Textile Engineering Goods

New Opportunity for Export

Suvin Advisors Pvt. Ltd.

Global Market

Global Textile machinery market is witnessing tremendous growth

buoyed by growing demand of textile & apparel market
It will grow at a CAGR of 14.02 percent over the period 2013-2018
It will reach $ 207.5 billion in 2015
One of the major trends in the Global Textile Machinery market is the
growing number of technological innovations
The global market divided into two parts:
Low cost manufacturing places like developing countries ( Labor
concentrated market) where cheap labor is available
High cost manufacturing places like developed countries where labor is
expensive & more automation is needed to reduce operation cost

Major Global Exporters

The major exporters countries are Germany, Japan, Italy & China
contributing major market share
Switzerland, France, USA, Belgium, Korea & Taiwan also have good
enough market share

Sector-wise Export
Spinning Machinery

Weaving Machinery

Sector-wise Export
Auxiliary Machinery for
spinning & Weaving

Knitting Machinery

Sector-wise Export
Dyeing Machinery

Sewing & Garmenting

Machinery

Indian Market

In past, main focus was cotton industry cotton industry

With changing time industry has diversified the production line to
man-made fibre sector, the woolen sector and even the jute sector
Today, the entire range of equipment required for forming lint and
man-made fibres up to finished fabrics are produced in India
Side by side, the ancillary and textile testing and monitoring
equipment sectors too developed appreciably

Indian Market

Industry operates in both organized & unorganized sector

Organized sector :
Public limited companies
Independent companies in JV with foreign entities

Unorganized sector
Small scale industrial units
Textile accessory manufacturing units

Today India is capable to offer the modern technically advanced

machinery for entire textile industry
Still the performance of the Indian textile machinery industry is far
from satisfactory
Competition from high tech machinery of European and South-East
Asian countries is a real challenge to the very existence of this
industry

Classification

Textile Engineering Goods Industry classified as follows:

o Ginning & pressing machines
o Spinning & allied machines
o Synthetic filament yarn machines
o Weaving and allied machines
o Processing machines
o Hosiery/RMG machines
o Textile testing equipment
o Multiple segments (combination of the above)
o Accessories and parts
o Others

Major Hubs in India

Major Textile Engineering Goods

production comes from
Tamilnadu & Gujarat
contributing 84% total
production
Major clusters are Ahmedabad,
Bangalore, Coimbatore,
Ludhiana, Mumbai and Surat
These clusters are strategically
located to serve the textile
industry

Ludhiana

Coimbatore

Major Indian Players

Laxmi Machine Works

Prashant Group

Rieter India

Yamuna Machine
works (P) Ltd.

Dhall Group

Harish Textile
Engineers (P) Ltd.

Kirloskar Toyota Textile

Machinery Pvt. Ltd.

Shree Bhagwati Textile

Industries

Indian Textile Machinery

Production

Source: TMMA

Domestic Demand
Domestic demand has increased
with CAGR of 17% between 2009
2013
In-house production is
insufficient to meet domestic
demand

In crores

20000
15000
10000
5000
0
2009-10
Production

2010-11

2011-12

Total Domestic Demand

In crores

Year
2009-10
2010-11
2011-12
2012-13
Source: TMMA

Production
4245
6150
5280
5650

Export
582
915
800
1462

Total
Production Domestic
less Export Demand
3663
5235
4480
4188

7383
9312
11188
11898

2012-13

% Demand
met by inhouse
production
50%
56%
40%
35%

Indian Production
In crores

Most of textile machinery

produced consumed in-house

So, very less scope for the

export

In crores

Year
2009-10
2010-11
2011-12
2012-13
Source: TMMA

Production

Export
4245
6150
5280
5650

% Export of
total production
582
14%
915
15%
800
15%
1462
26%

Indian Export
In crores

Indian textile machinery export

is growing exponentially

It has grown at CAGR of 36%

between 2009-13

In crores

Year

Export

2009-10

582

2010-11

915

2011-12
2012-13

800
1462

Source: TMMA

Indian Capacity Utilization

In crores

Installed capacity is more or less

stagnant
Average capacity utilization for
period of 2009-13 is 62%
There is good scope to increase
capacity utilization to meet
growing demands
In crores

Year

Installed Capacity Total Production Capacity Utilization

2009-10

8048

4245

53%

2010-11

8048

6150

76%

2011-12
2012-13

9100
9100

5280
5650

58%
62%

Source: TMMA

Opportunities

The global demand of textile machinery is rising due to growing

demand of textile industry
Today, Textile machinery sourcing is majorly done from European
countries which is relatively costly
India is strategically located from most of major textile & apparel
producing countries
India has good potential to explore global opportunities & tap global
market
India has to first focus on exports to the neighboring countries which
are emerging as significant textile producers

Way ahead.
Scaling up the capacity

More R & D centers

Technology advancement

Government initiatives

Thank You!
Let us carve out better tomorrow