A study commissioned by the Federation of Indian Industries (CII) in Boston on the Indian apparel, garment and textile industry shows that the Indian textile and apparel industry has the potential to create more than 50 million jobs, bring social change and gain global dominance. Advisory Group (BCG).
This research aims to identify key catalysts for achieving breakthrough growth. This work can be achieved through the implementation of goods and services taxes, bold labor reforms, strong export infrastructure, and innovation and technology.
According to CII, as the base of the textile and apparel industry is being transferred from China, it has created a potential market of more than $ 28 billion for other countries. This transformation is already happening in the apparel industry, and it is expected that the fabric and yarn procurement will also undergo a major transformation. Although Bangladesh and Vietnam are the current leaders, the emergence of hubs in Africa (such as Ethiopia) and a strong recovery in US manufacturing, the future prospects may be very different.
Seizing this opportunity can bring huge social and economic benefits to India, which is India's largest female industrial employer. If the industry achieves breakthrough growth, the report estimates that it will create another 50 million jobs by 2025; 70% to 80% of jobs will be owned by women.
"The study estimates that the industry can triple in size over the next ten years, earning US $ 150 billion in foreign exchange annually, and stimulating the apparel, cosmetics and textile industries to reach US $ 300 billion in 2025. The domestic market will also be at least 2.5 The scale of the doubling reached about 150 billion US dollars.
"India is in a unique position to take advantage of this opportunity. We are the only country other than China that has the entire value chain from fiber to fashion, CII Director General Chandrajit Banaji ( Chandrajit Banerjee said: "Cotton and synthetic fibers, a young labor force, a vibrant domestic market and a good export starting point (the second largest exporter of textiles, clothing and cosmetics in the world)".
The study points out that changes in the global apparel, cosmetics and textile industries will be determined by four main factors: a) cost competitiveness, especially the labor / wage structure and energy structure per unit output; b) the convenience of market access (in Tariffs / tariffs and time to market); c) easy to do business; d) technological innovation.