Swot Analysis Oh Indian Textile Industry - College Essay - Dpakgarg85 Page 1 of 3

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Swot Analysis Oh Indian Textile Industry

SWOT analysis of the Indian textiles industry:
We now do a SWOT analysis of the Indian textile industry keeping in mind the global changes that have
taken place in the post quota regime.

STRENGTHS-
1. Abundant raw material
2. Low cost skilled labour
3. Presence across the value chain
4. Growing domestic market
5. Strong backward integration
6. Third largest cotton producer as well a the largest area under cultivation
7. Increasing presence across entire value chain
8. Cheap and skilled manpower
9. Sharp reduction in borrowing costs
10. Recent government efforts to promote the industry.
11. Truly vertically integrated from raw material to finished products.
12. Steadily diversified its raw material base to include man-made fibres such as
Polyester, viscose, acrylic, polypropylene etc. as well as other natural fibres
13. Flexible in terms of production quantity and lead time.

WEAKNESS:

1. Fragmented industry
2. Effect of historical govt policies
3. Lower productivity and cost competitiveness
4. Tech obsolescence. Quality is not consistent
5. Caters mainly to the low-end class.
6. Low level of training.
7. The export-import policy of India changes too frequently due to which it becomes very difficult for
importers to import goods.
8. Delay in delivering the goods at the right time.
9. Lack of economies of scale and advance processing capabilities.

http://www.oppapers.com/essays/Swot-Analysis-Oh-Indian-Textile-Industry/382770?topic 30/10/2010
Swot Analysis Oh Indian Textile Industry - College Essay - Dpakgarg85 Page 2 of 3

OPPORTUNITIES:
1. Huge demand for value added goods in all major countries.
2. Relocation from high cost economies.
3. Large and relatively untapped domestic market
4. Large Indian Expatriate community. Hence there is large demand for Indian
Garments.
5. Rate of import duties is minimal.
6. Bilateral Agreements on Avoidance of Double Taxation and Prevention of Fiscal Evasion with
respect to taxes on income and capital have further opened the
Opportunity for higher export for the garment sector.
7. Extensive commercial interactions have greatly helped in laying the foundation for...
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Submitted by: dpakgarg85
Date Submitted: 08/19/2010 06:16 AM
Category: Politics and Government
Length: 7 pages (1,619 words)
Views: 367
Rank: 5981
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Swot Analysis Oh Indian Textile Industry - College Essay - Dpakgarg85 Page 3 of 3

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