Indian Textile Industry
So before jumping on the impact which the pandemic had on the textile industry let us quickly take a glance at the Indian textile industry. It is one of the oldest industries which contributes to our country’s economy. The Indian textile industry contributed 7% to industrial production (by value) in 201819. The Indian textile and clothing industry contributed 2% to GDP, 12% to export earnings, and maintained 5% of world trade in textiles and clothing in 2018-19.
India is the top jute producer throughout the world and shares 63% of the global textile and garment market. Second in cotton, silk, and global textile marketing. Our textile industry’s prime constituent is cotton production and it plays a significant role in flourishing the industry.
After the impact, it guided us to a way of taking the textile industry on the digital platforms and eventually resulted in increased sales which will continue because day by day we are moving toward a vaster and more developed digital era.
Growth of the Indian Textile Industry
India is domestic to several the main fabric organizations which includes SVP Global Ventures, Welspun India, Grasim Industries, Vardhman Textiles, to call a few. Considering the industry’s increase capacity and employment generation, the authorities delivered the Integrated Skill Development (ISDS) Scheme to deal with the professional labor required to run the numerous textiles zone and their segments.
The textile industry employs around 4.5 billion workers globally, including 35.22 lakh of manual weavers across the country. Cotton production is projected to reach 37.10 million bales and consumption is forecast to reach 114 million bales in fiscal year 21, an increase of 13% year-on-year.
Domestic textile and apparel market was estimated at $ 100 billion in the fiscal year 2019. Raw cotton production in India is estimated at 35.4 million bales in the fiscal year 2020 ^. In fiscal year 19, fiber production in India was 1.44 million tons (MT) and reached 2.40 tons in fiscal year 21 (through January 2021), while yarn production in the same period was 4.762 million kg. Textile exports rose to $ 2.94 billion, as of May 2021.
In July 2021, exports of cotton yarns/fabrics/assemblies, hand-woven products, etc. India increased by 50.86% in June 2021 compared to June 2019.The share of Indian textile and apparel exports in commercial shipments was 11% 20 in 2019.
The developing enterprise figures suggest that our country is about to the touch the USD 185 billion determine via way of means of 2024-2025.
The Pandemic and its Effect on Textile Industry
One of the primary instant consequences of COVID-19 at the Indian textile’s enterprise has been the stoop in income because of tremendous obligatory salesrooms closures. With dealers and the ability of clients to follow strict social distancing norms, the maximum proximate effect of this disaster has been on the general income of textiles and clothing. Arguments are being made as to the efficacy of online retail in such times.
However, for the duration of such crises, with ‘non-essential’ items and offerings debarred from being transacted via online retail, the choice of online trades will not appear to be that feasible an opportunity that would salvage the arena from its disaster of plunging sales.
The different foremost effect of COVID-19 has been at the manufacturing phase of the Indian textile enterprise. With rampant government-mandated fabric manufacturing unit closures all throughout the globe, for those who do now no longer fall beneath the class of ‘essential’ items and services, the world faces one in every of its worst crises in the century. Whether it is India, China, Bangladesh, or Vietnam, the enterprise faces the possibility of extensive disruptions in delivery chains in addition to halted production activity, on ways to canceling orders, and problems in buying uncooked substances from the supply nation, China.
With the low international calls for, maximum textiles and apparels manufacturers are witnessing a surge in their inventories and occasional volumes and values of trade. Even though delivery from China can also additionally enhance over the medium term, India’s fundamental export locations of the likes of US and the EU, also are engulfed within side the crisis. This has adversely affected their call for orders for textiles and apparel, maximum drastically from fundamental international exporters like India.
Taking Indian Textile on Digital Platforms
In 2021, e-outlets showed a huge change through gambling a pivotal position within side the recuperation of the Indian economic system within side the post-COVID-19 era.
The Indian textiles and clothing enterprise has contributed 2.3% to the GDP of India, 13% to commercial production, and 12% to export earnings.
Post-COVID-19, Indian economic system suggests inexperienced shoots of recuperation, the destiny of the web fabric enterprise appears promising with the wake of accelerated home intake after a lockdown, similarly to export call for gambling a critical position.
With one of these large stages of manufacturing, the fabric region showed a remarkable increase.
“In the wake of digital era, E-shops are going to be the most important beneficiary for the Indian textile Industries.”