The Hindu Business Line : Textile trade bodies in consolidation mode

WITH the onslaught of global competition staring it in the face, the disaggregated Indian textile industry is set to present a united front to the outside world.

This is at least with respect to the bodies representing it. The Indian Cotton Mills' Federation (ICMF), the apex body representing the organised segment of the industry, has taken the lead in forming an umbrella organisation of the various textile associations in the sector that are currently functioning independently.

A beginning has already been made with the Tirupur Exporters' Association, the Indian Spinners' Association and the Federation of Indian Art Silk Weaving Industry joining hands with the ICMF as its associates.

According to an ICMF functionary, the federation is trying to co-opt the large number of independent federations as its associates, and not members, so that the representative body continues to maintain its individual identity.

At the same time, the enlarged platform can campaign for the benefits of the sector as a whole.

"The initiative is aimed at broadbasing the representation, so that we can advocate for the industry at large."

With the quota regime in the textile sector set to be abolished from January 1 next year, each segment of the industry competing with the other in the global market would have only diluted the strengths of the sector at large, an analyst tracking the sector said.

Single umbrella associations are prevalent in the textiles sector in countries like Taiwan and South Korea, compared to over 50 associations and federations currently representing the issues of the various sections of the Indian textiles sector.

Having a representative body for the sector at large would also go a long way in helping all the sections of the industry take advantage of the opportunities in the WTO regime and lobby better for benefits, an industry watcher said.

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