The Influx Of Cheap Textiles Into India Has A Profound Impact On Its Textile Enterprises.

With cheap China

Products poured into India, right.

The textile industry has had a profound impact.

According to recent reports from foreign media, zavery is a famous jewelry center in southern Mumbai. Not far from this market is Mulji Jetha, one of the largest textile markets in Asia. It has a history of 136 years.

There are tens of thousands of wholesale stores and some retail stores, which are simple in appearance and have beautiful skylights.

Customers come from Mumbai or farther away. They sit at the white cushion on the floor and bargain with the boss.

Half a century ago, Dhirubhai Amban, the largest private enterprise in India (reliance group), also bought a lot of textiles here.

。

Now the Mulji Jetha market is still very crowded, customers are constantly moving, but the products have changed completely. The fabrics sold are no longer produced by the traditional textile center of India. Chinese textiles have poured into the market like tide.

The erosion of the local textile market reflects the decline of the textile industry in India, when the competitors of neighboring countries have become very flexible.

Kaytee, a clothing manufacturer, supplies products to WAL-MART supermarket. According to Premal Udani, the general manager of the company, the Mulji Jetha market almost didn't sell imports 25 years ago, but now almost no local textile products are available.

"This is even more serious in the fabric industry than in the clothing industry.

Cheap Chinese products have not yet poured into the clothing industry. "

Udani said.

But he is worried that the clothing industry will become the next target.

"If the government does not take long-term measures, the factory may face the risk of disappearance within 10-15 years," Udani said.

In India, the number of employees engaged in textile industry is only inferior to that of agriculture.

India's prime minister, Narendra Modi, hopes that the scale of the textile industry will increase by 3 times, from the current US $110 billion to US $300 billion in 2020.

The change in the Mulji Jetha market proves that this task is urgent.

"Although the textile industry in India is fiercely competitive, especially among upstream enterprises, low prices will squeeze profits from enterprises, which will lead to the closure of enterprises and the investment enthusiasm of the industry.

Moreover, the textile industry can provide a large number of employment opportunities and create foreign exchange. "

He added that the government needed to provide safeguards to ensure a reasonable return for the textile industry in India.

Reliance group is also facing the impact of cheap products in China.

In September 24th, Anil Rajvanshi, chairman of the SRTEPC of synthetic and rayon textile exports, told Arvind Subramanian, India's chief economic adviser, be vigilant against the gradual increase in China's textile imports.

Textile imports amounted to US $850 million last year, Rajvanshi said. "95% of imports are used for trade. These imports have caused losses to the domestic industry, leaving 100 thousand workers idle, and the loss of value added tax chains has led to loss of revenue."

According to SRTEPC data, the number of fiber products in India is 10 billion kg, the number of wool is 6 billion 500 million kg, and the man-made fiber is 3 billion 500 million kg.

The annual compound growth rate of wool is limited to 1.6%, but the scale of man-made fiber has increased 3 times, reaching 12 billion kg.

SRTEPC pointed out that the import of fiber, yarn and other products, such as textile products, should be inhibited, because it seriously damaged the domestic market, resulting in capital loss and employee unemployment.

Babubhai S. Ahir, founder of Challenge Enterpises, a textile enterprise, said that more than 80% of the domestic fiber manufacturers had disappeared due to the influx of cheap Chinese goods.

"Domestic fiber producers can not compete with Chinese enterprises in terms of price.

That's why you see more and more Chinese products in the Mulji Jetha market. "

Ahir says.