Speaking about the opportunities and challenges in the apparel sector in coming times, Siva said, “China is a giant in apparel exports, but I see stagnation which is an opportunity for India.” He firmly believes that in order to be a winner in long- term, it is critical to compete in the right space, where we have leverage. For example, it is tough to compete with Bangladesh in European markets as they have duty advantage. So we have to look at other products and business segments where we are not competing with them. “We have an edge in fashion as we have good source of cotton and viscose and we can deliver in shorter lead times,” he added.
At that end of day, export is a sector which can help India to achieve a consistently high GDP. “Look at China. They have grown by over 10% per annum for more than a decade and now they are more like a developed country. This cannot come from domestic business only. Therefore, we have to focus on export oriented sectors like IT, textiles and others,” he said. “It is wise to support this industry as for every Rs 1 cr spent,70 new jobs can be created,” he pointed out.
Siva expects that the company will achieve nominal growth of around 10 to 15% in next year and will be looking at all possible avenues to expand.
“The industry will double exports and achieve goals much faster than expected if all things fall in line,” he concluded