Textiles exports lagging behind competitors

India's textiles exports' performance continued to lag behind global competitors in 2009, with a meagre 4.3% share of the world market compared to China's 28.3%, the Economic Survey said today.

"Post-slowdown/recession in the developed economies, the textiles sector has gathered momentum, yet the export performance of Indian textiles continues to lag substantially behind that of China's as regards the rate of growth, as well as share of world textile exports," said the Survey, which was tabled in Parliament today.

It also said that in terms of clothing exports, India's share of the world market was only 4.3% in 2009, as against 28.3% for China.

The Survey noted, however, that India's textiles and clothing exports grew by 11.47% to $11.27 billion during April-September, 2010, from $10.11 billion in the same period last fiscal.

The growth was supported by a pick-up in demand in Western markets like the US and Europe, where the bulk of the consignments were shipped.

In addition, cotton textiles production grew by 10.1% during April-November, 2010-11, compared to 3.6% expansion in the same period last fiscal, the Survey said.

As per the estimates of the Textiles Ministry, cotton production in 2010-11 is likely to amount to 325 lakh bales.

Overall, the production of textiles fabrics increased by 1.9% during April-October, 2010. "This is a moderate performance when compared with the robust increase of 8.8% during 2009," the Survey said.

The Textiles Ministry has fixed an export target of $25 billion for 2010-11.

The sector, which is the second largest employment generator after agriculture in the country, employing 35 million people, was hit hard by the global economic slowdown.