'Indian Apparel Market Research Report\r'

'Indian Apparel muckleplace Research Report By MD. FAISAL BBA (Studying) Major in foreign Business University of Dhaka Bangladesh E-mail: faisal. [email&# one hundred sixty;protected] om The Indian habiliments industriousness has a broad existence in the economic life of the acres. It plays a critical role in the economic emergence of the country with its contribution to industrial output, exporting wampum of the country and the generation of employment. The Indian apparel labor has seen remarkable changes in the past few eld and it is also one of the Indias largest foreign exchange earners. fancywork being the traditional art digit of the country has contributed coarsely for apparel industriousness.\r\nIndian embroidery merchandise stands out as being extraordinary in the international markets. The Indian Market The Indian consumer is evolving and control retail ingathering in India and companies in the vogue industry are re representing to this evolution by m eans of unnumerable options. The shape market in India is witnessing strong call onth owing to a young population, an amplification in disposable incomes, which is leading to increase in expenditure and thus the rapid fuck offth in create retail.\r\nPrivate consumption ingathering contributes to more than half of the GDP ontogeny and is growing in retroflex digit figures. Several businesses are reacting to this evolution positively, twain through pull and push phenomenon. Apparel straight off has the largest share of the modern arrange retail in India i. e. 20% of the current market of Rs. 56,000 crore and this is judge to grow at a constant chasten of 20% over the next 4 years. Bilateral Co-operation in this sector shows great synergies.\r\nAn Indo Italia Task Force on Fashion Design and life Style products has been created chase an agreement between the Indian Ministry of Commerce and Italian Ministry of International Trade. On the Indian side members complicate FICCI †Federation of Indian Chambers of Commerce & perseverance , NID †National Institure of Design while on the Italian side there is Confindustria, Altagamma, Universita’ Bocconi, ICE. With India being the second utmost-velocity growing major economy in the homo, expression industry is pushing itself to keep pace with the retail evolution witnessed in India.\r\nFacts and Figures The global cloths and apparel trade estimated at US$ 450 billion and expect to distort US$ 700 billion by 2010 with aim for textiles and apparels expected to grow to 25 per penny from current figures where Asia entrust contribute 85 per cent. Clothing, textile and fashion accessories form 39 per cent of the Rs 55,000 crore organized retailing in India. The Italian designer Giorgio Armanis company has signed a phrase venture with Indias most valuable significant estate firm, DLF.\r\nGiorgio Armani Holding, a wholly-owned ancillary of the Italian company, give take 51 per cent in the venture, the maximum allowed for a individual- defect foreign retailer in India. Armani leave behind develop 10 million rupees ($250,000) to the venture, which would also act as a wholesaling firm supplying Armani-branded products to other(a) independent retailers. The first Armani stores would be set up in New Delhi. Reliance Brands, a subsidiary of Reliance Retail, has ciphered into a 49:51 joint venture with Italian fashion residence, Sixty Group, to retail its brands in India.\r\nDLF has tied up with Armani ,Dolce & Gabbana Raymond, the Gautam Singhania owned ‘house of complete men,’ has joined hands, in a Rs. 50 crore, 50:50 joint venture, with the Italian fashion major Grotto Spa bringing in aid â€Å"GAS” brand apparel in India. Other Italian Brands in India are Gruppo Cadini, Gucci, Ermenegildo Zegna, Corneliani,Canali, Brioni, and chum Zileri India’s asset base for this sector †legion(predicate) qualified and semi-qu alified manpower which is skilled and low on cost of Long drawn tradition of having produced high bore textiles for decades.\r\nApparel Market Consumer spending on apparel in India has grown over the sound five years, commoveing the global benchmark of 5 per cent of the total income During the three years 2004-05 to 2006-07, investments in the textile sector has increased from US$ 2. 94 billion to US$ 7. 85 billion. In 2007, mens room room apparel industry was mainly dominated by shirts (in value terms) accounting for 36. 5% of total mens instalment. Indias textiles and apparels industry is estimated to be worth US$49 billion where 39 per cent is accounted by the exports market. presently India has a 3. -4 per cent share in world export of textiles and 3 per cent in apparel exports. Europe continues to be Indias major export market with 22 per cent share in textiles and 43 per cent in apparel; the US is the single largest buyer of Indian textiles and apparel with 19 per cent a nd 32. 6 per cent share respectively. Readymade garments (RMG) are the largest export segment, accounting for 45 per cent of total textile exports and 8. 2 per cent of Indias total exports. Future The demand for ready-made garments in rural India result soar upwards at an annual rate of 16. 50% to render Rs. 42,918 Crore or US$10. 1 billion by 2010. Mens apparel industry will increase at a CAGR of 14. 86% during the two-year close from 2008 to 2010. Women apparel market (in value terms) is anticipated to grow at an annual averaged growth rate of 17. 79% till 2010. The organized apparel retailing in India is projected to surge at an annual averaged growth rate of 30% from 2008 to reach Rs. 52,289 Crore in 2010. increase at a CAGR of 24%, branded apparel industry for men will cross Rs. 25,000 Crore by 2010. n Increasing at an annual averaged growth rate of 25%, branded apparel industry for women is expected to hit Rs. 8,351 Crore by 2010. Readymade garments exports from India are expected to touch US$ 14. 5 billion by 2009-10 with a cumulative annual growth of 18 to 20 per cent, according to Apparel Export furtherance Council. Versace pret-e-porte is another Italian fashion house at the lower end of the fashion pyramid that is in the final stages of tying up with Reliance Brands to bring its products to India. Gas eyes US$49. 82m sales by 2011. The company will invest Rs500m till 2010 on its retail expansion, marketing and brand building in India. Gas may do local take outsourcing for sub-Rs1,000 range.\r\nShoppers Stop is planning to enter the highlife retail segment with large format retail stores which will house products from many of well-known luxury brands, including Louis Vuitton, Gucci, Zegna, Hugo Boss, YSL, Mont Blanc and Christian Dior. The company plans to invest Rs. nose candy crore in this model in the first year itself. The organized intimate apparel retail market in India is expected to touch Rs 4,000 Crore mark by 2009. IT revenue from the retail segment is forecasted to grow at an annual averaged growth rate of 43. 41% by 2010. The Indian fashion industry is expected to rise at a large pace of 22. 7% through 2012. government Initiatives 100 per cent FDI allowed through the automatic route. Currently, 100 per cent foreign direct investment is allowed in sell trade, but only 51 per cent in single brand outlets. De-reservation of readymade garments, hosiery and knitwear from the SSI sector. engineering science cathexis on Cotton has been launched to make available quality raw material at competitive prices. Technology Up gradation Fund Scheme (TUFS) has been launched to palliate the modernisation and up gradation of the textiles industry.\r\nScheme for co-ordinated Textile Park (SITP) has been started to provide world correct infrastructure facilities for setting up their textile units through the Public Private Partnership model. The Apparel International Mart, in Gurgaon, will provide world club facility to apparel exporters to showcase their products and to serve as a one-stop-shop for reputed international buyers. The Indian Textile mall is being built, in Ahmedabad, to encourage exports to overseas markets. 50 textile parks are being established to enhance manufacturing capacity and ncrease the industrys cost competitiveness. The Government plans to set up a technology mission on technical textiles with an aim to attract investment into the sector. The Government has increased the plan allocation for textiles by 66. 27 per cent in 2007-08 over that of 2006-07, making it one of the only two ministries that have seen such a high level of increase in budgetary support. The Indian consumer desires to possess international luxury brands as an inspirational product. Additionally, no Indian retail brand actually qualifies to be categorised as a luxury brand.\r\nThis readiness for luxury as an organised market, has been recognised throughout the world and international luxury brands a re exploring possible avenues and tie-ups to enter the Indian retail market. Indian apparel companies have realised the huge potential of partnering with these global luxury brands wishing to enter India. This helps them not only to extend their portfolio into the luxury, super premium, premium segments, but also makes them probable sourcing partners for these brands in India as well as internationally. Vice versa, luxury brands hold access to well established distribution conduct and customer base.\r\n'