy a cess if necessary in lieu of the
obligation else reduce the obligation percentage to 25%.
Since the number of handlooms have considerably
decreased and the yarn production has increased
substantially; practically today the actual cotton hank yarn
consumed by the handlooms would be only around 10%
and majority of the working handlooms have shifted silk to
earn reasonable wages. Yet another irrelevant policy is
Handloom Reservation Act which prevents the power
looms to produce around 21 varieties of fabrics. But, it is
there only in paper. Majority of such varieties are
economically viable only when they are manufactured out of
power looms. Hence, this policy should also be scrapped.
Second-hand loom imports could be encouraged by
reducing / eliminating the import duty since the country does
not have sufficient number of loom producers in the country
and help the powerloom sector to modernize in a cost
effective manner. In turn they would supply cloth to
downstream sectors who in turn would convert them in
to garments and resort to value added exports.
The government should encourage all the links of the
textile value chain and frame comprehensive policies taking
into account all the segments of the industry to become cost
effective and also balance the growth of all segments so that
the country can earn more forex by way of increasing more
value added products. It is a welcoming feature that TUFS
and SITP have been extended in the 12th Five Year Plan with
a targeted investment of Rs.1,51,000 crores. Now, it is
essential to allocate necessary funds for the pending cases,
blackout period (June 29, 2010 to April 27, 2011) and also
sort out various anomalies to create a level playing field and
sustain the financial viability of the affected units.
TVC: As we understand there were many obstacles in
the way. Could you throw light on the same?
S.D.:The Industry is often subjected to recession due to
high volatility in the raw cotton prices. Consequent to the
removal of cotton from Essential Commodities Act from
February 2007, the multinational cotton traders flooded with
cheap funds started dominating the Indian cotton economy.
They procure large volume of cotton during the peak season
(majority of the cotton arrives the market only during
December to March), hoard the cotton and speculate the
prices. Unfortunately, the various Govt. polices relating to
the white fibre like offering export incentive with
retrospective effect, CCI supplying huge volume of cotton
with six months credit facility with bulk discount, export large
volume of cotton during the peak season and creating
artificial scarcity, low stock-to-use ratio (15% to 20% cotton
reserve as against the global average of 40% to 75%), etc.,
are not allowing the industry to achieve a sustained growth.
The industry has been pleading the government to offer
special working capital assistance (at 7% interest rate, 9
months credit facility and reduction of margin money from
25% to 10%) to have a level playing field with the
multinational cotton traders who not only have enormous
funds but also have forward cover facility to protect their
trade. This package would also enable the farmers to get
reasonable price for their produce. But the Govt. is yet to
consider this proposal.
The industry faced its worst crisis during 2010-11
due to unprecedented volatility in cotton and yarn prices
which led many textile companies to erode its working
capital. With continued and consistent persuasion made by
us, the Govt. announced a debt restructuring package of
Rs.35,000 crores in May 2012. However, banks are
stepping back in certain cases and we appeal them to
consider all the applications favourably.
TUFS was temporarily suspended during the period
between 29.6.2010 and 27.4.2011. Expecting and believing
that the TUFS benefit would reach them, many textile mills
during this period invested a lot. This scheme was
suspended without any prior notice and many projects were
rejected because of a delay of few hours. Since the Textile
19. 17Textile Value Chain | April - June 2013
Machinery particularly the spinning machinery delivery
schedule during this period was more than three years and
therefore, the textile mills had to plan the projects in advance
and could not stop in between. Therefore, we expect the
Finance Ministry and Cabinet Committee to consider this
genuine demand. Similarly, the Textile Ministry is denying
TUFS benefits to the units seeking debt restructuring
package. In such cases, we expect the Ministry to extend the
TUFS benefits under the pending cases without further delay
to ease out their financial position and remain healthy.
Yet another problem the industry facing is the sudden
impact created by hike in HSD oil prices. Recently, the
Govt. has hiked Rs.9.25/ litre of HSD oil for bulk purchases
which have a net impact of Rs.11.00/ litre including taxes and
levies. So the industrial units in the power starving States like
Andhra Pradesh and Tamil Nadu which heavily depend on
diesel generators for power generation have to bear the
brunt. What the industry expects from the government is
that the prices should be rolled, exemption from VAT on
HSD oil, which would help the textile mills to reduce their
burden.
TVC: What is your planning for future and what help do
you expect from the authorities in that regard?
S.D.: If the government avoids short sighted and lopsided
polices and announce a comprehensive textile policy, the
Indian textile industry has a tremendous potential to grow.
The government should facilitate getting all the inputs at
internationally competitive rates. The transaction cost
should be reduced. The GST should be implemented at the
earliest without any break or exemptions across the value
chain. Garment sector should become cost effective by
emphasizing on modernizing weaving and processing and
expanding the technical textile segment.
Availability of quality and constant supply of power at
an internationally competitive rate is very essential to
remain competitive. Timely disbursement of fiscal and non-
fiscal support to the industry without turns and twists in the
policies already announced, as these would affect the
industries expansion and modernization plans adversely.
TVC: Yarn has become competitive in China which is
reputed for giving cut-throat competition in textiles.
How could the spinning industry increase export to
China and China shifting its yarn purchases from Pakistan
to India?
S.D.: We understand that the labour cost has become
expensive in China. Hence, China prefers to import all
labour intensive textile products from countries like India and
Pakistan. Currently, it imports large volume of coarse count
yarns from these countries, more from Pakistan. The
enquiries for coarser variety cotton fabric are also good. We
need to quickly upgrade the weaving technology to capture
the international market.
TVC: What would you suggest to make cotton yarns
available to power looms and knitters at reasonably
staple prices, despite volatility in the cotton market?
S.D.: Raw material accounts for 65% of the yarn cost.
Unless the cotton price is stable, it is impossible to bring
stability in the yarn prices. If we look at the cotton and yarn
prices prevailed during the years 2003-2008, they were
stable. The problem started only when the multinational
cotton traders entered the Indian cotton market. Various
trader friendly policies of the Govt. (like high import duty
during 2008, abrupt increase in MSP, 5% export incentive
with retrospective effect, bulk discount and liberal credit
facility offered by CCI, holding of stocks by CCI, exporting
the entire earmarked quantity of cotton in a short span, etc)
enabled the trade to hoard cotton, create artificial scarcity
and speculate on the prices. Hence, during the last five
cotton seasons, there is no stability in the cotton and yarn
prices.
Tamil Nadu which accounts 47.5% of the spinning
capacity has been facing acute power shortage. Hence,
uncertainty in power supply, heavy under utilization of
machines and man power, abrupt increase in captive power
generation cost, steady increase in labour cost, etc., make
the yarn prices unstable.
TVC: As a Textile Analyst, we read a lot about the USA
and Europe on the threshold of achieving a turnaround.
Still there is despondency in the downstream segments of
industry. Kindly comment.
S.D.: I do agree that there is a downward trend for the
demand for textile products in USA and EU countries. But
this will not be so for long time and I expect that the situation
would improve shortly. Moreover, we need to concentrate
on markets in East and far Eastern countries for our products.
We are aware of the problems of downstream segments
especially due to the closure of processing units in Tirupur
and nearby areas following the Honourable High Court
orders. To overcome this problem, the processing units
should shift their base to seashore, treat the effluents and let
it into the marine to remain cost effective. This is only a long-
term option available before the processing units.
TVC: Do you think success story of yarn will induce
Govt. to treat spinning on par with weaving, processing
etc., for the purpose of benefits under TUFS.
S.D.: Indian spinning sector has proved its competitiveness
in the global trade and the same should be sustained in future
for which the Govt. should encourage the spinning but at the
same time encourage the other sectors also to upgrade their
technology and capacity expansion to have an edge in the
global cut throat competition and country's share in the
global textile trade. The Govt. has already decided to give
more thrust on strengthening the weaving and processing
sectors in the 12th Five Year Plan and is expected to
announceattractive schemes under TUFS and SITP.
REALITYBITES
20. There's a well-said quote by Benjamin Franklin
“By failing to prepare, you are preparing to fail”.
Planning is the most crucial aspect for a successful project.
These days, the investors planning to invest in a
manufacturing unit are facing huge problems of project delay
or failures due to various reasons like delayed disbursement
of funds by financial institutions, inappropriate project
management team, inadequate knowledge of project
execution, etc. For a project to be devoid of cost overruns,
schedule delays and poor quality execution, the investor
needs to execute the project with effective project
management methodology.
Project Management: Project management is defined as
the application of knowledge, skills, tools and techniques to
project activities to meet project requirements and
organizing and managing resources so the project is
completed within defined scope, quality, time and cost
constraints. It involves planning, organizing, and managing
resources to bring about the successful completion of the
project. Following is the framework that is generally followed
for successful project management :
18 Textile Value Chain | April - June 2013
REALITYBITES
Project Planning
Mr. Avinash Mayekar
MD & CEO,
Suvin Advisors Pvt. Ltd.
1) Pre-designing, 2) Project Management and
3) Construction Management
1) Pre-designing: In pre-designing, various activities like
Site plan, Master Planning, Drawings for Statutory
Approvals, Utilities Data Collection, Design Conference,
Basic Data Fixation etc. is taken care of. Preparation of
Master plan is done by exploring the various possibilities and
aspects for the suitable development of the site, from the
point of view of Industrial planning and architectural design to
be shown in a site plan, considering effective use of
climatology and natural site gradients & overall planning by
giving due considerations to man, material and
management. The built-up area is fixed by considering
various units, utility area, ancillary buildings, power plant etc.
The prime focus should be given on a “Design
conference” where all the stakeholders such as the client,
Consultants and suppliers contribute to finalize all variables of
the project after considering all other options. This
conference needs to be organized to arrive at building utility
and machinery details from all suppliers & their
recommendations and to freeze all design parameters. As
per approved data of individual units and master plan during
design conference, a basic data fixation report should be
prepared, which would be referred to as a bible and would
forms the basis for further designing & planning, covering
built-up area, statement of utility requirement for machinery,
building specifications, utility requirement and equipment
specifications, design conditions, time schedule and budget.
2) Project Management: Project management revolves
around the objectives of scheduling, effectively estimating
costs, working out cost benefit analysis, preparing file note
with single line diagram, preparation & evaluation of tender,
prequalifying & approving contractors, giving
recommendations and preparation & submission of design &
working drawings.
The geo-technical analysis of the proposed site needs to
be carried out with particular regard to size, surface, shape
and level conditions, load bearing capacity of subsoil and
surface water conditions, water supply, yield of wells,
interpretation of water analysis, drainage, disposal of rain
water & waste water and industrial effluent, electric power
connections, climate and meteorological data, rainfall,
velocity & direction of prevailing winds, municipal/ local rules
& regulations etc. If, in the course of investigation regarding
water supply, load bearing capacity of sub-soil and sub-soil
water conditions, it is found necessary that civil work like
excavation pits, boreholes or load tests has to be carried out,
the same will be carried out. If an up–to–date contour plan
and survey map is not available it should be arranged
accordingly.
Based on geotechnical analysis of the site and master
plan prepared, architectural drawings should be prepared for
infrastructure, production buildings and ancillary buildings.
The primary challenge of project management is to
achieve all of the project goals and objectives while honoring
the preconceived project constraints. Typical constraints are
scope, time, and budget. The secondary—and more
ambitious—challenge is to optimize the allocation and
integration of inputs necessary to meet pre-defined
objectives.
In the Project execution stage, multiple agencies work
together on parallel activities. The challenge lies in constant
monitoring of each activity, quality check and taking mid-
course correction if required, enabling an efficient and
smooth implementation of the project.
There are 3 major steps to be followed for project
management :
Execute & ControlInitiate Prepare
• Scope Manegement
• Workplan Manegement
• Resource Management
( Time, Cost, People)
• Deliverable Management
• Quality Management
• Transition Management
• Vendor Management
Start up
Defination/
Scope/
Requirement
Planning &
Resource
Allocation
Review
Reporting
Completion
&
Assessments
Track & Control
Close
Risk & Issue Management Communication Manegement
21. 19Textile Value Chain | April - June 2013
Architectural drawings include plans, sections, elevation,
doors & window schedule for each building and necessary
details for implementation. Structural design and detailed
drawings includes static calculations of reinforced concrete
or steel construction for buildings, preparation of structural
GA drawings, preparation of RCC designing and drawings.
Utility systems need to be effectively designed to arrive at an
appropriate system, detailed design, scheme drawings and
layout drawings. Following is the sequence of activities to be
followed for Project Management :
Some of the major reasons for project failures or delay in
execution are inadequate project planning, poor scheduling
of projects leading to delays in implementation, misallocation
of funds, lack of accountability and transparency, Lack of
defined, clear, or concise requirements, bureaucracy in
decision-making, weak monitoring systems, lack of team
work etc.
These reasons can be overcome by improved project
management that would resolve most of the issues faced by
the project investor in implementation of the project.
Need of Improved Project Management: Better
project management leads to better predictability leading to
commitments that can be met. Lower cost can be achieved
through reduced rework, better resource management and
better planning. Quality is improved through proper quality
planning and control. Project management aids in better
visibility into project health and state leading to timely
intervention and also helps in better handling of risks
reducing the chances of failure/delay. All this put together
leads to higher project investor satisfaction and self and
organization improvement. This can be achieved by
appointing a proficient project management team within the
organization or a professional project management
consultant outside the organization.
Importance of Project Management Consultant: A
project management consultant has practical experience of
setting up various projects and complete knowledge of the
project execution along with the intricacies involved while
implementing a project. The consultant is cognizant of the
systematic process for managing a project and is able to
answer crucial queries like the goal of the project, the need
for the project, the beneficiaries of the project, probable
obstacles in the project execution etc. With effective
communication and good interpersonal skills, a project
management consultant can efficiently co-ordinate between
various vendors and the project investor delivering the
project within the prescribed time schedule and with
optimum budget.
Implementing a project within prescribed schedule, with
insignificant deviations from budget and maintaining
appropriate quality enable the project investor in saving
around 5-10% of the project cost.
Summary: To summarize, project planning is the key for
executing any project within cost estimates, timely execution
and avoiding repetitive work and delays. The precision
needs to be taken while planning, designing and
implementing any project. As there are various independent
factors involved in project management, a right and
omniscient consulting firm having relevant team with
knowledge of project execution should be appointed which
can assist in giving most favourable end-to-end solutions for
any project.
The work needs to be closely supervised to ensure
timely completion as well as to ensure quality. Schedule of
work for each contract should be monitored. Adequate
resource should be deployed at site. Monthly progress
report should be prepared covering costs, critical decisions
and progress achieved by collecting site reports for material,
labour, work progress. The list of drawings issued and diary
of important events should be maintained.
3) Construction Management: Construction
management revolves around the objectives of resource
planning, micro scheduling & orientation, site supervision,
risk assessment and management, safety & security
measures, material control, quality control, cost control and
successful implementation. Following are the activities to be
followed for Construction Management:
REALITYBITES
Major Reasons for Project Failures/Delay: Project, if
not planned properly, can fail or get delayed indefinitely.
Testing of soil
& Conducting
toppgraphical
Survey
Finalization of
building
Specifications
Cost
Estimation
& Value
Engineering
Preparation
of
tender
drawings
Preparation
of
tenders
Floating &
evaluation
of tenders
Issuing
of
work order
Finalizing
Tenders
Preparation of
good for
construction
Drawings
Issuing of
good for
construction
drawings
Site visit &
coordination
Submission
of montly
progress
report
Preparation
of final
project
report
Preparation
of as-built
drawing
Certification
of RA Bills
Checking of site
& site condition
Analysis &
monitoring of
master schedule
Analysis of
Resources
Day to day site
Supervision
Checking of
quality of
material
Workmanship
Coordination
at site
Implementation
of safety practices
Checking of &
verification of
measurements of
contractor bills
Preparation
of final
report
22. 20 Textile Value Chain | April - June 2013
REALITYBITES Interview - Sel GroupManufacturing Co. Ltd.
TVC: Which markets does SEL group supply?
NG: The value added products of the Company i.e. knitted
garments and terry towels are 100% exports, while the yarn
sales constitute of about 30% of exports. SEL exports to
about 80 countries including entire Latin America, Middle
East, Europe, USA and some African & Asian Countries.
TVC: What is the current market size and share of SEL?
NG: Textile is a very vast field and includes hosiery, apparels,
home textiles, cottons, silks woollens, hand-crafted textiles,
jute & coir, technical textiles, synthetics, etc. The total Indian
textile market would be around 90 billion USD out of which
about 60 billion USD is for domestic consumption while the
balance is exports. Similarly, the global market for textiles
would be around 650 billion USD.
SEL is mainly into yarn, fabric and made-ups like knitted
garments and terry towels. At present, the group is not into
retail segment and caters only to industrial consumers and
big retail chains. Considering the overall huge range of
products in textiles, the market share of SEL would not be
very big. But the thrust and focus of the group is to be one
of top integrated players of textile market.
TVC: Does SEL have any future plans for expansion or
diversification?
NG: SEL has been in expansion mode since its inception.
Recently, we have set up a spinning project in Madhya
Pradesh with installed capacity of about 4.00 lac spindles
which is the largest spinning capacity under one roof in India.
We have expanded the facilities in MP by adding another
SEL is a leading vertically integrated textile
conglomerate operating in various textile sub-
segments. It has facilities right from spinning & knitting,
processing of yarns and fabric, to the value added products
viz. terry towels and ready-made garments. SEL
Manufacturing Company Limited has been ranked as the
10th largest in analysis of the Europe's top 100 Yarn & Thread
Suppliers.
SEL is driven by the vision of building a sustainable,
profitable, growth oriented and socially responsible
corporate through strong and effective systems, committed
teams and satisfied stakeholders. Today SEL group is
recognised as a “System Oriented Management
Supported” corporate.
TVC interviewed the dynamic, insightful and
brilliant Mr. Navneet Gupta, Executive Director &
C.F.O of SEL Group…
TVC: SEL presently manufactures an entire range of
textile products from yarn, knits, fabrics, readymade
garments and terry Towels. What was the vision that
made you enter this entire sector?
NG: The group started as a garment manufacturer with a
vision to create a niche market for itself with quality products.
We believe in creating the best quality garments, procured
from the best quality of raw material (i.e. yarn and fabric).
Secondly, the size of textile markets is growing rapidly
worldwide. Today both international & domestic buyers
want to deal with people where they can be assured of the
supplies. In case of value added products the supply
contracts are for long terms and only the integrated players
can be reliable sources for long term supplies as they are self-
sufficient when it comes to raw material. Thirdly, the
integration gives the group cost effectiveness. Today, when
yarn is moved from spinning division to knitting/towel
division or fabric is moved from knitting division to
garmenting division, the company saves on packing,
transportation, commission etc., which minimizes the risk of
losses in case of price fluctuations.
Therefore, reliability of supplies, assurance of quality and
cost effectiveness promoted the group to enter the
entire value chain. To complement the chain, the group has
also set up a 22 MW Captive Power Plant which is bio-mass
based and uses rice husk as a fuel. Besides giving
uninterrupted and quality power supply, the steam
generated by the plant is used for processing in terry towel
division.
TVC: What is your current Production capacity of each?
NG: The Company has been into continuous expansion
mode since its inception. The current and upcoming
capacities are summarized below:
Category Unit Existing Upcoming Total
Ring Spinning Spindles 6,13,872 4,79,616 10,93,488
Open-end Spinning Rotors 10,680 2,400 13,080
Yarn Processing TPA 9,000 -- 9,000
Knitted fabric TPA 43,050 36,000 79,050
Fabric Processing TPA 6,900 -- 6,900
Terry Towel TPA 21,600 12,600 34,200
Denim fabric million metres
per annum
-- 40 40
Denim garments million pieces
per annum
-- 8 8
Ready-made
garments
million pieces
per annum
20 -- 20
Captive Power
Generation
MW 22 -- 22
Mr. Navneet Gupta
Executive Director & C.F.O,
SEL Manufacturing Co> Ltd.
23. 21Textile Value Chain | April - June 2013
REALITYBITES
2.50 lac spindles. In addition to that, the group is also setting
up an integrated textile project in Punjab which would have
about 2.00 lac spindles and an annual capacity to
manufacture 40 million meters of denim fabric and 8 million
pieces of denim garments. Besides that, the knitting and
garmenting capacities of SEL keeps on adding up. Also, SEL
is constantly on the look out for acquisition opportunities
wherein we have had about 6 acquisitions in the past 3
years, which have added to the capacities of the Company.
TVC: What is the general approach followed by your
company while putting up a project?
NG: Raw material proximity is one of the factors that are
studied while conceiving a project. Land availability and land
prices also play an important role in deciding the project. Our
new MP spinning project, is centrally located and in a cotton
growing belt. It is also close to the ports and land is available
at reasonable prices. Our spinning project in Dist. Muktsar,
Punjab was again set-up because it is a cotton belt and Govt.
of Punjab has a special thrust for development of that region
as a textile hub.
TVC: For execution of projects, does SEL take assistance
from outside consultants or agencies?
NG: Over a period of time the Company has developed a
pool of professionals who take care of the project execution.
The team includes people who are experienced in their
respective fields like civil construction, engineering,
government approvals etc. Besides, there are also fresh faces
which give additional energy to the team. The team is
capable of handling big size projects and implemented the
spinning project in MP in the most efficient and timely
manner. However, in case a need arises, the group is not
averse in taking assistance from outside consultants.
TVC: What are the major infrastructural obstacles?
NG: Power is a major issue. Power consists of about 18%
to 20% of the total manufacturing cost. Availability of power
and also the quality are the areas where we have to really
look into. Industries require uninterrupted power supply at
affordable prices to be really competitive at international
level. Apart from this, land acquisition is another area of
concern.We need to have a clear policy on land acquisitions.
TVC: Do you face obstacles while taking loan from
financial institutions? Is it easy to get Finance from them?
NG: Textile sector may not be a priority area for the
lending institutions. One of the reasons for the same can
be the cyclical nature of some of the products and lower level
of profit margins. However, the textile industry has a track
record of more than a century. Further, with the growing
levels of integration and increasing size of the units the risk
factors are being taken care of. As the manufacturing
capacities grow in size and the industry moves towards
more and more of integration, the shock absorbing
capacities are also increasing. Last one year has been very
good for textile industry and same is likely to continue for at
least next 4-5 years. With this the confidence level of the
banks is also increasing. Luckily, with continuous profit record
and meeting the financial obligations on time, we have never
faced any kind of obstacles in getting finance from the banks.
TVC: Is SEL planning investmentsoutside India?
NG: With increasing purchasing power and young
population, the Indian domestic textile market is growing at a
rapid pace. Further, many manufacturing facilities abroad are
being shut down due to high labour and manufacturing costs,
environmental issues, etc. About 60% of the global
production base is in Asian countries. Today everyone wants
to setup base in India. As such, at present the group is
concentrating on building capacities in India.
TVC: What are the major difficulties SEL faces while
dealing with Govt.?
NG: complexity of variousThe major issues are with
approvals required for setting up and running the projects.
We should have a wheresingle window clearance system
on a single application all the necessary approvals are
granted. This would save plenty of time & effort which can be
rightly used for setting up of the project.
TVC: How would you like the Govt. to assist you to
boost the market of your products?
NG: The Indian Govt. has promoted a number of export
promotion policies for the Textile sector. It has also allowed
100% FDI in textiles under the automatic route. Due to
recent Govt. policies, the Indian textiles industry is in a
stronger position than it was in the last six decades. The
industry which was growing at 3-4% has now
accelerated to an annual growth rate of 8-9% in value
terms. Additionally, initiatives like TUFS, SITP's and ISDS's
are helping to promote the growth of textiles industry in
India. Apart from this, some State Governments like Gujarat,
M.P. & Maharashtra have also given interest subsidy & other
benefits for setting up of projects. These measures go a long
way in reducing the operational costs and making the Indian
textiles industry more competitive in global markets. The
only thing required is stability and certainty of policies.
TUFS blackout period had discouraged the industry and
created very negative impact in the minds of entrepreneurs
due to uncertainty on Govt. regulations. Decisions should
be taken and policies should be framed in the interest of
the Country and not in the interest of various lobbies like
ginners, spinners, weavers, garmenters, etc.
“ There are children's who are working in textile
business in asia who would be prostitute on the
streets if they did not have those jobs ”
Lawrence Summers
27. ADVT.
20- 50 % Faster Projects
200+ Organizations worldwide including
Trident, L&T, Nakoda, Siemens, TATA STEEL
Boeing and ABB
$3.5 Billion impact on Cash and profits.
“WE WERE ABLE TO COMPLETE A YARN PLANT
COMMISSIONING IN 14 MONTHS COMPARED TO
21 MONTHS DONE PREVIOSLY”
Mr. Rajinder Gupta,
Managing Director, Trident Group
Only 3%of infrasturcture projects in
India finished on time and within budget.
Economics Department
Delhi Board of Economics
29. If there is one company in India in the space of
textile engineering that can claim to be a 'single
window solution provider' across the textile value
chain, it is only A.T.E.!
home textiles, synthetics, carpets, a complete range in
processing, lab equipment, utilities which include ETPs (from
its own group company), and air engineering, comprising
humidification and also comfort conditioning (from its own
group company). It also created separate divisions for
accessories and retrofits to drive this business with focus to
promote the use of genuine spares, accessories and retrofits
to help customers to optimize their machine performance
and to conserve resources. ATEEPL is also viewed as a
consulting resource by its customers, in view of its deeply
embedded knowledge in textile processes.
Certified under ISO 9001:2008 for its best quality
practices, the company's 300+ team includes around 200
professionals for sales, marketing and services, out of which
rd
over 2/3 are dedicated to its textile engineering business
alone. The company has eleven branches all across India
(located in Ahmedabad, Bengaluru, Chennai, Coimbatore,
Chandigarh, Hyderabad, Kolkata, Mumbai, New Delhi,
Pune and Surat) and also has residential representatives at
key textile centres like Tirupur, Nagpur, etc.
Passion, Commitment and Excellence
From a humble beginning over 7 decades ago, A.T.E. has
grown organically and inorganically-occupying a centre stage
in the Indian textile industry, while firmly establishing itself in
other areas of business such as clean technology, print and
packing solutions and machine-to-machine solutions. A.T.E.
group now consists of 9 companies, which include
manufacturing units, a project execution company, and an
industrial sale, distribution and service company with a
nationwide network as well as subsidiary in Dhaka,
Bangladesh.
A.T.E. is a leader in textile engineering. Its manufacturing
units in the textile engineering field include its own unit for
high precision spinning machinery components, under the
Mr. Anuj Bhagwati
Managing Director
A.T.E. Group
Mr. G. V. Aras
Director
Textile Engineering Group
Here is a quick overview of ATEEPL's textile
engineering businesses:
Mr. Laxmikant Rathi
Business Head
Spinning Accessories Div.
Spinning machinery and
accessories: ATEEPL has two
separate divisions to handle the
business of spinning machinery
and accessories. ATEEPL
commands a significant presence
in the Indian spinning industry
representing global German
majors:Truetzschler, Zinser
Textile Systems (ZTS),Oerlikon
30. 28 Textile Value Chain | April - June 2013
CORPORATEPROFILE portfolio includes the high precision TeraSpin spinning
machinery components such as spindles and inserts, top
arms, etc. (manufactured by A.T.E. based on SKF
technology), Truetzschler card clothing, original spares for
various spinning machinery, Inspiron flyers, Inarco cots and
aprons etc. The portfolio also includes slub, multi-twist,
multi-count, core spun devices from SKAAT, which help in
value addition in spinning yarn and MAG textile testing
equipment for accurate testing of fibre to garments. ATEEPL
also represents Bajaj Steel, the largest ginning machinery
manufacturer in the world, for the complete range of ginning
and bailing machines.
industry and its name is synonymous with warp knitting.
Lace, tricot and raschel are the main variants of warp knitting
machines.
Karl Mayer has sold over 200 tricot knitting and special
application warp knitting machines for technical textiles such
as home textiles, automotive textiles, sports textiles,
outerwear, shoe fabrics, agro textiles, geo-composites, flex
banner, coating substrates, geo textiles and medical textiles.
Notable customers in this line of business are, BMD, Ginza
Industries, Haria Enterprises, Techfab India, Garware Wall
Ropes and others.
Warp Preparation: Since 2008 Karl Mayer has combined the
synergies of Karl Mayer, Benninger, Sucker and Griffin to
offer one stop solutions for warp preparation for textiles,
technical textiles and indigo denims. Karl Mayer enjoys a
significant market share with a population of more than 850
installations across India with almost all leading mills and
corporate weaving houses.
ATEEPL has promoted Karl Mayer strongly with major
installations at Alok, Bombay Rayon and Fashion, Welspun,
Mandhana, Arvind, Raymond, Sri Shanmugavel, VT Mills,
Loyal Textiles, Himatsingka, Premier, NSL, Nahar,
Vardhman, etc.
geotextiles, filtrations and roofings; Enka Tecnica (Germany)
for spinnerets and jet strips; Wenzhou Seek Benefit
Machinery (China) for spun bond and SMS lines; Luwa for air
handling systems; Ramisch Guarneri (Italy) for calendering
systems; Mahlo (Germany) for GSM monitoring and
moisture measurement systems; Fong's for bleaching
vessels; Monforts (Germany) for coating systems and
Zeller+Gmelin, (Germany)for warp and weft knitting oils.
A.T.E. has also recently tied-up with Tayu Machine
(Xiamen, China), which provides a full range of machines to
suit every need, in the circular knitting sector. The range
encompasses single jersey and double jersey machines. Tayu
also manufactures alloy steel cylinders which add to the
metallurgical strength, thus assisting in effective dissipation of
heat between the knitting elements.
Carpet and Synthetic Machinery: The carpet business has
tremendous potential, driven by a rapidly growing demand
for interior décor both by business establishments as well as
households. With a low per capita consumption of carpets
in India, as well as a rapid growth rate for consumption,
carpet is by far, one of the most unexplored products in
manufactured textile applications in India. Backed by its
domain knowledge in textile applications, A.T.E. has recently
entered into the carpet machinery business, to help the
Indian carpet industry to tap the growing market for carpets.
ATEEPL has tied-up with a number of leading
manufacturers of carpet machinery and equipment around
the world, such as: Zimmer, Austria (carpet printing
ChromoJET and back-coating lines), Cobble Blackburn,
U.K. (machine-tufting), Crabtree, U.K. (carpet looms,
belting looms for producing specialized industrial fabrics for
conveying), EFAB GmbH for robo-tufting, Ornek Makine,
Turkey (heat setting) and Yamuna, India (for indigenous back
coating lines).
ATEEPL has also understood that it needs to take a
strong position in the synthetic textile sector too which
shows very good promise of sustainability and growth. Of
course, it is already into the warp knitting and beam
preparation sector with Karl Mayer equipment, but the need
was felt to enter into the highly competitive as well as highly
capital intensive sectors of POY/FDY lines, PET/PP staple
fibre lines, Continuous Polymerisation (CP) lines,
monofilament lines and tape manufacturing lines, to name a
few. ATEEPL has a very strong line-up of principals in this
sector as well, comprising of world leaders such as
Truetzschler, CTMTC, Huitong and others.
Mr Sunil Bhatnagar
Business Head - Spinning
& Fabric Forming Div.
Fabric Forming : ATEEPL's
Fabric Forming Division
represents Karl Mayer, Germany,
for warp knitting and weaving
preparation equipment.
Warp Knitting: ATEEPL has been
representing Karl Mayer,
Germany, for over 5 decades.
Karl Mayer has a very high
reputation in the Indian textile
Knitting & Non Wovens:
ATEEPL has been present in the
non-woven segment since the
1990s and represents in India a
rich technology basket with a
large number of world class
manufacturers. ATEEPL's
principals in the technical textiles
segment include Truetzschler
Non-wovens (Germany) for
spun lace, thermo chemical
Processing Machinery and
Accessories: ATEEPL provides
a most-complete technology-
package for textile processing for
both woven and knits from global
leaders. Principals handled by
ATEEPL in the processing
segment include Monforts for
stenters for wovens, knits &
technical textiles, CDR (E Control
technology)& MXL ranges; Fong's
Mr. Avinash Naik
Business Head Processing
Accessories & Customer
Service Group
Mr. Vikas Sharan
Business Head - Circular
Knitting, Non-wovens,
Synthetics & Carpets Div.
31. for package & soft flow dyeing machines; Fong's Europe
(Goller) for continuous bleaching and mercerizing ranges for
wovens and knits; Fong's Europe (THEN) for air flow dyeing
machines; Osthoff-Senge of Germany for singeing machine
for wovens & knit fabrics; Mahlo for weft straighteners for
wovens, knits & denim fabrics with modular process control
systems; Stalam of Italy for RF dryers for loose stock, hanks,
tops & hydro extractor for yarn packages; Eliar
Elektromekanik of Turkey for weighing & dispensing systems;
Corino of Italy for balloon padders & wet slit opener; A.T.E.
Envirotech for water & waste water treatment plants and
complete packages for zero liquid discharge system for
textile effluents, Ramisch Guarneri of Italy for calendars for
textiles and technical textiles; Montimac of Italy for grey
preparation lines; Salvade of Italy for loopsteamers and
Zimmer of Austria for digital printing machines; and now
L A C O M f o r c o a t i n g a n d l a m i n a t i o n .
As one could see, this line-up clearly reflects A.T.E.'s
focus on not only the main-stream textile process lines, but
special value adding process as well as post-process activities
including crucial waste disposal and pollution control areas.
ATEEPL has a dedicated set-up for customer support
with 30+ engineers/technologists to provide post-sales
services for a host of state-of-the art textile processing
machines of its local and foreign principals. This team offers a
bouquet of services such as erection and commissioning,
trouble shooting, annual service contracts, performance
optimization, technological assistance, spare parts handling &
training. With a highly competent and experienced service
team, A.T.E. is committed to ensure uninterrupted
productivity and quality, giving its customers a sustainable
competitive advantage. Services of A.T.E. engineers are
sought even by international textile machinery companies
for various kinds of services for their installations supplied all
around the world, which is an eloquent testimony to the
c o m p e t e n c y o f A . T. E . ' s s e r v i c e t e a m .
As in the case of spinning, ATEEPL has also created a
separate business division to promote the business for
spares, accessories and retrofits for processing machinery.
Besides promoting the use of genuine spares for optimizing
machine performance, the accessories and retrofits brought
by this division is designed to save cost, improve productivity
and improve quality at substantially low cost of investments
and with fastest ROI.
Garments Machinery:
ATEEPL has forayed into
garment machinery two years
back and is fast making its
mark in the garment making
industry with the latest eco-
friendly automation solutions
f r o m r e n o w n e d
manufacturers around the
world. ATEEPL's offering will
certainly save man-hours,
reduce energy consumption
Mr. Kanhaiya Prasad
Business Head - Garments
& Home Textiles Div.
Mr. S Rajendran
Business Head
Processing Div.
frame trolleys, box trolleys, batch rotation station and
hydraulic spindle batchers); Valence (antistatic units); MAG
FORM IV
32.
33. Birla Spundyed Viscose Fibre – An Eco Concept for Future Textiles
Sushil Hada, Ravinder Tuteja,
Ganesh Jadhav, Praveen Kumar
& Alkesh Darji,
TRADC, Birla Cellulose, Birladham, Kharach, Gujarat.
Stock dyed fibre /
piece dyeing
Fig. A
Fabric / garment
printing
Spun dyed
Viscose
Pigment &
not Dyes
Parameters
Denier X Cut Length
Shade No.
Denier
OPU %
Conditioned tenacity (Gms/Den)
Conditioned elongation%
1.3d x38 mm
9676
1.3 D
0.35 -0.38
2.58 – 2.61
18 – 20%
Values
34.
35. As per the Table no. 2 & the graphs, spun dyed Viscose
yarn is showing results comparable to the Uster 25% norms
for 30s normal Viscose yarn. All the testing done at
controlled lab conditions of 65% RH with 27±2°c
temperature.
Fabric Quality Reports –
Below mentioned table shows the benefits comparison of
spun dyed viscose fabrics over the piece dyed fabrics. As the
Spun dyed are manufactured by injecting pigments at the
fibre spinning stage, the fastness ratings for the Spun dyed
fabrics are excellent as compared to the piece dyed fabrics.
Colour fading Values –
FIBREFOCUS
Table no. 3
Test
Fastness To Wash
Change in shade
Staining on Cotton
Fastness to Rubbing
Dry
Wet
5
5
5
4-5
4
4
3-4
3
IS
764 -1979
IS
766 - 1988
Spun Dyed
Viscose
Piece Dyed
Viscose
Table no. 4
Original
After 1 wash
After 3 Wash
After 5 Wash
After 10 Wash
5
5
5
5
5
5
4-5
4
3-4
3
Spun Dyed ViscoseWash Sample Piece Dyed ViscoseTest
Method
As per the above mentioned table, spun dyed Viscose shows no colour fading even after repetitive washings. Value 5 denotes
no colour fading & solid appearance where as 1 denotes poor colour fading & fuzzy appearance.
Process savings in Spundyed Viscose Knits -
17
16
15
14
13
12
Uster 5% Uster 5%Uster 25%
RKM Total IPI/Km
Uster 25%Uster 50% Uster 50%Spun Dyed
Viscose
Spun Dyed
Viscose
100
80
60
40
20
0
39. As per 70% of the customers, yarn fuzziness is a common
problem. It is more severe in case of cottons as compared to
A. Bleeding of Embroidery Yarns:
Fig.2 : Comments of Customers on Fuzziness of Yarns
40. 38
E. Puckering of Garment at Stitch Joints:
25
20
15
10
5
0
No.ofpeople
Responce
No. of
people
Responded
Never Rarely Occasionally Often
Fig.4: Comments of Customers on Puckering of Garments at Stitch Joints
Usage Cycles Cotton Synthetic
Woven
% of people given response
63.67
23.3
6.67
6.67
13.3
10
26.6
53.33
16.67
13.3
70
6.67
13.33
56.6
20
3.33
2-3
5-7
8 and
above
3-5
16.67
26.6
56.67
10
10
23.3
63.67
3.3
20
73.3
6.67
3.3
23.3
66.67
66.67
30
63.3
6.67
3.3
3.3
6.67
16.6
73.3
33.3
66.6
13.33
26.6
60
10
23.3
63.67
3.3
16.6
16.6
66.67
6.6
13.3
80
16.6
63.67
20
0.5
1
2
2.5
2
2.5
3
4
2.5
3
4
1
1.5
2
2.5
3
2
2.5
3
3.5
3
4
4.5
5
4
4.5
5
1
2
3
3.5
1
2
2.5
3
3
3.5
4
4.5
4.5
5
3
3.5
4
1.5
2
2.5
5
3.5
4.5
5
4
4.5
5
3.5
4
4.5
% of people given response% of people given response % of people given responseGrading GradingGrading Grading
WovenKnitted Knitted
The solution adopted by manufacturers for such a problem is
to mercerize the yarns which are going to be used for
41.
42. Weaving – Challenges and Opportunities for the SME sector
India has been witnessing rapid modernisation in
almost all fields of technology. This change has touched
lives like never before and continues to do so in more and
more areas of our day to day life. Electronic voting, the
penetration of mobile services are but just two examples.
It is but natural that textiles are also swept along in the
sweeping changes. Like any other industry textiles has also
sought to embrace the new technologies for better products
at lower prices; starting from fibre manufacturing to spinning of
natural fibres and finished garments. Today, we have world
class man-made fibre plants and equally modern and up-to-
date natural fibre spinning mills, especially cotton spinning units
that have placed India on the world map of quality yarn
suppliers.
However, if we take a look at the total textile sector, we
notice that the weaving sector some how still seems to be
struggling. There is lack of adaptation & Upgradation of new
technologies which our competitors like China have taken to
in a big way. It is surprising that in a technology friendly country
like India, which is known for its technical support to the entire
world, we have not adapted in the other sectors.
The reason is not complex to fathom. What has been the
strength and the driving force of the weaving industries growth
in India, is now becoming its biggest obstacle to this
technological absorption; the weaving industry being majorly
in the Small and Medium Sectors. In the past, there has been
exponential growth due to fast and commercial based
decision-making of the owners with adaptation of
technologies where they saw the benefits. Yet, paradoxically
this has also led to retarded growth in the same sector as lack
of management skills forces owners to slow down growth
plans beyond a certain level that are required in today's world
economy. The key difference between India and China is
the volume and scale at which the two operate. No
wonder, China leads and India still struggles to get its expected
market share.
- Sharad Tandon, CEO, Standon Consulting
FABRICFOCUS
Mr. Sharad Tandon,
CEO, Standon Consulting
48. 46 Textile Value Chain | April - June 2013
FASHIONFOCUS Trends and Developments in Apparel and Fashion Technology
Prof. Kalyan Roy
with
Reetipal Singh & Nisha Arora
Department of Textile Engineering, Punjab Technical Univ.
49. 47Textile Value Chain | April - June 2013
colourways, and construction details - are available for reuse
the next season and can be shared easily with suppliers for
quick replenishment.
®
Lectra Fashion PLM gives fashion companies complete
control over operations so that they can continuously
anticipate and respond to consumer demands down to
colour, size, style, and fit for each distribution channel, while
at the same time making supply-side decisions and reacting
quickly and intelligently to external factors, such as
fluctuations in the price of raw materials.
®
Another feature of Lectra PLM is to manage fabric to
reduce costs. Embedded automated marker-making tools
enable fast and effective prototyping, costing, and
production. The material management solution can be used
to optimize markers and increase material efficiency,
generating fabric savings of up to 5%.
2.3 Laser Cutting in Apparel Production: This high
precision and high quality cutting results into high added
value for garment cut by laser. And the high precision one-
time cutting can help garment manufacturers save fabric,
production time as well as labour cost by great measures.
Besides, data for every pattern can be saved in computer for
future use. The need to draw graphics/sketch, cut and keep
cardboard for each size of each style by hand is eliminated.
That is why it is so good for made-to-measure garment and
to make pattern/sample clothes.
FASHIONFOCUS
3. Developments in Management : Supply chain
management through Quick Response & Agile
Marketing: “Managing the Supply Chain to meet
Consumer Demand”. Quick Response Management
emphasizes the beneficial effect of reducing internal and
external lead times. Shorter lead times improve quality,
reduce cost and eliminate non-value-added waste within the
organization while simultaneously increasing the
organization's competitiveness and market share by serving
customers better and faster.
Quick response (QR) is widely accepted and
implemented by retailers of department store type
merchandise. QR is also described as a state of
responsiveness and flexibility in which an organization seeks
to provide a highly diverse range of products and services
to customer/consumer in the exact quantity. Many retailers
have found that they can serve customers better by
implementing QR without reducing profits. A QR strategy is
reported to result in efficiencies, such as quicker deliveries,
faster inventory turns, fewer stock-outs, fewer markdowns
and lower inventory investment. Most companies that have
implemented QR have got positive impacts on their financial
and operating data by increasing profits and/or imparting
better pricing to consumers. The introduction and
implementation of QR are gradually increasing.
Implementation of QR strategies provides a lot of
advantages. It is evident from the previous research that all of
the below economic benefits and advantages to both the
retailers and to the supply chain members have been
obtained because of QR implementation. The benefits of
QR implementation can be tabulated as follows:
Table 1: Advantages of QR implementation
Suppliers' benefits Suppliers' benefits
Reduction of buying
mistakes
Minimization of stock
holding
Quick tracking of
merchandise
Higher stock turn
Improvement of cash flow
Increment of customer
service
Very higher level of profit
Enlarged competitive
advantages
Improvement of
communication
Improvement of planning
systems
Quick access to sales
information
Easy tracking of products
Security of getting more
orders
Improvement of
manufacturing systems
High volume of production
Reduction of stock holding
Higher level of sales
Good profit margin
Getting of competitive
advantages
Enhanced customer
satisfaction & loyalty
The typical disadvantages of implementing QR systems for
the suppliers are:
Installing of IT systems increases the cost.
Increased retailer demands may erode the margin.
4. Fashion Trends and its Developments: The meaning of
latest trends and fashion technology gives an explanation of
fashion as a sign system of cultural change and ethnic
belonging. New trends development depends on the
climate, culture, weather and the textile materials. There are
different fashion trends in different states at different times.
Outfits can be made from different types of textiles to suit
different occasions and climate. Mostly, traditional Indian
preference is using cottons and silk apparels, although, lately
the fashion trend in India is diverting towards western culture
and people prefer to wear western style outfits.
Fashion is a very broad word, fashion never remains the
same and over the years fashion changes periodically and
also repeats with new sensibilities. It is exciting, stylish and
very graceful.
Figure 1.
Clothing Laser Cutting Machine
50. 48
FASHIONFOCUS
Figure 2: Colour
Block Trend
The trend that is
p o p p i n g o u t
everywhere this
season is colour
block fashion trend.
Fun and playful
dresses in striking
combinations are IN.
A mix of hot pink,
emerald green,
tangerine, lemon
yellow, turquoise
and many more
The spring spirit is
embraced in a loud
n e o n c o l o u r e d
dress. From dresses
to shoes, handbags
to hair or nails;
everything was going
neon. The key to
stay true to trend
was not to wear
many neon pieces at
the same time.
Neon coloured
shoes, bags,
Figure 4: Neon
Colour Trend
Figure 5: Maxi
Dress Trend
Feminine and elegant
maxi dress was the
centre of attention for
many. Summery maxi
dress is an essential
p i e c e o f e v e r y
woman's wardrobe.
These long flowing
dresses were flattering,
comfortable and very
smart. There was an
array of styles to
Spring/Summer
2012 season was all
about floral prints.
Floral print trend has
dominated most
runways and now
floral jeans trend is
one of the season's
biggest trends.
Figure 3: Floral
Jeans Trend
Conclusion: The fast changing scenario apparel production
requires enormous expertise, both technological and
managerial, to manage the business. A few developments
and trends are mentioned in this article to understand these
transformations. It is expected that this write-up will
generate further interest in the reader to obtain a
comprehensive idea on the subject.
Reference:
1. www.gprotechnologies.com
2. http://www.researchandmarkets.com/reports/664358/
3. www.lectra.com
4. www.lectra.com/en/fashion_apparel/products
5. Barnes, L and Leegreenwood, G, 'Fast fashioning and
supply chain shaping the research agenda', Journal of
Fashion Marketing and Management, Vol. 10, Issue 3, 2006,
pp-259
The art and work related with the designers is not only
restricted with the designing of clothes but also broadens to
fashion accessories like shoes, bags, jewellery and many
more. The interest in fashion apparel is on endless rise;
accordingly the concerned opportunities and competition
exists. A few of the current trends for Spring Summer
collection are highlighted here to elucidate these facts.
Spring/Summer fashion is all about bright colours and bold
prints. So, it's right time to ditch the dark and heavy winter
clothes and go for something colourful and trendy, must-
have pieces of the season. This season, women fashion
trends feature dazzling prints, eye-popping colours, and
overall, new styles.
vibrant shades are seen on red carpet and street. Colour
blocking effects on clothes are complimented by accessories
like shoes and handbags for a fun-edgy look.
jewellery etc adds to fresh and fun look.
choose from. These dresses were worn with flats and
chunkyjewellery pieces for a gorgeous look.
Textile Value Chain | April - June 2013
“ Be sure what you want and be sure about yourself.
Fashion is not just beauty, it's about good attitude. You
have to believe in yourself and be strong.”
Adriana Lima
51. The Indian Apparel industry, in spite of two recent
global economic crises, is still very optimistic and moving
ahead confidently. India has emerged as a favorable destination
for the world in terms of business operations and investments.
According to a report by “the Assocham-Yes Bank study”, India will
be the most sought after luxury market worth Rs.82,000 cr, 2 yrs.
from now.
The announcement of FDI in retail, which is a great initiative in
today's scenario, brings with it many challenges to the Indian
clothing brands, which are into western-wear category. The scene
will be such that “Only the best will Survive”. Of course many
domestic brands here are at par with international ones in terms of
quality and fit, but we cannot deny the fact that till today we model
ourselves on them and follow them as our mentors. Though the
journey began as knockoffs, 'inspiration' and adaptation of leading
international brands, today most of the domestic brands are
striving for original identity. Our market seems to be more
prepared and resilient to meet the future challenges, the current
example is an initiative by COLOR PLUS new retail strategy to give
shoppers a unique experience by providing a complete look.
In spite of having such a big market, we are still unable to grow
as much as we should have. Indian clothing brands still lack in many
areas. The time has come that we should organize ourselves in all
aspects in order to survive in the current scenario as the real war is
about to begin, when world's leading brands will have their
presence in India. One should not have the misconception that our
domestic brands will not be affected as their presence is in almost
every tier of the society. The fact is just the opposite; international
brands are more aware about Indian demography and know very
well how to penetrate and capture the target market. Their
research, development and marketing strategies are almost
flawless. Lee Cooper had introduced “FAMOUS BASICS” line
many years back to capture the customer segments that wished to
wear the brand at economical prices. The current example is
SUPERDRY, a British clothing brand, who has tied up with Reliance
Brands and are planning to enter Indian market and also targeting
tier-2 cities.
In the market research conducted in different cities like Jaipur,
Mohali, Chandigarh, Jalandhar, Bhatinda, Amritsar, Mumbai, Latur,
during my Trend Forecast Workshops (organized by various
fashion and textile design colleges) surprising facts were revealed.
In view of the current situation, few measures are suggested which
Indian clothing brands should apply to sustain and excel when they
face the storm in the years to come.
1. Sense the Consumer Trend: Today, just the brand name is
not enough. In the survey, consumers were asked to rank the
factors like BRAND NAME, PRICE, FIT AND QUALITY,
INSTORE EXPERIENCE according to their priority. Majority
ranked in the order of “Price, fit and quality, in-store experience
and finally the brand name”. It is really amazing that brand name has
taken the last position. What does this reflect? This is a clear
indication that today if a “Brand / Label” does not provide good
quality at an expected price it will be rejected by their customers.
This is a truly unbiased market, packed with opportunities for even
the lesser-known brands.
2. Customer Service & Knowledgeable Staff: In most of the
brand stores (exclusive or franchise) it was shocking to find that the
Textile Value Chain | April -June 2013
RETAIL Strategy & Innovation - The Only way to Survive
store managers and staff didn't have adequate product knowledge
and information about the brand image. Trained staff is a must in
stores as they are the ones who first interact with the customer
face-to-face and hence can drastically affect the buying. Proper
training on regular basis and measures to motivate them in terms of
career growth and remuneration can be very effective in sales
growth. Each customer today seeks personal attention and should
be carefully handled. So, if along with the pleasant interiors and
appealing window displays, if the store doesn't have trained staff, it's
a matter of great concern.
3. Make the Fresh Arrival ‘Happening’: Another fact in the
survey revealed that most of the customers wait either for some or
the other 'offers or sales periods' for their major purchases. This is a
serious concern for the clothing business because with the flood of
options available to the consumer, the life of the product is
reducing day by day. Brands need to take extra care to develop
some strategies to keep attracting their existing target customers
during the fresh arrivals. Today, brand loyalty is the biggest
question. So, it's very important to hold the existing customers and
at the same time try to increase the horizon.
4. Invest in Innovation & Research: Its high time that the
Indian clothing brands give due importance to product innovation
& research and invest in it. It should not be considered a creative
wastage fund. It is now necessary to understand the importance of
trends and its forecast and give flexibility to the designers to
explore. Another problem with many domestic brands is that they
hire very few experienced designers (freelance or full time) just to
save money. It's not a safe practice and should be strongly avoided
in today's scenario as we have reached a stage where if the brand
doesn't have product identity of its own, it will be difficult to survive
the storm that is underway. One should keep a team of junior
designers depending upon one's need but guided by very
experienced ones, in order to move into the right direction.
5. Strategy - The Key Market Drivers: Proper marketing
strategy is the only solution to gain market share; there are no
alternatives to it. We all understand that clothing business is
seasonal in nature and has lots of constraints in terms of spending in
advertisements or various activities to promote the product. But
still lots can be done to catch the attention of the right customers
for one's product. Exploring newer product categories such as
MATERNITY WEAR, SPORTS WEAR, INNERWEAR etc. can be
very profitable. One should understand the difference between
the brand and the brand image. Spending huge amounts on
advertisements may catch the attention of the customers but may
not lead to sales growth and gaining popularity in terms of brand
image. It needs to be backed with quality product, appropriate
pricing and proper product positioning. Precaution should be taken
in regards of brand image; if a brand doesn't have a strong brand
image it should avoid opening too many exclusive outlets. There
are many initiatives taken by the CMAI to help the domestic brands
and these will surely help the brands in future e.g., the NATIONAL
GARMENT FAIR, which is a wonderful business platform for both
buyers and brands and at the same time attending the various
conferencesduring the fairs can be very helpful.
6. The Real v/s Virtual: Information technology has changed
the world altogether. Having a brand's own website with e-
commerce facility can be very useful in terms of reaching the
customers easily and getting associated with social media for
product promotion and sales. The operational cost of virtual stores
is much lower as compared to real stores. There are immense
opportunities available and just by small efforts we can dominate in
our own market rather than rely on International brands.
Anup Kumar
Owner - UBHO by Anup Kumar
Fashion Designer & Trend Forecaster
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52. 5.1 Management Commitment
6.1 Provision of Resources
8.4.1 Analysis of Data
5.2 Customer of Focus
8.2.1 Customer Satisfaction
8.5.2.1 Corrective Action
