ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846

Omkar GoswamiSubscribe to Omkar Goswami

Sickness and Growth of India s Textile Industry-Analysis and Policy Options

This article, in two parts, examines the current state of India's textile industry. In 1985 there was an inclination on the part of the government to take a close look at the status of the industry, and suggest methods of rationalisation. Nothing much was done and, if anything, the hand loom and mill sectors are far worse off today than they were five years ago. The first part of the article examines the patterns and determinants of household demand for clothing. If the government feels the need to increase per capita purchase of textiles, then there is a strong case for altering relative prices of man-made fibres through a systematic reduction in tariffs. Part II looks at four important issues: powerlooms versus mills; powerlooms versus handlooms; rationalising the workforce in the mill sector; and the myth of modernisation. The data compels the conclusion that there is very little hope for most of the composite mills, especially the nationalised ones, in the face of competition from powerlooms. The options that exist are closely linked to rationalising the labour force which, in turn, requires a definite policy decision by the government backed up by an attractive voluntary retirement package

Sickness and Growth of Indias Textile Industry-Analysis and Policy Options

This article, in two parts, examines the current state of India's textile industry. In 1985 there was an inclination on the part of the government to take a dose look at the status of the industry, and suggest methods of rationalisation. Nothing much was done and, if anything, the hand loom and mill sectors are far worse off today than they were five years ago The first part of the article examines the patterns and determinants of household demand for clothing. If the government feels the need to increase per capita purchase of textiles, then there is a strong case for altering relative prices of man-made fibres through a systematic reduction in tariffs. Part II looks at four important issues: powerlooms versus mills; powerlooms versus handlooms; rationalising the workforce in the mill sector; and the myth of modernisation. The data compels the conclusion that there is very little hope for most of the composite mills, especially the nationalised ones, in the face of competition from powerlooms. The options that exist are closely linked to rationalising the labour force which, in turn, requires a definite policy decision by the government backed up by an attractive voluntary retirement package

Indian Textile Industry, 1970-1984-An Analysis of Demand and Supply

Indian Textile Industry, 1970-1984 An Analysis of Demand and Supply Omkar Goswami The organised cotton mill sector no longer occupies the 'commanding heights' of the Indian textile industry; that role has been taken over by the apparently decentralised powerloom sector which accounts for at least 48 per cent of the country's textile output, with the composite cotton mills coming a poor second. Also, the share of the mill sector in total cloth output has been falling rapidly. Among the composite mills, two-thirds or more of the units are indubitably sick and have been incurring cash losses. Only the powerloom sector and the pure spinning units seem to be doing well.
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