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Industry calls for innovation to revive textile sector

Industry calls for innovation to revive textile sector

Time of India15 hours ago

Ludhiana: The textile industry of Ludhiana, a city long hailed as the powerhouse of India's hosiery and knitwear sector, is facing an urgent need for reinvention amid rising global competition, bureaucratic red tape, and lack of govt support.
These concerns, alongside future opportunities, were the focus of an event organised by the Confederation of Indian Textile Industry (CITI) along with ITMA.
Titled "Challenges and opportunities in the Ludhiana textile industry," the event saw key industry leaders, experts, and association heads, including representatives from the Confederation of Indian Textile Industry (CITI), United Cycle and Parts Manufacturers Association (UCPMA), and the Knitwear Club.
Jagbir Singh Sokhi, president of the Ludhiana Sewing Machine Technology Park Association, said, "We are no longer those self-reliant Indians. We've become copycats, proud to own iPhones and imported brands, but where is the pride in our own innovations? Where is the spirit of 'vocal for local'?"
A recurring theme throughout the conference was the alarming lack of innovation. Sokhi pointed out how Punjab once led the world in sewing machine production, but in just two decades, Chinese brands like Zach have taken over 75% of the Indian market share.
"They've even handed over machines to local tailors, collecting only a share of their earnings. We are now OE (original equipment) manufacturers for foreign brands, but where is our own brand identity?" he asked.
Vinod Thapar, chairman of the Knitwear Club, emphasised challenges in attracting women to the workforce. A survey conducted jointly by UNIDO and the Knitwear Club years ago found that women excelled in the hosiery sector across countries like China, Bangladesh, and Sri Lanka.
Yet, Ludhiana has only 10% female participation in the sector, leaving a 40% vacuum in workforce potential. Thapar also raised concerns about a lack of workplace infrastructure and facilities for women.
Avtar Singh Bhogal, senior vice-president of UCPMA, was blunt in his comparison of Indian and Chinese industrial environments. "While we are stuck in red tape just to buy land or get clearances, Chinese companies are already producing and exporting finished goods at the price it costs us to manufacture just the components."
He added that Indian bikes weigh 15 kg, while the demand in Europe is for 1.5 kg carbon fibre bikes, which India is ill-equipped to produce due to lack of infrastructure and technology.
Rajesh Bansal, another industry figure, focused on the environmental compliance costs that have hamstrung local manufacturers. "We face serious pollution concerns, but where are the subsidies for effluent treatment equipment? Processing of fibre and fabric manufacturing is lagging due to poor support," he said.
Chandrika Chatterjee, secretary general of CITI, provided some optimism by speaking about the PM MITRA scheme and the Free Trade Agreement with the UK. She emphasised the untapped potential for increasing Indo-UK textile trade, which currently stands at $10 billion but could expand by an additional $4–5 billion. "The world is looking beyond China and Bangladesh. India has a real opportunity here, if we can address the bottlenecks," she said.
Highlighting the urgency to foster innovation and startups in the sector, Suraj Dhawan of ITMA suggested organising hackathons to crowdsource fresh ideas and solutions for industry pain points.
Sidharth Khanna, chairman of NITMA, and other senior members pointed out the need for deeper collaboration between govt bodies and the private sector to overcome export barriers and technology gaps.

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In this interaction, Niti Aayog member and senior economist Arvind Virmani tells ET Digital how MSMEs can learn from international peers, the role of medium enterprises in unlocking growth and what needs to change for small businesses to become global champions of the future. Watch this video for more. ET: What should the MSME sector's strategy be in the backdrop of recent tariff and trade developments, and how can they safeguard themselves in light of such an unpredictable economic landscape?AV: So, as we know, the tariff was suspended. And based on all the information that came in the next couple of weeks—a month or so after that—a lot of US companies were desperately looking for Indian suppliers of the same products. So, I think the opportunity is much greater than the threat. So, in engineering goods, in household items, and in many others, there were reports, textiles, and many other things; they were looking for suppliers in India. So, I think the advice is very clear. 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