Exports of textile machinery are expected to pick up this fiscal, after a year of marginal growth due to tepid international demand in 2016-2017.
According to data available with the Textile Machinery Manufacturers’ Association, machinery exports in 2016-2017 were worth ₹2,438 crore compared with ₹2,351 crore the previous year. Total production of textile machinery in the country was to the tune of ₹6,650 crore, including spares and accessories.
S. Chakraborty, secretary for the association, said the international market did not see much growth last year. Further, for exports to grow in a particular market, the manufacturers needed to have local facilities to provide after sales and service support.
This year, export of equipment for spinning, spinning accessories, weaving preparatory and of other accessories was likely to see an increase in the range of about 15-20%, he said. The association data also showed that only about 32% of domestic demand was met indigenously. Imports amounted to ₹10,098 crore in the last fiscal year.
Imports from China
Mr. Chakraborty said China had been a big supplier of looms as they were available at very low prices. Accessories and spares from China were also coming into India in large quantities, he said.
Demonetisation and GST had hampered domestic investments, he said. However, this was expected to correct in five to six months and investments would pick up, he added.
Textile industry sources said the Centre should promote local manufacturing of machinery through foreign direct investment or joint ventures. While spinning and processing machinery were mostly available in the country, machinery for weaving and garment sectors were largely imported.