Why is India's textile industry, employing up to 10.5 crore people, struggling?

[@anshul9462]

Textile, Footwear, metals, sports items, toys and food processing are most labour intensive sectors. They require labourer with low skills. States like UP, Bihar, MP etc can uplift their population by focusing on these sectors and in turn whole India will benefit. But alas we will focus only on mobile phone manufacturing.

[@pardeeptandon]

lol

[@sugeetsunder7654]

We have been doing exactly that, we have not been focussing on semiconductor or phone manufacturing and that is exactly the problem. However cheap labour you get in, someone will setup an automated plant to make cheaper textile, footwear, etc and out compete you!. BTW under ODOP, the sectors that you talked about are getting a lot of thrust, but it is still very difficult to compete with automated manufacturing.

[@PK-tt5kk]

@@sugeetsunder7654 for working in semiconductor plants you need advanced degrees. Textile, Footwear, metals, sports items, toys and food processing are the only sectors that can provide enough jobs

[@sugeetsunder7654]

@@PK-tt5kk You need the semiconductor industry for all the industries that you mentioned. Manual labour cannot compete with automated industries.

[@anshul9462]

@@sugeetsunder7654 you are not getting the point my friend. No body is against hitec industries. They are also required but they dont generate enough jobs. Fair enough but problem is our country is neglecting those industry which generate job. Many Textile mills in kanpur and allahabad have shut down due to govt neglect. Despite having policy on paper we are not able to increase production capacity of our existing textile industry. This is what is problem

[@farhadfaisal9410]

Restricting competitive imports has not worked in the past and going back there again will not work now. Bangladesh does not even have its own cotton. It imports cotton (not just or, even mainly, from China -- it imports from Pakistan, Uzbekistan, India, USA , Sudan, etc.). Its textile-garment industry's main strength is its productivity. For the world's fifth largest economy to be competitive in the world market, restrictive practices at home is no sound policy. To be competitive there is no sound alternative to increasing the productivity of the sector.

[@DharunRao]

@Radhika Pandey, Your insights are quite detailed, and very knowledgeable outlook on the textile market

[@libshastra]

All of this inverted duty structure mess would be solved if we combined all the GST slabs into one rate. That would also give the Govt space to enact other forms of tax like property tax, transaction tax etc.

[@ThePrintIndia]

Thank you for your comment. You are right, this would solve the inverted duty structure problem. But the issue from the Government's point of view is the loss of revenue from bringing the items in the higher slabs to a lower unified one. Thanks again for watching, subscribing, and commenting! - Sharad

[@ankitmishra55773]

Air freight costs has killed the small exporter..there is no way india will be competitive till the govt doesnt do something for air freight costs...smaller exporters don't use sea for delivery...no one has ever focused on this... delivery costs have increased by 50-60% past 2-3 years + we have no FTAs in EU.. govt has done absolutely nothing for MSMEs..

[@mysmallcap]

What an insightful, informed and superfluous speaker! Thanks for the points.

[@rishabhdhariwal18]

I loved this video, so insightful, and the graphs were very informative. Keep this content up, hoping for some more on the textile industry.

[@theprint_official_tele_gram]

chat me privately ⤴️

[@joshua_ch]

We need to sign FTAs with Canada, UK and work on FTA with EU and GCC quickly. All the talk about inverted duty structures or policy dcuments etc, will be useless till we get some clarity on destination markets where we are competitive. For the moment the best hope is to keep using anti-dumping duties and some NTBs to keep the domestic market.

[@ThePrintIndia]

Thank you so much for your insight and for being a subscriber! Please keep watching and helping us with your comments. - Sharad

[@hitesh11111]

Are you exporting these products?

[@MaheshPatel-nk9fg]

Very good explanation by Radhika Pandey about problems in textile industry. We must support natural fiber agriculture policy for cotton which also, gives rise to cooking oil .

[@harisundar8698]

Highly insightful discussion, expecting more 👍👏🏻

[@shrikantphadke9123]

Thanks for another wonderful and informative episode by Macrosutra. Keep it up.

[@MrYad1234]

In manufacturing of garments India is most uneconomical because of simple things,that come under technology. People may argue on issue of technology, but compare it with china, bangladesh, Vietnam. The difference is really evident by any yardstick.

[@ravindra7791]

Bangladesh is set to loose it's LDC status after 2025. They are lobbying to keep it.

[@sarabjitsingh4442]

Request for an episode on = budget - statement of intent , proposals vs achieved / delivers

[@harshalyerpude6835]

Why they don't invest in high cotton producing regions like in vidarbh regions of Maharashtra

[@hitesh11111]

Very helpful info, besides the Hindu, your team shares good videos on exports ....plz make a series in exports focussed on small and medium exporters

[@theprint_official_tele_gram]

Chat me on my official page ⤴️

[@jonswap9097]

The problem doesn't get concessionary tariffs for exports to US and EU like Bangladesh.

[@amitkumarsanthalia6523]

Need to focus on fiber demand trend also.

[@srinisbir8781]

@5:56 great (sarcastic) steps by UPA government to allow duty free import from Bangladesh. Is there anything UPA could ever do for boosting manufacturing?

[@narenaw4258]

Why can't NDA stop that ?

[@srinisbir8781]

@@narenaw4258 FREE trade agreement cannot be broken so easily. It will lead to diplomatic and international relations. There are a lot of binding agreements signed by UPA that i don't want to go into.

[@narenaw4258]

@@srinisbir8781 nothing wrong to review every 5 yrs, it it hurts us. They are not meant to be permanent. You can’t break it as we want good relations with them. Not to blame upa.

[@shafeeq313alinc]

please do report about footwear industry

[@mudasiramin9762]

Great

[@palashbanerjee5343]

First import duties have to be lowered for cheap machinery and cotton

[@anindyokamalsen4487]

highly insightful discussion

[@ThePrintIndia]

Thank you so much! Your feedback is extremely valuable, and we are very glad that we are living up to your standards. - Sharad

[@dubeya01]

Good stuff

[@muralichundi]

Forget these $100 billion target, first the quality and consistency of the product from India is a big ? . Before they embark on these lofty goals, they need to fix the quality issues. Walk into any Khadi shop and I will find none of the shirts can be worn after washing without ironing or treat it with cooked rice water.

[@theprint_official_tele_gram]

Chat me private on my official account⤴️

[@rajx7120]

Govt should give tax rebate for Indian buyers of Indian textiles. Rich Indians should buy from poor Indians, than asking Europeans to buy the same. We can use Government e-marketplace to list Indian products, and reduce GST on the items.

[@prajakt0789]

The problem is the quanta of rich Indian is very low in proportion.

[@ThePrintIndia]

Thank you for your comments. These are very good ideas. Please keep watching and sending in your comments! - Sharad

[@indrajitnandyrana43]

It's not abt policy but quality n innovation inside industry...even pre pandemic it's in dire state... our product lscs quality n not competitive... Bangladesh selling in India at very high price bcs of their quality... it's not cheap import bcs no product selling at cheap price ... our industry running like its 20 yrs back ... Aldo our scale of Production is low compared to Vietnam Bangladesh Indonesian or China... pls do proper due diligence bfr making a vrdio

[@prajakt0789]

Nothing will change unless we bring in good learned corruption free people to the fore. Congress and bhajp both are the same. The problem is on the demand side not the supply. No number of reforms on the supply side are going to improve the situation. Only inflation is powering this pseudo growth. On ground all are suffering.

[@ravindra7791]

The ASEAN FTA was entered into by UPA ? Or NDA ?

[@srinisbir8781]

It was ratified in 2006, so it is completely UPA.

[@ravindra7791]

@@srinisbir8781 The FTA with ASEAN was a disaster as they are a conduit for cheap Chinese imports

[@khushirawat3754]

thank you so much for such an informative video, especially to Radhika Pandey mam, just want to learn more about it please share your contact details if possible.

[@deepakvt7623]

i dont know where to start but any way i will try to explain everything before fta and gst implementation and all our country has only focussed on manufacturing cotton products we dont have machinery to process man made fibres i think due to this we have limitation in production of man made fibres for that people involved in manufacturing need upgrades so were will the investment will come when every damn thing was destroyed by poor gst policy petrol diesel prices and all every man with debts will become more commited to debts and becomes unable to repay it and then rbi makes it more difficult by increasing the repo rates so when chinese products with very low cost infiltrates our market people like me who was only focussed on manufacturing and trading products on domestic market facing more difficulties when exporters have no option then to only concentrate on domestic market so the competition increased on other hand buying capacities on people fell down very drastically for eg ah retailer who sold goods for 1lakh rupees ah day now only doing buisness for 30k due to this domestic market becomes more and more tuff then ever on other hand last two years our foolish goverment placed cotton under mcx so that cost of ah cotton candy raise from 35k to 1.15 lakh this drastic increase cost reflected in slowing sales again you have missed that point and for retailers they dont get access to chinese imports only tata and ambani are getting access to those products and people are buying them in zudio and reliance trends people who buying there are it peoples and rich peoples buying appareles for low cost and poor peoples buying clothes for everest cost you missed these points and i wish some of you will see my comment and re do the video properly answering these factors which are major key points and other than that our country has strict pollution control policies then bangladesh this also makes cost higher comparing to our manufacturing so please i request redo your video considering these facts

[@kuberchaurasiya]

Same thing indiazis also doing.. buying crude from Russia and processing and selling to EU

[@gautamghosh26]

PLEASE FOR INDIAN SAKE USE LAKHS AND CRORE NUMBER SYSTEM. MILLIONS MAKE COMPLICATED.

[@AbhishekKumar-hu8vz]

The fancy text effect was rather annoying.

[@shamimreza8929]

Bangladesh can manufacture all kinds of accessories and fabrics not import from all thing from China

[@harshsaini9898]

👍👍

[@ivychua4091]

Anything made in Bangladesh I will BOYCOTT no matter how cheap No Thanks

[@3ipl]

Our per capita income is less than Bangladesh by the way. How are we not least developed country?

[@TheDonMan97]

Because we are not a homogeneous country like Bangladesh... We have shit holes with massive population like Bihar and we have well developed states like Southern states which are miles ahead of Bangladesh. Not to mention their economy is essentially a one-trick poney surviving with just RMG exports...

[@hindurashtra63]

1 Americn Dollar = 104 Bangladeshi Rupee 1 American Dollar = 84 Indian Rupee Per Capita Income will always be more for Nations with Lesser Population. Bangladesh seeking Loan from IMF to repay Chinese Debt Trap Loans. Be thankful India has no such thing.

[@Charvak-Atheist]

Sri Lanka's per capita GDP is also double of ours ! So?

[@sksksks5072]

@@hindurashtra63 hahahha dhothis say debt trap debt trap like dog obeying his master usa

[@Bollywoodfaaltuedits]

@@hindurashtra63 what about China's per capita GDP?

[@hemikovsky]

🥰🤣🤣👍Nice. Too late in the day. Go have paan!.

[@harisundar8698]

Highly insightful discussion, expecting more 👍👏🏻

[@ThePrintIndia]

Hi, thank you so much for your feedback! Macrosutra appears once a week, along with a column with the same name. We are also trying to increase our economic videos since there is a demand from you, our valuable viewers and subscribers. Thank you again! - Sharad

[@harisundar8698]

@@ThePrintIndia Hi Sharad and team, can you guys set up an episode on India’s toy story and its growth. How the Hamleys have dominated etc.. Thanks.