"Competition from low cost countries like Bangladesh, Vietnam, Indonesia and Pakistan is the biggest challenge for the Indian textile industry. In the last few years, these countries have given a special impetus to their textile industry and been able to build new capacities with latest technology," Prashant Mohota, MD of Gimatex Industries Pvt Ltd told Fibre2Fashion.com.
Mohota believes that the advantage with these countries lies in competitive cost or at-par cost in terms of labour, power and interest rate, and also in the ease of doing business. Many of these countries have been offered a favourable import condition in many countries like the US and the European Union which ensures an easy trade route.
"They have been able to give India a run for money in terms of capturing the global market," Mohota briefs.
On an additional note, he lists ramping up domestic demand within the country as another major challenge for the industry. Depending on foreign markets for Indian products may prove challenging.
Promoting the use of synthetic textiles is also a major challenge, he further adds.
As a solution, Mohota suggests promoting a 'Brand India' image, cluster approach and innovation, implementation of GST, and a competitive infrastructure for the textile sector.
Click here to read the complete interview
ALCHEMPro News Desk
Receive daily prices and market insights straight to your inbox. Subscribe to AlchemPro Weekly!
marketing@alchempro.com
