During the last ten years cotton
textiles ( including yarn, madeups and fabrics ) and garments have
registered highest rates of growth in exports. The exports of cotton
textiles have grown to Rs 13,028 crores in 1997 as compared to Rs 60
crores in 1961. A significant point to be observed is that the share of
fabrics in total textile exports during 1988 was around 60% which has
declined to 30.77% in 1997.
The USA and Bangladesh continue to be the largest markets of
Indian cotton textiles with a share of over 10% in total exports. South
Asian countries have emerged as the single most important export
destination for cotton textiles .
The rapidly increasing number of cotton/ man made fibre textile mills
has led to the expansion of the spinning sector. Forty percent ie. 1.2
million of the over 3.4 million spindles installed worldwide in 1994
were installed in India. This development coupled with sharp demand rise
in the Eastern countries facilitated leap in cotton yarn exports.
Increased
cost prices of cotton textiles have led to rise in local consumption of
synthetic textiles and decline in cotton textile demand. Nevertheless,
more exportable surplus of cotton textiles is available.
Trade barriers are increasingly falling and scope for expansion is
increasing, thus promising a better export scenario for India. The
abundance of cheap labour, proximity of raw material ie. cotton
especially of the medium and long staple varieties and high capital
utilisation gives a cost advantage to Indian textile industry. 12-15 %
of export growth should be our target and it is very much achievable
within next four or five years.
