India is the world's second largest producer of textiles and garments. Abundant availability of raw materials such as cotton, wool, silk and jute and skilled workforce have made India a sourcing hub. The size of Indian textile and apparel market stood at US$ 89 billion in 2011 and is expected to touch US$ 221 billion by 2020. The industry is set for strong growth, buoyed by both strong domestic consumption as well as export demand. The organised apparel segment is expected to grow at a CAGR of more than 13 per cent over a 10-year period creating enormous opportunities. Apparel constitute a large share in the overall sector, accounting for 69 per cent in 2012 while textile contributed 31 per cent to the total market share. The total exports of textile and apparel sector from India grew to US$ 33.3 billion in FY12 from US$ 17.6 billion in FY06, implying a compounded annual growth rate (CAGR) of 11.2 per cent. The exports are expected to increase further to US$ 82 billion by 2021.h rate (CAGR) of 11.2 per cent. The exports are expected to increase further to US$ 82 billion by 2021. India's growing population has been a key driver of textile consumption growth in the country. Changing lifestyle, rising incomes and increasing demand for quality products are set to fuel demand for apparel. The Government of India (GOI) is taking initiatives to attract foreign investments in the textile sector through promotional visits to countries such as Japan, Germany, Italy and France. The government has allowed 100 per cent foreign direct investment (FDI) in the sector through the automatic route. In the 12th Five Year Plan (2012-17), the government plans to spend US$ 9.1 billion on textiles as against US$ 4 billion in the 11th Plan.

2. 







3. Source: Ministry of Textiles, Planning Commission, Technopak, Aranca Research
Note: CAGR - Compound Annual Growth Rate
58
141
2011 2021P
Domestic Textile and Apparel Industry (USD billions)
Policy support
31
82
2011 2021P
Textile and Apparel Industry Export (USD billions)
61.8
111.8
FY11 FY17P
Total Cloth Production (million Sqr. Mtr.)
Rising per capita income, favourable
demographics and a shift in preference to
branded products to boost demand
Favourable trade policies and superior
quality to drive textile exports
Increase in domestic demand set to boost
cloth production
The domestic textile and apparel industry
in India is estimated to reach USD141
billion by 2021 from USD58 billion in 2011
Textile and apparel exports from India is
expected to increase to USD82 billion by
2021 from USD31 billion in 2011
Total cloth production in India is expected
to grow to 111.848 billion square metres
by FY17 from 61.811 billion square metres
in FY11
CAGR: 10.2%
CAGR: 9.3%
CAGR: 10.4%

4. Source: Ministry of Textiles, Planning Commission, Technopak, Aranca Research
Note: CAGR - Compound Annual Growth Rate
Policy support
Abundant raw material and increasing
demand for exports to boost fibre
production
Changing lifestyle and increasing demand
for quality products set to fuel demand for
apparel
Rising government focus and favourable
policies to support the industry
Total fibre production in India is expected
to increase to 9.886 billion kilogram by
FY17 from 6.585 billion kilogram in FY11
Demand for apparel is likely to rise to
USD122 billion by 2017 from USD65
billion in FY11
In the 12th Five Year Plan, the Government
of India plans to spend USD9.1 billion
against USD4 billion in the 11th Five Year
Plan on textiles
4.0
9.1
11th plan outlay Proposed 12th plan outlay
USD (billions)
6.585
9.886
FY11 FY17P
Total Fibre Production (million Kg.)
65
122
FY11 FY17P
Demand for Apparel (USD billions)
CAGR: 7.0%
CAGR: 11.1%
CAGR: 258%

5. • The engineering sector is delicensed;
100 per cent FDI is allowed in the
sector
• Due to policy support, there was
cumulative FDI of USD14.0 billion into
the sector over April 2000 – February
2012, making up 8.6 per cent of total
FDI into the country in that period
Growing demand
Source: Technopak; Aranca Research
Notes: SITP - Scheme for Integrated Textile Park; FDI - Foreign Direct Investment,
2021 E - Estimated figure for 2020; ASEAN - Association of Southeast Asian Nations
Robust demand
• Increased penetration of
organised retail, favourable
demographics, and rising income
levels to drive textile demand
• Growth in building and
construction will continue to drive
demand for non-clothing textiles
Increasing investments
• Over USD35 billion of
investments have been made
in the textile and clothing
sector during the last four
years, with the cotton textile
segment accounting for
around 75 per cent
Policy support
• 100 per cent FDI (automatic route)
is allowed in the Indian textile sector
• SITP was approved in July 2005 to
facilitate setting up of textiles parks
with world class infrastructure
• Free trade with ASEAN countries
and proposed agreement with
European Union will boost exports
Competitive advantage
• Abundant availability of raw
materials such as cotton, wool,
silk and jute
• India enjoys a comparative
advantage in terms of skilled
manpower and in cost of
production relative to major textile
producers
2011
Market
Value:
USD89
billion
2020E
Market
Value:
USD221
billion
Advantage
India

6. Notes: NTP - National Textile Policy; NTC - National Textiles Corporation; ASEAN - Association of Southeast Asian Nations,
TUFS - Technology Upgradation Fund Scheme; TMC - Technology Mission on Cotton, EU - European Union
• The first cotton
textile mill of
Mumbai was
established in 1854
• The first cotton mill
of Ahmedabad was
found in 1861; it
emerged as a rival
centre to Mumbai
• Number of mills
increased from 178
in 1901 to 417 in
1945
• Out of 423 textile
mills of the
undivided India,
India received 409
after partition and
the remaining 14
went to Pakistan
• In 1999, TUFS was
set up to provide
easy access to
capital for
technological up
gradation
• TMC was launched
to address issues
related to low
productivity and
infrastructure
• In 2000, NTP was
announced for the
overall development
of the textile and
apparel industry
1854-1900
1901–1950
1951-2000
2000 onwards
• NTC started selling few
mills to private
businesses in 2005
• SITP was implemented
to facilitate setting up of
textile units with
appropriate support
infrastructure
• After MFA cotton prices
are aligned with global
prices
• Technical textile
industry will be a new
growth avenue
• Free trade agreement
with ASEAN countries
and proposed
agreement with EU
under discussion

7. Source: Aranca Research
Note: * Including cotton, jute, silk, wool and manmade fibres
The textile and apparel industry can be broadly divided into two segments:
Yarn and fibre (include natural and man-made)
Processed fabrics (including woolen textiles, silk textiles, jute textiles, cotton textiles and technical textiles),
readymade garments (RMGs) and apparel
Key Segments of The Textile Industry
Process
Output
Raw
Material
Ginning Spinning Processing
Garment/
Apparel
production
Cotton,
jute, silk,
wool
Fibre* Yarn Fabric
Processed
fabric
Final
garment/
Apparel
 Woollen textiles
 Silk textiles
 Jute textiles
 Technical textiles
Yarn and fibre segment
Weaving/
Knitting

8. The fundamental strength of the textile industry in India is its strong production base of wide range of fibre / yarns from
natural fibres like cotton, jute, silk and wool to synthetic /man-made fibres like polyester, viscose, nylon and acrylic
India is the world’s second largest producer of textiles and garments
Indian textile industry accounts for about 24 per cent of the world’s spindle capacity and eight per cent of global rotor
capacity
India has the highest loom capacity (including hand looms) with 63 per cent of the world’s market share
India accounts for about 14 per cent of the world’s production of textile fibres and yarns (largest producer of jute, second
largest producer of silk and cotton; and third largest in cellulosic fibre)
Source: Textile Ministry, Aranca Research

9. India's Textile Market Size (USD Billion)Textile plays major role in the Indian economy
It accounts for 27 per cent of foreign exchange
inflows
It contributes 14 per cent to industrial production and
4 per cent to GDP
With over 45 million people, the industry is one of
the largest source of employment generation in the
country
The industry accounts for nearly 11 per cent of total
exports
The size of India’s textile market in 2011 was USD89.0
billion; the market is expected to expand at a CAGR of 10.1
per cent over 2009–21
Source: Technopak, Ministry of Textiles, Aranca Research
Note: CAGR - Compound Annual Growth Rate, E - Estimated
70 78
89
143
223
2009 2010 2011 2016E 2021E
CAGR: 10.1%

10. Shares in India’s Textile and Apparel Sector in 2012Apparel constitute a large share in the overall sector
In 2012, apparel had a share of 69 per cent of the
overall market; textiles contributed the remaining 31
per cent
To improve technical skills in apparel industry
government established 75 apparel training and
design centres across India
National Institute of Fashion Technologies played
pioneering role in growth of apparel industry and
exports
To promote apparel exports 12 locations has been
approved by the government to set up apparel parks
for exports Source: Technopak, Aranca Research
Note: NIFT - National Institute of Fashion technology
69%
31% Apparel
Textile

11. Production of raw cotton grew to 35.3 million bales in FY12,
up from about 28.0 million bales in FY07
During the same period, production expanded at a CAGR of
4.7 per cent; its annual growth was at 4.7 per cent in FY12
Of overall amount of raw cotton produced in the country,
domestic consumption totalled 25 million bales, while 8.5
million bales were exported
Production of Raw Cotton (Million Bales)
Source: Ministry of Textiles, Aranca Research
Note: CAGR - Compounded Annual Growth Rate
one Bale - 217.7 kilogram
28.0
30.7
29.0
30.5
33.9
35.3
FY07 FY08 FY09 FY10 FY11 FY12
CAGR: 4.7%
• Raw cotton and man-made fibres are major segments in this category
• Raw wool and raw silk are other components – their production levels are much lower

12. Production of man-made fibre has also been on an upward
trend
Production stood at 1.231 million tonnes in FY12 with the
figure reinforcing a recovery from 2009 levels
During 9MFY13, production increased to 0.945 million
tonnes from 0.921 million tonnes in the same period last
year
Production of Man-made Fibre (Million Tonnes)
Source: Ministry of Textiles, Aranca Research
1.139
1.244
1.066
1.268 1.285
1.231
0.945
FY07 FY08 FY09 FY10 FY11 FY12 9MFY13

13. Source: Ministry of Textiles, Aranca Research
Note: P - Data for FY12 is provisional
Production of Yarn (Million Tonnes)Production of yarn grew to 5.8 million tonnes in FY12 from
5.2 million tonnes in FY07, implying a CAGR of 2.4 per cent
Cotton yarn accounts for the largest share in total yarn
production; in FY12, the segment’s share amounted to 53.6
per cent
2.824 2.948 2.896 3.079 3.490 3.127 2.938
0.989 1.055 1.016
1.114
1.223
1.246
0.986
1.370
1.509 1.418
1.522
1.549
1.463
1.162
FY07 FY08 FY09 FY10 FY11 FY12 9MFY13
Cotton Yarn Other Spun Yarn Manmade Filament Yarn

14. Source: Ministry of Textiles, Aranca Research
Notes: Sq Mtr is Square meter
Fabric Production (million sq mtr)Fabric production rose to 59,605 million square metres in
FY12 from 52,665 million square metres in FY07, implying a
CAGR of 2.5 per cent
The major segment is cotton yarn, which accounted for
more than 50 per cent in FY12
During 9MFY13, fabric production was 50,553 million
square metres
26,238
27,196
26,898
28,790
31,201
30,570
28,171
19,545
21,173
20,534
22,438
21,663
20,567
14,683
6,882
6,888 6,766
7,769 8,135 8,468
7,699
FY07 FY08 FY09 FY10 FY11 FY12 9MFY13
Cotton 100% Non Cotton Blended

15. Source: Ministry of Textiles, Aranca Research
Note: P - Data for FY12 is provisional
India's textile trade (USD billion)Exports have been a core feature of India’s textile and
apparel sector, a fact corroborated by trade figures
Exports grew to USD33.3 billion in FY12 from USD17.6
billion in FY06, implying a CAGR of 11.2 per cent
FY12 was a particularly good year for the sector, with
exports surging at an annual rate of 19.8 per cent 17.6
19.1
22.1 21.2
22.4
27.8
33.3
2.7 2.8 3.3 3.5 3.4 4.2 5.2
FY06 FY07 FY08 FY09 FY10 FY11 FY12P
Export Import
CAGR: 11.2%

16. Source: Ministry of Textiles, Aranca Research
Note: Others include coir & coir manufacturers and jute,
P - Data for FY12 is provisional
Shares in India’s textile exports (FY12P)Readymade garments was the largest contributor to total
textile and apparel exports from India in FY12P; the
segment had a share of 39 per cent
Cotton and man-made textiles were the major contributors
with shares of 34 per cent and 17 per cent, respectively
39%
34%
17%
3%
3% 4%
Readymade
Garment
Cotton Texttiles
Man-made
Textiles
Handicrafts
Silk & Handloom
Woolen &
Others

17. Source: Annual Reports, Aranca Research
Company Business areas
Welspun India Ltd Home textiles, bathrobes, terry towels
Vardhman Group Yarn, fabric, sewing threads, acrylic fiber
Alok Industries Ltd
Home textiles, woven and knitted apparel fabric,
garments and polyester yarn
Raymond Ltd
Worsted suiting, tailored clothing, denim, shirting,
woollen outerwear
Arvind Mills Ltd
Spinning, weaving, processing and garment
production (denims, shirting, khakis and knitwear)
Bombay Dyeing & Manufacturing
Company Ltd
Bed linen, towels, furnishings, fabric for suits,
shirts, dresses and saris in cotton and polyester
blends
Garden Silk Mills Ltd Dyed and printed fabric

18. Source: Ministry of Textiles, Aranca Research
Note: TUFS - Technology Upgradation Fund Scheme
Increasing investment in
TUFS
• The Ministry of Textiles is encouraging investments through increasing focus on schemes
such as Technology Upgradation Fund Scheme (TUFS) and cluster development activities
• TUFS in now extended to the 12th Five Year Plan, with an investment target of USD31.5
billion
Multi-Fibre Arrangement
(MFA)
• With the expiry of MFA in January 2005, cotton prices in India are now fully integrated with
international rates
Public-Private
Partnership (PPP)
• The Ministry of Textiles commenced an initiative to establish institutes under the public-
private partnership (PPP) model to encourage private sector participation in the
development of the industry
Technical textiles
• Technical textiles, which has been growing at around twice the rate of textiles for clothing
applications over the past few years, is now expected to post a CAGR of 20 per cent over
FY11-17

19. Policy support
100 per cent FDI in
textile sector
Government setting
up SITPs and Mega
Cluster Zones
Increasing loans
under TUFS
Rising demand in
exports
Increasing investments
Growing domestic
and foreign
investments
Commitment of
USD140 billion of
foreign investments
Government
investment
schemes (TCIDS
and APES)
Inviting Resulting in
Increasing demand
in domestic market
Growing population
driving demand for
textiles
Growing demand
Source: Ministry of Textiles, Aranca Research
Note: TCIDS - Textile Center Infrastructure Development Scheme, APES - Apparel Park for Exports Scheme

20. FY14 Union
Budget
Stress On
Mechanisation
Infrastructure
Support
Tax Sops and
Financial
Package
• Zero excise duty for the
cotton and man-made
sector at yarn, fabric and
garment stages
• Reduction in duty for
imported textile
machinery and parts
(to 5.0 per cent from 7.5
per cent)
• Exemption on excise
duty for hand-made
carpets and textile floor
• Allocation of USD10.4
million for apparel parks
under SITP
• A new Integrated
Processing Development
Scheme in the 12th Plan
with an outlay of
USD1041.5 million to
address environmental
concerns of the industry
• TUFS for the textile sector extended to
the 12th Five Year Plan, with an
investment target of USD2.9 billion
• Budget provides USD0.5 billion over
2013–14 for modernisation of the power
loom sector
Source: Budget FY14 - Government of India
Note: SITP - Scheme for Integrated Textile Parks, TUFS - Technology Upgradation Fund Scheme

21. Source: IMF, Aranca Research
Note: F - Forecasts
India‘s Population in billionsBy 2010, India’s population had close to doubled compared
to figures 30 years before
The IMF expects India’s population to touch 1.31
billion by end-2017
India’s growing population has been a key driver of textile
consumption growth in the country
It has been complemented by a young population which is
growing and at the same time is exposed to changing tastes
and fashion
Complementing this factor is rising female workforce
participation in the country
0.68
0.84
1.02
1.19
1.31
1980 1990 2000 2010 2017F
CAGR: 1.8%

22. Source: IMF, Mckinsey global institute April 2010, Aranca Research
Notes: E - Estimates, F - Forecasts
Trends in Per-capita Income in India (USD)
Rising incomes has been a key determinant of domestic demand for the sector; with incomes rising in the rural economy
as well, the upward push on demand from the income side is set to continue
Changing Economic Fortunes by Income
Segments (2010)
-5%
0%
5%
10%
15%
20%
25%
30%
300
600
900
1,200
1,500
1,800
2,100
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011F
2012F
2013F
2014F
2015F
2016F
2017F
Gross domestic product per capita, current prices Growth
1% 3% 7%2% 6%
17%
12%
25%
29%
35%
40%
32%
50%
26%
15%
Globals (>22065.3) Strivers (11032.7 - 22065.3)
Seekers (4413.1 - 11032.7) Aspirers (1985.9 - 4413.1)
Deprived (<1985.9)
2008 2020 2030
Million Household ,100%
Income
segment

23. Source: Ministry of Textiles, Aranca Research
Growing Textile Exports from India
(USD Billion)
Capacity built over years has led to low cost of production
per unit in India’s textile industry; this has lent a strong
competitive advantage to the country’s textile exporters
relative to key global peers
The sector has also witnessed increasing outsourcing over
the years as Indian players moved up the value chain from
being mere converters to vendor partners of global retail
giants
The strong performance of textile exports is reflected in the
value of exports from the sector over the years; In FY12,
textile exports jumped by 19.4 per cent to USD33.3 billion
In the coming decades, Africa and Latin America could very
well turn out to be key markets for Indian textiles
19.2
22.2
21.1
22.4
27.8
33.3
FY07 FY08 FY09 FY10 FY11 FY12
CAGR: 11.6%

24. Source: Ministry of Textiles, Techtextil, Aranca Research
Note: SME - Small and Medium Enterprises, E - Estimates
Technical Textile Industry (USD billion)The major service offerings of the technical textile industry
include thermal protection and blood-absorbing materials,
seatbelts and adhesive tapes
The technical textile industry is expected to expand at a
CAGR of 21.3 per cent during FY12–17 to USD31.3 billion
in FY17
Healthcare and infrastructure sectors are major drivers of
the technical textile industry
The government has supported the technical textile industry
with an allotment of USD1 billion for SMEs and an
exemption in custom duty for raw materials used by the
sector
Government plans to launch a USD44.2 million mission for
the promotion of technical textiles, and cleared plans to set
up a new research centre for the industry
11.9
31.3
FY12 FY17E
CAGR: 21.3%

25. Source: Ministry of Textiles, Technopak, Aranca Research
Note: SME - Small and Medium Enterprises, E - Estimates
Indian Home Textile Industry (USD billion)India’s home textile industry is expected to expand at a
CAGR of 8.3 per cent during 2011–21 to USD8.2 billion in
2021 from USD3.7 billion in 2011
India accounts for 7 per cent of global home textiles trade.
Superior quality makes companies in India a leader in the
US and the UK, contributing two-third to their exports
Indian products has gained a significant market share in
global home textiles in the past few years
3.7
5.5
8.2
2011 2016E 2021E
CAGR: 8.3%

26. Technology
Upgradation Fund
Scheme (TUFS)
• TUFS infused an investment of more than USD43 billion until June 2010;
another USD2.9 billion has been allocated for the 12th Five Year Plan
• Investment was made to promote modernisation and upgradation of the textile industry by
providing credit at reduced rates
National Textile Policy -
2000
• The policy was introduced for the overall development of textile industry
• Key areas of focus include technological upgrades, enhancement of productivity, product
diversification and financing arrangements
Foreign Direct
Investment
• FDI of up to 100 per cent is allowed in the textile sector through the automatic route
Scheme for Integrated
Textiles Parks (SITP)
• SITP was set up in 2005 to provide necessary infrastructure to new textile units; under
SITP, 40 projects (worth USD900 million) have been sanctioned
• The planned outlay for the textiles and apparel sector under the 11th Five Year Plan
(20012–17) was USD2.9 billion

27. For updated information, please visit www.ibef.org
Name of SEZ and
Status
State
Area
(Hectares)
Sector Details
Mahindra City SEZ
(Functional)
Tamil Nadu 607.1
Apparel and
Fashion
Accessories
Mahindra City is India’s first integrated business city, divided
into business and lifestyle zones. It is a cluster of three sector
specific SEZs in Tamil Nadu, for apparels and fashion
accessories; IT and hardware; and auto ancillary. The business
zone provides plug-n-play working spaces. This zone comprises
a SEZ (primarily for exporters) and domestic tariff area (DTA) for
companies targeting domestic market.
Surat Apparel Park
(Functional)
Gujarat 56.0 Textiles
Key industrial units include Safari Exports, Venus Garments,
Benchmark Clothings, P. K. International, Tormal Prints, J.R.
Fashion and Ganga Export.
Brandix India Apparel
City (BIAC)
(Functional)
Andhra
Pradesh
404.7 Textiles
BIAC is an integrated apparel supply chain city, managed by
Brandix Lanka Ltd. It aims to be a end-to-end apparel solution
provider.
(KIADB) (Functional) Karnataka 16129.0
Several
Sectors
Karnataka Industrial Areas Development Board (KIADB) is a
wholly owned infrastructure agency of Government of
Karnataka. Till date, KIADB has formed 132 industrial areas
spread all over the state.
Source: Aranca Research
Note: KIADB - Karnataka Industrial Areas Development Board, SEZ - Special Economic Zone

28. For updated information, please visit www.ibef.org
Source: Aranca Research,
Note: All figures as of 2011-12
• NORTH: Kashmir, Ludhiana and
Panipat account for 80 per cent
of woollens in India
• WEST: Ahmedabad, Mumbai,
Surat, Rajkot, Indore and
Vadodara are the key places for
cotton industry
• SOUTH: Tirpur,Coimabtore and
Madurai for hosiery.
• Bengaluru, Mysore and Chennai
for silk
Major Textile and
Apparel Zones
• EAST: Bihar for jute, parts of
Uttar Pradesh for woollen and
Bengal for cotton and jute
industry

29. M&A activity in the sector has been picking up pace over the years; in fact, from January 2000 to May 2013, more than
482 M&A deals took place, and the trend is expected to continue in FY14 as well
Some of the major M&A deals* are listed below:
M&A Scenario - Details
Period: 1 January 2000 To 1 May 2013
Deals Acquirer Name Target Name Deal size (USD million)
1 Grasim Industries Terrace Bay Pulp 360.0
2 Madura Garments Pantaloon Retail 333.3
3 Himachal Fibres Balmukhi Textiles Pvt Ltd NA
4 BR Machine Tools Pvt Ltd Bombay Rayon Fashions Ltd 721.1
5 Group of investors Provogue (India)Ltd 526.9
6 M C Spinners Pvt Ltd Maxwell Industries 8.47
Source: “M&A,” Thompson ONE Banker, Grant Thornton, CMIE, Aranca Research
Notes: * The value for 290 deals were not disclosed

30. For updated information, please visit www.ibef.org
Source: Ministry of Commerce and Industry, Aranca Research
Note: * - Data for FY13 is up to February 2013
Trends of FDI in Textile Industry (USD Million)100 per cent FDI is approved in the sector
FDI in the sector totalled USD1.22 billion between April
2000 and February 2013
The textiles industry in India is experiencing a significant
increase in collaboration between global majors and
domestic companies
International apparel giants, such as Hugo Boss, Liz
Claiborne, Diesel and Kanz, have already started
operations in India
9
40
90
130
190
160
140
129
165
101
FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13*

31. 1925 1958 1964 1968 1990 1996 2000 2002 2006 2007 2008 2010 2011 2012
Fabrics
Apparels
Woollen Outerwear
Corporate Wear
Furnishings
Retail
Organic
growth in
textiles
Capacity of 40
MM -1996
Acquisition of
ColorPlus -
2002
JV with GAS in
India - 2007
Launch of the
Makers brand -
2011
FY12
USD758
million
turnover
1964
Vertical
integration in
multi-fibres
1980
Transformed
into industrial
conglomerate
FY06
USD364
million
turnover
With more than 18,000
touch points and 670
outlets, the company
has planned another
500 stores by 2015
Notes: JV - Joint Venture; MM - Million Meters

32. 1986 1988 1990 1992 1993 1995 2003 2004 2006 2007 2008 2010 2011 2012
Cotton and
Blended Yarn
Apparel Fabric
Embroidery
Garments - Woven &
Knitted
Home Textile
Polyester Yarn
Organic growth
in textiles
Acquisition of
QS to gain retail
holding in the
UK -2007
Tie-ups With
Global Retail
Giants
JV with NTC -
2008
Focus on speciality
fabrics; plans to
enter in technical
textiles
FY12
USD1.8 billion
turnover
1995*
Financial and
technical
collaboration
through JV
2007 ISO 9001,
2000 and three
other international
accreditations
FY04
USD208
million
turnover
Notes: NTC - National Textile Corporation *In 1995 Alok industries had sets up financial and technical collaboration with Grabal, Albert
Grabher GmbH & Co of Austria to make embroidered products through a joint venture company, Grabal Alok Impex Ltd

33. Welspun India was incorporated in 1985, with presence in more than 50 countries. The company is the world leader in a range of home
textiles products
Growth
Strategy
Global
Brand
Focus On
Innovation
Association
With Top
Brands And
Clients
Focused
Approach
On Home
Textiles
Wide
Distribution
Network
• Capacity - 43,800 MT/Year
• Location - Anjar/Vatpi
• Capacity utilisation - 95 per cent
Terry towels
• Capacity - 45 million metre/Year
• Location - Anjar
• Capacity utilisation - 83 per cent
Bed linen products
• Capacity - 10,151 MT/Year
• Location - Vapi
• Capacity utilisation - 47 per cent
Rugs
Source: Company Presentation, Aranca Research

34. • Welspun contributed 46 per cent to India’s towel exports to the US in 2012
• The company accounts for 25 per cent for bed sheet exports to the US
• Welspun’s key clients are retailer giants such as Wal-Mart, Target, JC Penny, IKEA Christy and Mark & Spencer
Revenue (USD million) EBITDA (USD million)
Source: Company Presentation, Aranca Research
495
537
612
530
FY10 FY11 FY12 9MFY13
CAGR: 11.2%
93 88
124
93
FY10 FY11 FY12 9MFY13
CAGR: 15.5%

35. • Tirupur’s textiles industry stands at USD4.2 billion in FY12 and is globally famous for hosiery products
• The city has more than 5,000 garment manufacturing and job work units, and is one of the most organised processing and
finishing garment clusters in India
• Its hosiery hub became the first textile cluster in India to comply with zero liquid discharge guidelines
Exports from Tirupur (USD billion)• The textiles industry in Tirupur contributes about 80 per
cent to India’s hosiery exports and around 3 per cent to
total export trade
• Tirupur is expected to export textile products worth USD2.6
billion in FY13 compared to USD1.4 billion in FY05
• The Government of India granted the city the status of
Town of Export Excellence
1.4
1.9
2.4 2.5 2.5 2.4
2.7
2.6 2.6
FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13E
Source: Ministry of Textiles, News Articles, Aranca Research
CAGR: 10.1%

36. Immense Growth Potential
• The Indian textile industry is set
for strong growth, buoyed by
both strong domestic
consumption as well as export
demand
• For the near term (2012), the
sector is valued at USD110
billion by the Confederation of
Indian Textile Industry (CITI)
• Estimates by the Alok Industries
Ltd put the sector market value
at USD220 billion by 2020
Private Sector Participation
In Silk Production
• The Central Silk Board sets
targets for raw silk production
and encourages farmers and
private players to grow silk
• To achieve these targets,
alliances with the private sector,
especially major agro-based
industries in pre-cocoon and
post-cocoon segments has been
encouraged
Proposed FDI In
Multi-brand Retail
• For the textile industry, the
proposed hike in FDI limit in
multi-brand retail will bring in
more players, thereby providing
more options to consumers
• It will also bring in greater
investments along the entire
value chain – from agricultural
production to final manufactured
goods
• With global retail brands assured
of a domestic foothold,
outsourcing will also rise
significantly

37. Notes: BTRA - The Bombay Textile Research Association; SITRA - South India Textile Research Association;
NITRA - Northern India Textile Research Association; SASMIRA - Synthetic & Art Silk Mills Research Association
Retail Sector Offers Growth
Potential
• With consumerism and
disposable income on the rise,
the retail sector has experienced
a rapid growth in the past
decade with several international
players like Marks & Spencer,
Guess and Next having entered
Indian market
• The organised apparel segment
is expected to grow at a
compound annual growth rate
(CAGR) of more than 13 per cent
over a 10-year period
Centers of Excellence (CoE) for
Research and Technical Training
• The CoEs are aimed at creating
testing and evaluation facilities
as well as developing resource
centres and training facilities
• Existing four CoEs, BTRA for
Geotech, SITRA for Meditech,
NITRA for Protech and
SASMIRA for Agrotech, would
be upgraded in terms of
development of incubation
centre and support for
development of prototypes
• Fund support would be provided
for appointing experts to develop
these facilities
Foreign Investments
• The government is taking
initiatives to attract foreign
investments in the textile sector
through promotional visits to
countries such as Japan,
Germany, Italy and France

38. The Textile Association (India) (TAI)
72-A, Santosh, Dr M B Raut Road, Shivaji Park, Dadar, Mumbai-
400 028
Telefax: 91 22 24461145
Website: www.textileassociationindia.org
The South India Textile Research Association (SITRA)
13/37, Avanashi Road, Coimbatore - 641 014, Tamil Nadu
Phone: 91 422 2574367, 6544188, 4215333
Fax: 91 422 2571896, 4215300
E-mail: sitraindia@dataone.in
Website: www.sitra.org.in
Northern India Textile Mills’ Association (NITMA)
121, Gagandeep Building (First Floor), 12, Rajendra Palace, New
Delhi- 110 008
E-mail: nitma@vsnl.net, nitma@airtelmail.in
Website: www.nitma.org

39. BTRA: Bombay Textile Research Association
CAGR: Compound Annual Growth Rate
FDI: Foreign Direct Investment
FY: Indian financial year (April to March)
GOI: Government of India
INR: Indian Rupee
NITRA: Northern India Textile Research Association
NTC: National Textiles Corporation
NTP: National Textile Policy
SASMIRA: Synthetic & Art Silk Mills Research Association
SEZ: Special Economic Zone
SITP: Scheme for Integrated Textile Park

40. SITRA: South India Textile Research Association
TUFS: Technology Upgradation Fund Scheme
TMC: Technology Mission on Cotton
USD: US Dollar
Wherever applicable, numbers have been rounded off to the nearest whole number

41. Year INR equivalent of one USD
2004-05 44.95
2005-06 44.28
2006-07 45.28
2007-08 40.24
2008-09 45.91
2009-10 47.41
2010-11 45.57
2011-12 47.94
2012-13 54.31
Exchange Rates (Fiscal Year)
Year INR equivalent of one USD
2005 45.55
2006 44.34
2007 39.45
2008 49.21
2009 46.76
2010 45.32
2011 45.64
2012 54.69
2013 54.45
Exchange Rates (Calendar Year)
Average for the year

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