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ADVT.
Govardhan
Overseas Pvt. Ltd
UNWANTED “TEXTILES” IN WARDROBE OF OUR PM from various sources, expec ng deliverables to be changed at their will. They put all the costs like travelling expenses and even some mes du es and taxes “inclusive” in the fees. When I summarize the situa on as a financial analyst, I find giving consultancy only to tex le industry may not be a feasible op on; it needs to be supplemented by other profitable industrial business models, mainly because of the a tude of not to pay in me. Workers Value for money, comfort, stability…
AvinashMayekar, MD & CEO, Suvin Advisors Pvt Ltd When our Prime Minister was talking on various issues fluently from Madison Square and appealing en re world "come… make in India" I was just wondering why he has to appeal globally when we Indians are not even responding within country. We, industrialists are just silent on our golden industry Financial ins tu ons Affordability, Assuarance… As a ma er of fact, we need to invest in all the industries where we can get back our money as fast as possible. Tex le industry has a good existence for more than 100 years and it is one of the highest foreign exchange earners. India has a very good tex le culture. Situa on: If I am a banker and I am thinking of giving term loan to a tex le unit, I end up overviewing the history which tells me that many of the tex le players have not paid back the term loans in me. The business environment is not that conducive and has ups and downs. The success of tex le business depends on various factors and return on investment is too slow. All the financial ra os like IRR, DSCR are just on the border line and if I carry out sensi vity analysis, it gets badly affected. The industry has a complex and vast spread of products and variables and there can be several factors which can affect the performance of tex le industry like labour, raw material, machine related issues.
If I am a worker I would like to work in a clean environment and get paid nicely by doing a white collar job. Also the job should be on permanent basis and my salary should increase every year substan ally. Situa on: When I think of job in tex le industry, first of all there is no guarantee of permanent jobs. Usually in the beginning of my career the employer appoints me on 'badali system', it means, I get job only to fill the absenteeism. Similarly, I have to be in good books of the mekeeper to get job daily and to become a regular employee a er working for 240 days as a badali worker. Moreover, due to high temperature and humid atmosphere, it is troublesome to adjust with working condi ons. The environment in the tex le plant is much dirty with a lot of dirt, dust, floa ng fibreswhich are con nuously liberated and are harmful to my health. the diseases like Tuberculosis and Asthma are bound to be a re rement gi for me. Hence, I would like to opt for any other engineering manufacturing uni han a tex le plant, where the atmospheric condi ons would be cleaner and favourable to me alongwith much be er wage structure and re rement benefits offered by those industries due to higher profitability. Government bodies Sustainability,Growth…
I would rather fund to some other industryby which account handling would be much smoother.
If I am working in a Government organiza on I would strive to work out policy framework by which the industry will get a good support and a lot of benefits can be given which would in turn facilitate to growth of the economy and accomplishments of various targets and goals.
Technical Consultants
Situa on:
Recogni on, Sustaiability, Assuarance… If I am running a consul ng firm, I am very much enthusias c about the situa on and I would employ experts for each and every discipline of Marke ng, Spinning, Weaving, Processing, Technical tex les so that any project comes in I would have a process expert who can give solu on to all the requirements of the clients. In addi on to this I would have a common team to give services like Architectural, Structural and u lity designing so that my customer gets “one stop solu on”
Avery good Government policies and a rac ve schemes are given to Tex le industry e.g. Interest subsidy and capital subsidy under TUFS, Tex le Parks and other Industrial Policies. However, a lot of benefits have been taken by a certain group of people or even by certain poli cians especially in case of Tex le Parks. The real benefits of the schemes could not be achieved for these schemes. If I have to frame a policy framework, I would rather safeguard the interest of the Government and ask for much stringent policy network from legal and financial perspec ve so that I would give these benefits only to real players from the industry.
Situa on:
Prime Minister
If I keep focusing on tex le business only, as a consultant, I am the first party to whom the client has to nego ate with and pay. So he uses all his nego a ng skills to reduce the fees and increase the scope of work. He starts asking for as much as possible things free of cost so that there is a “winning” situa on only for him.
Job crea on, forex, value addi on…
Most of the tex le entrepreneurs treat paying to consultant as expenses and not as an investment. They keep on changing their plans every now and then as per informa on received to them
f I were Prime Minister of India, I would have seen at the tex le industry as my major focus area to create jobs and earn foreign currency. Tex le industry would be my first priority to make India campaign as we are already having several years of existence and recogni on. I would have understood the industry by appoin ng a consor um
of effec ve consul ng firms who have strong knowledge base of tex le industry and those have presence in domes c and interna onal markets. They would study SWOT analysis of the industry and come out with a vision and mission document for the tex le industry of India. I would make policies transparent and user friendly for the industry to help it take a major share in the interna onal market.
common goal to produce the best quality and wipe out image of “dirty linen” created by tradi onal tex le players. If I create the best quality, I would get the best brand value and I would be in a posi on to give best price to all my stake holders. My farmers would start producing best quality clean co on and they would get a rac ve price so that they would start increasing the yield by using best prac ces of cul va on.
Situa on:
All farmers can come together to improve cul va on methods and varie es of co on crop by using be er co on seeds. They will start conver ng co on seeds to produce oil and other value added products to generate more money and reduce wastages. Once farmers start ge ng money, they themselves would increase cul va on area, they would opt for automa c co on picking techniques and ginners would work effec vely to remove the impuri es and get paid on quality and grade of co on. Spinners can produce quality yarn by using best prac ces to get be er price based on quality produced. Similar effect goes up in further value addi on with prints, designs, dyes and chemicals, styles, etc.
As a Prime Minister, when I start looking at Indian tex le industry, I see a lot of sectors lobbying for themselves and promo ng their own associa ons. Ginning industry has it's own issues to face problems created on price hikeby co on growers associa ons of farmers and compensate it by adding contamina ons.The spinners receive this contaminated co on and add humidity, water and steam to sell heavier yarn. Weavers add waste yarn instead of right quality yarn to compensate loss of weight, processors use darker shades/prints to sell rejected fabric, garment producers use rejected cut pieces for different designs and retailers come out with 'seconds' sale. Thus the en re value chain has all exper se to compensate value loss by other false prac ce. No one thinks of value addi on. On the other hand, reputed brands are using pressure tac cs to minimize price and earn more profits. And the nega ve pressure created goes back up to the co on farmers who end up in making suicides. Whereas in case of synthe c industry the fibre producers are determining the price up to the finished garments. As a Prime Minister I need to first clean my wardrobe. I need to create “BEST FROM INDIA” brand which would be more trust worthy. All stake holders of my country need to work with a
Let us understand that the consumer doesn't mind paying more to a be er product and hence my industry should focus on this value addi on. I need to create skill development programs by which all stake holders would understand the importance of value addi on and will create a pull to increase profit margins throughout the value chain. This Diwali, as a Prime Minister of India, I need to clean my wardrobe. I need to clean my wardrobe with be er tex les!!! Come on… let us make it… be er India… Let us carve out be er tomorrow!!!
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