By: Professor Seshadri Ramkumar of Texas Tech University in the United States
The global textile industry’s top goals are demand creation and mid- to long-term planning.
The demand problems are shown by the New York Cotton Futures in the low 70 cent level for December delivery. Later in the fourth quarter, an increase in demand is anticipated as inflation declines. The industry will not benefit from going into panic mode and trying to solve such issues with a short-term solution; instead, prompt problem solving is crucial.
Because the industry has a beneficial economic ripple impact on commerce and employment, industry groups throughout the world are calling for their governments to implement favourable policies in order to promote the sector.
Without a long-term vision and goals, short-term planning that only considers how to increase demand would ultimately harm the sector.
With assistance from the Ministry of Textiles, Government of India, Diagonal Consulting (India) and ATIRA recently arranged the two-day event known as “intexcon 2024” in Ahmedabad, India. The event was sponsored by the American Association of Textile Chemists and Colourists, with INDA acting as a knowledge partner.
Approximately 230 people from academia, government, research institutions, and business engaged in conversation on the latest advancements and market demands.
In front of the Chief Guest, Mr. Rajeev Saxena, Joint Secretary of the Indian Ministry of Textiles, I had the honour of being invited to give an introductory address at the beginning of the event. In it, I discussed India’s strategies to develop the advanced textiles industry.
My speech, “Platform for Opportunity and Growth,” concentrated on growth planning. I made the case for mid- to long-term planning in order to prevent the recurrent crises that our business suffers, drawing on Amazon’s development strategy, which prioritised long-term growth.
1) Growth; 2) Enhancement; 3) Innovation; and 4) Diversification should all be part of the planning process.
By boosting capacity, expansion should be horizontal rather than only vertical. In India’s instance, the sector ought to broaden its market reach outside the US and Europe and improve the range of products it offers. South America and Africa both provide potential that need to be investigated.
The textile industry must increase its financial investment in research and development as innovation is essential to expansion. In general, research is heavily supported by the government in nations like India.
Enhancing productivity, quality, on-time delivery, and cost reduction should be the main goals of improvement. This will make it easier for developed and developing countries to compete with low-wage countries. The coordinated efforts of the US cotton industry to prevent plastic contamination and enhance traceability serve as an example. Because manufacturing can provide millions of jobs, there is a desire to restore it even in rich economies like the US.
Diversification of products and markets is necessary for the textile sector. Applications in health care, lifestyle improvement, and environmental protection, together with sophisticated fabrics and reasonably priced sustainability, are promising directions in this area.
Technology firms like Amazon, in my opinion, have achieved success by using the aforementioned growth strategies and making long-term plans.
According to reports, Jeff Bezos stressed the value of long-term investing in a letter to shareholders when Amazon went public in 1997. Today, the company is a multinational behemoth that looks out for its employees, shareholders, and consumers. From its beginnings as a bookshop, its emphasis on quick delivery through Amazon Prime, and its present cloud computing initiatives, provide the textile industry hints on how to develop by implementing a strategy that entails diversification and growth.
For the textile industry to get together (in person or digitally) and prepare for short-term demands without sacrificing mid- to long-term planning, there must be a worldwide platform.
You may access my quick talk, “Textile Industry: A Platform for Opportunity and Growth,” at: