Textile Machinery Spare Parts Growth Opportunities – Kaizar Mahuwala
by BookMy Parts Machinery Parts Ki Chalti Phirti Dukaan
Kaizar Mahuwala, One of
the youngest and visionary President of Indian Textile Accessories & Machinery
Manufacturer’s Association and entrepreneur himself leading Gurjar Group – has
shared their expert opinion on the current local & global affairs, market
growth & growth opportunities for SME & MSME sectors. The contribution
India provides in global textile market and the corresponding market share
India receives from the global market. He also has shares his views on the
challenges faced by Indian textile industry, textile machinery spare parts,
govt. support on Textile Policy Extension and
the strong impact of GST on the transition. Mr. Mahuwala keeps himself updated
with the latest trends in textile machine spare parts industry and the
potential of exports from India. He has very positive vision on influence of
technology on procurement and supply chain in India for industrial machinery
spare parts. See the details below…
Global textile machinery market
is witnessing tremendous growth buoyed by growing demand of textile &
apparel market. It is forecasted to grow at a CAGR of 14.02% till 2020.
Indian has a share of 14% of
world’s textile production and second largest exporter with 5.2% global share,
31% share in cotton yarn exports with India accounts 22% of world’s spindles,
9% rotors, 63% looms and 37% world area under cotton cultivation. Indian
textile industry currently estimated at around US $ 120 billion is expected to
reach US $ 230 billion by 2020.
The major manufacturers of
textile machinery are Italy, Germany, Switzerland, France and China. One of the
major trends in the Global Textile Machinery market is the growing number of
technological innovations. The global market is divided into two parts i.e. 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.
The Textile Engineering
Industry (TEI) in India is one of the five key Engineering Sectors responsible
for the growth of the Indian economy. It consists of more than 1400 units, with
a total investment of approx. Rs. 7800 crore. More than 80% of the units are
SMEs. The total installed capacity is approx. Rs. 9100 crore. The industry
provides direct/indirect employment to > 250,000 people. The TEI contributes
greatly to the competitiveness of the Indian Textile Industry. It meets 45-50%
of the demand of the Indian textile industry.
What are the challenges faced by industry?
How is the impact of GST and the transition?
The major challenge in the
textile machinery manufacturing industry is the lack of scale and technology,
lack of presence in all sectors, lack of advanced textile education, lack of Semi-skilled
and skilled labors, lack of ecosystem to support innovations and lack of
investment in R&D, except for the manufacturing units who have technical
collaboration with reputed foreign companies. This dependence on borrowed
technology and want of research has kept most of the sectors far behind in the
standard and performance of the machinery produced except spinning machinery
sector which is at par with international technology levels. This has resulted
in the import of second hand machinery especially in the area of weaving &
processing thus discouraging the advancement of technology in the manufacturing
of similar machinery. India is still far behind in garment machinery technology
and development. Competition from high tech machinery of European and
South-East Asian countries is a real challenge to the very existence of this
The introduction of GST has
resulted in removal of concessions/exemptions for the textile industry which
saw outrages and protests by various associations and players in the textile
industry. Considering the intent of GST and peculiar manner of operation of
textile industry, it may take slightly longer for textile industry to off-set
the initial hiccups of GST and grow at a competitive pace. Since exports under
GST would be zero rated, this would give a competitive edge to textile exports
from India, which is facing a strong competition from Bangladesh, Pakistan etc.
Hence, integrated textile companies should see this as an opportunity, as the
advent of GST will spur the textile sector with major capital investments
bringing the cost of capital down.
Can you tell us the emerging trends in
Textile machinery spare parts and accessories industry globally and potential
for exports from India?
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 and 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.
The launch of TUFS in India has
created a demand for state of the art machinery eligible under TUFS. The
domestic manufacturing industry, however, is still gearing up to meet demand
for such machinery and resulted into large-scale imports of machinery. The
dismantling of textile units in European countries coupled with liberal policy
with regard to import of second hand machinery also encouraged imports of
second hand textile machinery.
This scenario is completely
opposite in China which has relied not only on machinery imports but has also
simultaneously strengthened its own machinery manufacturing base by encouraging
both the domestic investments and FDI. The Chinese machinery industry has focused
on long-term technology introduction, joint ventures and scientific research
thereby acquiring abilities to supply various textile equipment’s in the
domestic and overseas market.
What is the impact of latest technology on
procurement and supply chain for Textile machinery spare parts and accessories?
“Technology” is vehicle to
enhance supply chain competitiveness and performance by enhancing the overall
effectiveness and efficiency of logistics system. The benefits that B2B
e-commerce platforms can deliver are specifically targeted at some of the
biggest drawbacks of the textile supply chain, such as ineffective sourcing
processes, long procurement time, limited industrial information access, low
supply chain visibility and bad communication among all business parties. B2B
e-commerce is powered by digital technology, enabling ethical textile
businesses to gain exposure and access to the global market in an easier way.
New digital technologies not only reduce supply chain management costs, but
also give them a place in a much more diversified textile industry.
What are the activities of ITAMMA and how it
has benefited members?
ITAMMA – Indian Textile
Accessories & Machinery Manufacturer’s Association established in year 1943
is celebrating its 75th Platinum Jubilee in year 2018, with its members
strength of 450+ is committed “Towards Making Indian Textile Industry a World
Leader”. ITAMMA serves members through desk research, representations to
government, cluster development initiatives, export initiatives & events at
national & international level like catalog shows, B2B, delegations,
exhibitions, workshops, skill developments, lean management and CFC.
As entrepreneur you are heading Gurjar Group,
can you share some information about your business as well?
Gurjar Group established in
year 1956 has more than 45 years of experience in manufacturing of Nickel
Perforated Rotary Screens and Engraving chemicals. Gurjar has introduced 3rd Generation
NEO+ 135, 165, 195 and 210 mesh series. NEO+ range enables textile rotary
printer to print highly sharp geometric designs, fine half tone and objects up
to 1 pixel in size. The mesh 210 is Gurjar’s innovation and top of the range
mesh available in the market enabling a printer to achieve photo print quality.
Gurjar Photo Emulsion Gold quality gives screen engraving pin-hole proof up to
1 lakh meter and highly easy to engrave and strip. Gurjar offers complete print
solution with special coating screens, Galvano screens, screens for wall paper
printing, embossing, foil printing, glitters, and puff. Gurjar offers laser
engraving, range of machines and spare parts, auxiliary chemicals and digital
KAIZAR Z. MAHUWALA
Chairman – Indo American Chamber of Commerce, Gujarat Branch
- President –
Indian Textile Accessories & Machinery Manufacturer’s Association
Director – Gurjar Gravures Pvt. Ltd.
Director – Gurjar Images Pvt. Ltd.
- Co-Chairman –
Textile Committee, Gujarat Chamber of Commerce & Industries, Ahmedabad
- Vice-Chairman –
India ITME Society
Created on May 31st 2018 07:48. Viewed 227 times.