Transcript Indian emerging market trends in Technical Texitles

WELCOME
TO
PRESENTATION
Ram Asrey Lal
Director,
Government of India, Ministry of Textiles,
Regional Office of the Textile Commissioner, Noida
13.09.2010
 Present Status of the Technical Textile
 Government Initiatives to promote this Industry.
US$ 8.97 bn.
(Rs.41,756 crore)
Domestic
US$ 8.35 bn.
(Rs.38,835 crore)
(93%)
Export
US$ 0.63 bn.
(Rs.2,921 crore)
(7%)
Imports - US$ 0.86 bn (Rs. 4, 000 crore)
( which is approx. 10% of the market size.)
11%
70,151
21%
12%
15196
Figures in bar chart are in Rs. crore
41,756
19130
India contributes 8% to global
market size of technical textiles.
Expected to increase to
10% by 2010.
(US $ Billion)
2007
2010
CAGR
(%)
World technical textiles
116
127
3.16
Indian Technical textiles
8.97
14.29
11.00
India is expected to register higher rate of growth.
 The Indian technical textile industry has presence in all the 12
segments but consumption pattern is different.
 India’s consumption level is different than global level. The top
three segments in the World vis-à-vis India are given below:
Global
(2007)
India
(2007)
Segment
% share
Segment
% share
Mobiletech
24
Packtech
36
Indutech
16
Clothtech
17
Sporttech
15
Hometech
8
Others
45
Others
39
Total
100
Total
100
 MNCs, large scale units, SSI units and cottage units all are present
in this industry.
 SSI sector has significant presence in converting activity.
 Some of the large scale units are given below:
Segment
Leading Manufacturers
Mobiletech
SRF, Century Enka and Nirlon, Bhilwara Textile Mills and Shamken, IFB Auto
Liv India, Abhishek Auto and Bond Safety Belt
Geotech
Supreme Nonwovens Pvt. Ltd, Kusumgar Corporates, Techfab India Ltd,
Garware Wall Ropes, Pacific Non Woven. Strata Geosystems (I) Pvt. Ltd.
Meditech
Johnson & Johnson Ltd., Procter & Gamble Hygiene & Healthcare Ltd.,
Kimberly Clark Lever Ltd. and 3M India etc.
Protech
Rajasthan Spg. & Wvg. Mills, Digjam Mills, Jayashree Textiles, Kusumgar
Corporates, Entremonde Polycoaters.
Agrotech
Garware Wall Ropes, Netlon, Rishi Packers Ltd., Kwality nets, Unimin India Ltd.
Malmo Exim Ltd., Fiberweb
Segment
Leading Manufacturers
Clothtech
Freudenberg Non woven India, Ashima Limited, Ahmedabad, Pasupathi Spinning and
weaving Mills, Sky Industries Limited, Shivam Narrow fabric, Vardhaman Yarn Threads
Limited
Indutech
MRF Limited, Kusumgar Corporates, Khosla Profil Pvt. Limited, Saertex India Pvt. Ltd,
Owens Corning India Limited
Sporttech
Adidas India Marketing Pvt. Ltd, SVG Fashions Limited, Lakhani India Ltd, Reebok India
Ltd, Action Shoes, Bata India Limited, Cosco India Ltd., Liberty Shoes
Packtech
Jai Corp Ltd.,Gloster Jute Mills Ltd. Ganesh Polytex Ltd. Rishi Packers,Bright Packaging
Pvt. Ltd., Priya Fil Group
Hometech
Sleepwell Mattresses,Reliance Industreis Ltd. Ginni Filaments, Lakshmi Cotsyn Ltd.
Kurlon Ltd, Shamken Multifab, Riviera Home Furnishing P. Ltd
Buildtech
Bharat Textile &Proofing Ltd., Entremonde Polyesters Ltd, Mafatlal Industries Ltd. Jindal
Specialty Textiles Limited, Gokak Textiles.
NonWovens
Supreme Non-Woven, Ultra nonwoven, Fiberweb India ltd, Ahlstrom Fibrecomposites
India Pvt. Ltd, Pugalia woollen mills pvt ltd, Associates non wovens, Techfab (India)
industries ltd.
 Production capacity is primarily focussed on
commodity products / not very R&D intensive.
 The technology by and large is traditional. Not
many projects are based on state-of-the-arttechnology.
 High-end products are mostly imported.
 Large
untapped potential exist for potential
investors.
Major items
Polyolefin sacks
FIBC
13%
26753
Soft luggage products
38%
14630
13%
3198
Import intensive items
4086
Figures in bar chart are in Rs. crore
Potential items for
investment
Leno bags
Major items
Labels
Zip fasteners
8%
0.27%
13%
10225
Import intensive items
Umbrella cloth
6833
6908
5395
Potential items for
investment
Umbrella cloth
Interlining nonwoven
Figures in bar chart are in Rs. crore
Major items
Mattress & pillow components
Fibre fill
12%
8748
49%
5025
Import intensive items
Blinds
HVAC Filters
17%
758
1030
Potential items for
investment
Stuffed toys
Figures in bar chart are in Rs. crore
Major items
Nylon tyre cord
Upholstery
10%
5166
23%
3183
9%
1169
1382
Import intensive items
Airbags
Seat belt webbing
Potential items for
investment
Airbags
Seat belt webbing
Figures in bar chart are in Rs. crore
Major items
Sports nets
Sports composites
11%
4761
Artificial turf
17%
2851
8%
1310
Import intensive items
1534
Potential items for
investment
Artificial turf
Figures in bar chart are in Rs. crore
Major items
Fibre glass items
Ropes & Cordages
11%
5437
35%
Glass battery separators
3206
8%
819
Import intensive items
962
Potential items for
investment
Glass battery separators
Figures in bar chart are in Rs. crore
Major items
Tarpaulins
Hoardings & Signages
8%
3232
16%
6%
1051
2157
1182
Figures in bar chart are in Rs. crore
Import intensive items
Hoardings & Signages
Floor & wall coverings
Potential items for
investment
Roofing felts
Major items
Surgical dressings
Surgical sutures
8%
2490
15%
10%
778
1669
933
Figures in bar chart are in Rs. crore
Import intensive items
Artificial implants
Hygiene products
Potential items for
investment
Surgical dressings /
disposables (nonwoven)
Artificial implants
Major items
High altitude clothing
Fire retardant fabrics
10%
2075
26%
Import intensive items
High altitude clothing
22%
1302
348
520
Potential items for
investment
High altitude clothing
Fire retardant fabrics
Figures in bar chart are in Rs. crore
Major items
Fishing nets
Mulch mats
8%
16%
811
8%
553
261
304
Figures in bar chart are in Rs. crore
Import intensive items
Green house fabrics
Potential items for
investment
Green house
Mulch mats
Scheme for Growth and Development of Technical
Textiles(SGDTT)
To tap the potential of technical textiles and to unleash the investments in
this industry, the govt. has launched Scheme for Growth and
Development of Technical Textiles (SGDTT) during 2007-08.
SGDTT comprises of 3 components:
i.
Baseline survey of technical textile industry,
ii. Creation of awareness
iii. Setting up of Centres of Excellence (COEs)
Baseline Survey Of Technical Textiles Industry in India
 To strengthen the database of technical textiles industry,
the ICRA Management Consultancy Services (IMaCS)
was appointed to conduct the baseline survey at a cost of
Rs 54.50 lakhs.
 The agency has submitted the report and the same has
been approved & placed in the exclusive website for
technical textile : www.technotex.gov.in
The report
contains market size of 12 segments, potential of
technical textiles and details of producers, importers and
exporters of all categories of Technical Textiles.
Creation of Awareness:
 Seminars/training workshops/conferences
on technical textiles are
being organised by Office of the Textile Commissioner in association
with TRAs / COEs / Textile Associations/reputed foreign associations
in different parts of the country.

Sr. No Financial Year No. of Seminars/ Training
programmes organized
1
2007-08
06
2
2008-09
15
3
2009-10
17
4
2010-11
(as on date)
02
Total
40
Centre of Excellence (COE)
 Govt. has designated 4 COEs for Geotech, Agrotech, Protech and
Meditech segments.
Name of the designated agency
Segment
BTRA & ATIRA
Geotech
SASMIRA, MANTRA and Navsari
Agriculture University
Agrotech
NITRA & IIT, Delhi
SITRA & AC College of Technology
Protech
Meditech
Centre of Excellence (COE)
 Govt. has provided fund support of Rs.43.11 crore for setting up
essential facilities and the COE has to bear the recurring expenditure
and manage the COE on commercially sustainable basis.
 The essential facilities being created in COEs:
• Facilities for testing and evaluation with national
and international accreditation.
• Resource centre with IT infrastructure.
• Facilities for training of core personnel and
regular training of personnel from the industry.
Integrated Skill Development Programme (ISDP)
 Government of India has recently launched the Integrated Skill
Development Programme (ISDP). Under ISDP, it is proposed that
22,000 personnel will be trained in technical textile sector with a cost
of Rs. 18.30 Crores in the year 2010-11 & 2011-12.
Fiscal duty concessions
 Major machinery eligible for 5% concessional customs duty.
 Excise duty on man-made fibre / yarn reduced to 8%.
 Specified technical textile products are covered under Focus Product
Scheme. Under this scheme, exports of these products are entitled for
duty credit scrip equivalent to 2% of FOB value of exports.
Integrated Skill Development Programme (ISDP)
 Government
of India has recently launched the
Integrated Skill Development Programme (ISDP). Under
ISDP, it is proposed that 22,000 personnel will be trained
in technical textile sector with a cost of Rs. 18.30 Crores
in the year 2010-11 & 2011-12.
Fiscal duty concessions
 Major machinery eligible for 5% concessional customs duty.
 Excise duty on man-made fibre / yarn reduced to 8%.
Some of the technical textiles products require mandatory prescription for their
use. MoT has already obtained nominations from the following five Ministries.
The brief description of issues that require concerned Ministries attention for
making appropriate regulatory framework in India are given below:
S. Name of the
No Ministry
1 Ministry of
Health and
Family
Welfare
2
3
4
Nomination
Major recommendation/ Regulatory measures to be taken up
Additional

DGHS and AD, 
MSD

Ministry of
Joint Secretary
Home Affairs (Police
Modernisation)


Chief Engineer 
(Roads) SR & T 
Ministry of
Road
Transport and
Highways
Ministry of
Joint Secretary
Agriculture
(NHM)


5
Ministry of
Defence
Joint Secretary
(Naval
System/Coord)

Encouraging use of Non-Woven disposables health care textiles.
Encouraging use of speciality wound care products like non-woven
gauge, sponges and dressings etc.
Inclusion of non-woven dressings and manmade fibres in Indian
Pharmacopeia.
Encouraging / Promoting use of fire retardant fabrics at public
place like shopping complex , cinema multiplex, hotels, etc
Use of Protective work wear
Mandatory use of Geotextiles for construction of roads
Inclusion of Geotextiles in CPWD manuals and Schedule of Rates
Setting up of Demonstration Centres for encouraging the use of
Agrotextiles
Revision of subsidy to Agrotextile products under National
Horticulture Mission (NHM)
Indigenization of defence protective textiles in our country.
•NITRA has been assigned task on formulation of regulations in respect
of Protective Textiles with a financial outlay of Rs. 25 lakhs. NITRA will
study the legislations/labour laws prevailing with respect to safety wear of
industrial workers in European countries and suitability of such
legislations in Indian context with respect to 64 Indian legislations. The
study is expected to be completed in next six months.
•IMaCS has been selected for preparation of Report & Presentation for
facilitating interactions with the nodal officers of four user ministries for
developing the regulations in Agrotech, Meditech, Protech & Geotech
segment of technical textiles. The study will be carried out at the cost of
Rs. 7.2 lakhs.
 One of the major cause which is hampering the growth and
development of technical textiles is non-availability of
standards for technical textiles products. To quicken the
process of standards formulation by BIS, Textile Commissioner
has set up four committees in four segments of Protech,
Agrotech, Geotech and Meditech. The Committees comprise
of members from Industry, Technical Institutes, Government
bodies with Director of respective COE as Convener. The
Committees were constituted in October, 2009.
 The Committees have been entrusted with the responsibility of
formulation of Standards so that the same could be forwards
to BIS for early finalisation and notification of standards.
 Five
reports
of
the
committee
containing
recommendations/draft standards one each on Geotech,
protech, Agrotech and two reports Meditech segment have
been forwarded to BIS.
Technology Upgradation Fund Scheme (TUFS)
 Technical textile machinery is covered under the Technology
Upgradation Fund Scheme (TUFS) and eligible for 5% interest
reimbursement.
 In the Modified TUF Scheme applicable from 01.04.2007
specified machinery for manufacturing technical textiles are also
eligible for additional 10% capital subsidy. (TUFS is presently
under suspension)
Under TUFS, 423 Technical Textile units with a project cost of Rs.
2628.45 crore have already been sanctioned as on 31.12.2009
From 01.04.2007 to till date, 429 technical textile units have been
registered with this Office of the Textile Commissioner, Mumbai for
availing 10% Capital Subsidy under TUFS for Technical Textiles
with a proposed investment in machineries to the tune of Rs.
2256.86 crores (Approx).
Scheme for Integrated Textile Parks (SITPs)
 Government
provides fund support for creation of common
infrastructure (i.e., compound wall, roads, drainage, water supply,
electricity supply including captive power plant, effluent treatment
plant, telecommunication lines etc.) to the extent of 40% limited to
Rs.40 crore.
 Technical Textiles /non-wovens can come in any such park or can
come together to have its own separate park to get the benefit of
infrastructure support.
Technology Mission on Technical Textiles (Proposed)
Ministry of Textiles is proposing to launch technology
Mission on Technical Textiles with following objectives:
 Standardization, creating common testing facilities
with national / international accreditation, indigenous
development of prototypes and resource center with
I.T. infrastructure.
 Support for domestic & export market development of
technical textiles
Visit
www.technotex.gov.in
www.txcindia.gov.in