Indian Textile & Apparel Compendium 2010

Contents
Executive Summary Indian Domestic Market: Textile & Apparel »» Textile & Apparel’s Contribution to India’s GDP »» Indian Textile and Apparel industry size »» Overall Domestic Textile and Apparel Market »» Apparel Market Overview »» Home Textile Market Overview »» Technical Textile Market Overview Export Market & Supply Chain Overview »» Global Trade Overview »» Indian Exports Overview »» Indian Fibre Supply Scenario »» Indian Yarn Supply Scenario »» Indian Fabric Supply Scenario Financial and Growth Aspects of Textile Value Chain »» Apparel vs. Non Apparel: Financial Comparison »» Textile Supply Chain: Financial Comparison »» Value Addition Through Textile Supply Chain »» Investments Required in the Textile Supply Chain by 2020 »» Apparel vs. Non Apparel : Organized Retail »» Growth Opportunities Going Forward Annexure: Assumptions & Definitions 01 04 05 06 07 08 15 16 18 19 20 21 22 23 24 25 26 27 28 29 30 32

Executive Summary
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• India’s Textile & Apparel industry (domestic + exports) is expected to grow from the current Rs 3,27,000 crores (US$ 70 Bn) to Rs 10,32,000 crores (US$ 220 Bn) by 2020. • The Indian domestic Textile and Apparel market size in 2009 was Rs 2,18,570 crores (US$ 47 Bn) and is expected to grow @ 11% CAGR to reach Rs 6,56,000 crores (US$ 140 Bn) by 2020 • Domestic Apparel retail market was worth Rs 1,54,000 crores (US$33 Bn) in 2009 and is expected to reach Rs 4,70,000 crores (US$ 100 Bn) by 2020 • Men’s wear has the majority share of Apparel market currently (43%). However, women’s wear is growing at a higher rate of 12% compared to men’s (9%), boys’ wear (10%) and girls’ wear (11%). Due to high growth, women’s wear share is expected to reach 43% in 2020 from the current 37% share. • Home Textile market is estimated at Rs 15,570 crores (US$ 3.5 Bn) in 2009 and expected to reach Rs 40,000 crores ( US$ 9 Bn) by 2020 growing @ 9% CAGR. • Technical Textiles market is estimated at Rs 49,000 crores (US$ 10.5 Bn) in 2009 and expected to reach Rs 1,46,000 crores ( US$ 31 Bn) by 2020 growing @ 10% CAGR. • The main drivers of domestic growth are increasing population, increasing income levels, rapid urbanization, improving demographics, increased organized players and increasing penetration of retailers into smaller cities. • Global Textile and Apparel trade is recovering after a slump during the economic recession in 2008-09, and is expected to reach US$ 1 Trillion by 2020 from the current US$ 510 Bn. The growth in trade is driven by increased outsourcing of western / developed countries towards lower cost countries in Asia.

Executive Summary
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• India’s exports have also recovered in 2009-10 following increased global demand and is currently worth Rs 1,10,450 crores (US$ 23.5 Bn). • India has the potential to increase its export share in world trade from the current 4.5% to 8% and reach US$ 80 Bn by 2020. The high growth of Indian exports is possible due to increased sourcing shift from developed countries to Asia and India’s strengths as a suitable alternative to China for global buyers. • In terms of financial returns, Apparel is the most attractive product category amongst retail product categories both in terms of Returns on Capital Employed and EBITDA. Garmenting & Technical Textiles are the most attractive segments within the Apparel value chain in terms of ROA and EBITDA. • Investments to the tune of Rs 3,20,000 crores (US$ 68 Bn) across the Textile supply chain will be required by 2020 to tap the potential market created due to growth of the industry. Investment required in garment sector by 2020 is to the tune of US$ 14 Bn and for processing is US$ 19 Bn. • High growth categories include Women’s casual wear, Innerwear, Activewear, Kids wear, Women’s Western wear, Plus Size Apparel, Lingerie, Workwear & Uniforms, Technical Textiles and Home Textiles.

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Indian Domestic Market: Textile & Apparel .

2% 11.5 Billion (75%) Health Household Apparel Goods & Services Source : Technopak Analysis *All numbers are rounded off .370 Billion Private Consumption: US$ 795 Billion (58%) Others Leisure & Education 4.8% Apparel US$ 33 Billion (72%) Housing & Household Fuels Textile US$ 14 Billion (28%) Home Textile US$ 3.5 Billion Textile & Apparel Imports: US$ 3.2% 14% 38.4% Public Spending & Investment: US$ 575 Billion (42%) Food & Beverages Retail: US$ 435 Billion (55%) Non Retail: US$ 360 Billion (45%) Transport & Communication 19.2% Breakup of private consumption Textile & Apparel Domestic Market: US$ 47 Billion (11%) Textile & Apparel Exports: US$ 23.6% 4.5 Billion 4.6% 3.5 Billion (25%) Technical Textiles US$ 10.Textile & Apparel’s Contribution to India’s GDP 5 2009 GDP: US$ 1.

27.000 crores (US$ 220 Bn) by 2020 US$ Bn 1032 220 US$ Bn CAGR 11% 630 134 376 80 US$ Bn INR ‘000 Crores 211 72 139 2005 US$ Bn 368 122 78 26 212 45 US$ Bn 46 16 30 327 108 219 2009 70 23 47 656 419 89 140 246 2010(E) 52 2015(E) Total (INR ‘000 Crores) 2020(E) Domestic Source : Technopak Analysis *All numbers are rounded off Exports .32.Indian Textile and Apparel Industry Size 6 India’s total Textile and Apparel industry size is valued at Rs 3.000 crores (US$ 70 Bn) in 2009 and is estimated to grow @ 11% CAGR to reach Rs 10.

000 10% Source : Technopak Analysis * Values given for Apparel and Home Textile is at the retail end.000 Home Textile US$ 3.330 2009 Total US$ 47 bn INR Cr 2.000 Technical Textiles US$ 12 bn INR Cr 58.56.100 Technical Textiles US$ 22 bn INR Cr 1.000 Home Textile US$ 6 bn INR Cr 26.650 Home Textile US$ 9 bn INR Cr 40.570 2010(E) Total US$ 52 bn INR Cr 2.670 2020(E) Total US$ 140 bn INR Cr 6.03.5 bn INR Cr 15.54.01.46. .330 Technical Textiles US$ 10.Overall Domestic Textile and Apparel Market 7 The current domestic Textile and Apparel market of US$47 Bn is expected to grow @ 11% annually to reach US$ 140 Bn by 2020 2005 Total US$ 30 bn INR Cr 1.880 Apparel US$ 100 bn INR Cr 4.70. while for Technical Textiles.000 9% Technical Textiles US$ 6 bn INR Cr 28. it is a combination of B2C and B2B depending on the category.70.000 Apparel US$ 36 bn INR Cr 1.900 Apparel US$ 61 bn INR Cr 2.000 2015(E) Total US$ 89 bn INR Cr 4.18.000 11% Home Textile US$ 2 bn INR Cr 10.18.5 bn INR Cr 49.570 Home Textile US$ 4 bn INR Cr 17.140 Technical Textiles US$ 31 bn INR Cr 1.39.000 Apparel US$ 33 bn INR Cr 1.88.000 11% Apparel US$ 22 bn INR Cr 1.46.

900 1.01. apart from increase in per capita consumption of clothing due to favourable consumer demographics Total Apparel Market (INR Cr) CAGR 11% 4.70.000 1.425 2005 2009 2010 (E) 2015 (E) 2020 (E) Components of Apparel Market CAGR 5% 5% 1% Population Growth Source : Technopak Analysis 11% Increase in Individual Consumption *All numbers are rounded off Growth in unit value E: Estimated numbers Total CAGR .70.880 1. primarily driven by high unit value growth (due to growth in organized and branded segment).88.000 2.Indian Apparel Market Size and Growth 8 Indian domestic Apparel market is expected to grow @ 11% CAGR.54.

000 cr 45% Urban Rs 85. Kolkata.Indian Apparel Market Break up 9 Urban vs. Rural Mix 2009 Organized vs. Delhi.000 cr 55% 87% 86% 83% 75% 60% 13% 2005 14% 2009 Organised 17% 2010 (E) 25% 2015 (E) Unorganised 40% 2020 (E) Breakup of the Urban market RTS vs RTW Market Top 8 Cities – 38% 76% Next 62 Cities – 21% 24% 2005 23% 2009 21% 2010 (E) 16% 2015 (E) RTW (Ready To Wear) 12% 2020 (E) 77% 79% 84% 88% Rest of Urban – 41% RTS (Ready To Stitch) Source : Technopak Analysis *All numbers are rounded off Top 8 cities : Mumbai. Unorganized Market Share Rural Rs 69. Ahmedabad. Hyderabad. Pune . Bengaluru. Chennai.

700 2005 66.76.400 28.145 2015 (E) 2020(E) 2005 14.570 27.940 2010 (E) 2015 (E) 2020(E) 45. Men’s(INR Cr) CAGR 9% 45.740 36.15.290 CAGR 10% 10.000 2009 Boys’(INR Cr) 45.400 1.860 Women’s (INR Cr) 2.17.190 2009 Girls’ (INR Cr) CAGR11% 15.840 57. however Women’s wear is growing faster than other Apparel segments and is expected to gain majority share in future.765 17.280 CAGR12% 64.640 9.000 2010 (E) 2015 (E) 2020(E) 2005 1.580 2005 15.300 72.02.745 2009 1. Kidswear is also growing rapidly with higher growth in girls wear.820 2009 2010 (E) 2010 (E) 2015 (E) 2020(E) Segment Split 2009 10% 9% 43% 38% 41% 10% 2015(E) 9% 40% 43% 2020(E) 10% 10% 37% Boys’ Girls’ Source : Technopak Analysis *All numbers are rounded off Men’s Women’s .Segment-wise Market Size and Projections 10 Currently Men’s wear is the biggest segment of the market.

720 15.000 4. Innerwear and Shirts INR Cr 25.550 20.910 3.110 6% 4.Men’s Wear Market 11 High growth categories in men’s market include Activewear.900 Market Size 2009 (INR Cr) CAGR (2009-2020) Source : Technopak Analysis *All numbers are rounded off .000 20.000 CAGR 16% 14% 12% 10% 8% 10.380 0 Shirts Trousers Winter Wear Inner Wear Suits T-Shirts Denim Others Ethnic 1.000 16. T-Shirts.790 4% 3.000 5.300 Active Wear 2% 940 Sleep Wear 0% Segment Average 5.200 3.500 1.

460 5.000 10. Ethnicwear categories like Sarees and Salwaar Kameez also have high growth potential INR Cr 30.020 770 740 415 2% 390 190 For Jac mal ket s Segment Average 0% Market Size 2009 (INR Cr) CAGR (2009-2020) Source : Technopak Analysis *All numbers are rounded off .000 0 kam Salw eez ar /eth nic Inn er w ear Blo pet use/ tico at Sle epw ear Win ter we ar Top s/s hir ts ers Tro us ski ers/ r ts nim ir ts Sar e e T-s h Oth De CAGR 16% 24.Women’s Wear Market 12 High growth categories in women’s market include Innerwear.000 25. Woven tops / Shirts and T-shirts.020 14% 12% 16.730 1.300 1.000 15.660 10% 8% 6% 4% 4.000 20.000 6.050 1.

980 CAGR 14% 12% 3.000 4. Bottomwear and Uniforms INR Cr 6.000 0 Uniforms Tee/Shirts Bottomwear Ethnic Winterwear Others Denim 1.300 1.340 10% 8% 6% Segment Average 2.000 4.Boys’ Wear Market 13 High growth categories in kids boys market include T-Shirts / Shirts.000 3.000 1.280 680 295 4% 2% 0% Market Size 2009 (INR Cr) CAGR (2009-2020) Boys: Male < 14yrs Source : Technopak Analysis *All numbers are rounded off .890 3.000 5.

Bottomwear.000 1.230 CAGR 16% 14% 12% 10% 8% 6% 4% 2% 0% Segment Average Market Size 2009 (INR Cr) CAGR (2009-2020) Girls: Female < 14yrs Source : Technopak Analysis *All numbers are rounded off .000 500 0 Uniform Ethnic Dresses Bottomwear Winterwear 540 455 45 Others Tee/Shirts Denim 1.180 3.225 2.000 3.220 2.Girls’ Wear Market 14 High growth categories in kids girls market include Ethnicwear. Dresses. Uniforms and T-Shirts INR Cr 4.500 4.295 4.500 1.500 2.000 2.500 3.

800 1.000 2015(E) 13.680 1.830 1520 1.820 2.000 Rural 2015(E) 2020(E) Category wise Market Breakup 2005 4.300 3.370 1.650 54% 15.000 1.000 46% 2009 2010 (E) 2015(E) 2020(E) 2005 61% 64% 73% 79% 39% 36% 27% 21% Urban vs Rural 2005 INR Cr  Categories Bed Linen Towels Curtains Blankets Upholstery Kitchen Linen Rugs and Carpets Total 2009 2010 (E) Urban 2020(E) 19.750 2.600 800 26.000 *All numbers are rounded off 2009 7.000 17.080 1.670 6.260 40.820 2.030 460 17.650 CAGR 2009-20 9% 9% 10% 8% 10% 8% 11% 9% Source : Technopak Analysis .800 1.150 2.570 10.080 1.570 2010(E) 8.700 2.900 970 850 630 600 250 10.960 4.600 2.320 1.Home Textile Market –Increasing with Urban Development 15 Home Textile market is expected to grow by 9% CAGR till 2020 on the back of increased urban household population and corporatization Home Textile Domestic Market Size 40.270 980 950 420 15.000 4.000 INR Cr CAGR 9% 26.

950 2.000 9.000 700 380 70 58.900 2.450 4.400 7.250 6.150 120 1.765 1.020 2.350 6.300 4.700 1.990 2.470 4.200 15.920 1.500 9.46.000 2010(E) 23.150 10.800 2.950 4.850 5.850 1.330 2009 18.623 627 320 68 49.070 1.100 2015 (E) 49.400 2.887 3.03.400 3. Technopak Analysis *All numbers are rounded off .No 1 2 3 4 5 6 7 8 9 10 11 12 Segment Packtech Clothtech Hometech Mobiltech Indutech Sporttech Buildtech Meditech Protech Agrotech Geotech Oekotech Total 2005 7.300 2.564 2.050 2.105 1.650 4.Technical Textiles Market: High Value High Growth 16 Technical Textiles Domestic Market INR Cr Sl.300 3.492 7.140 2020 (E) 72.410 670 380 170 55 28. Source : Ministry of Textiles.432 1.500 1.600 11.000 CAGR 13% 3% 13% 11% 3% 2% 10% 4% 12% 10% 12% 5% 10% High Growth Segments Domestic demand for Technical Textiles has been increasing and there is substantial opportunity for investments in this sector.330 780 100 1.200 6.230 25.315 2.900 3.707 3.900 8.850 1.

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Export Market & Supply Chain Overview .

OTEXA. Laminated Textiles etc. . Accessories. Men’s Woven Shirts Jackets / Blazers etc. Babies Garments Cotton Fibre Others Total Category wise Breakup of Trade 2009 13% 5% 7% 15% 60% Country wise share of imports 2009 Apparel Fabric Yarn Fibre Other Textiles 27% 51% 12% 4% 1% 5% EU US Japan Russia UAE Others Global Textile and Apparel trade is recovering after a slump during the economic recession in 2008-09. US$ bn 800 529 355 198 157 2000 309 220 2006 586 346 240 2007 Textiles 612 362 250 2008 Apparel 510 310 200 2009 Total 300 2015(E) 350 2020(E) 500 650 1000 Sweaters / Jersey’s etc. Eurostat & Technopak Analysis *Other Textiles include: Made ups. Carpets.Global Trade: Recovering & Poised to Grow Further 19 Global Textile & Apparel Trade 5% CAGR Category Top Traded Categories 2007 63 47 29 17 12 12 13 13 9 7 365 586 2008 60 47 27 17 13 12 12 12 8 10 393 612 2009 48 37 22 12 12 9 9 8 7 6 340 510 Trousers /Shorts etc. T-shirts Blouses / Women’s Shirts Dresses Overcoats etc. and is expected to reach US$ 1 Trillion by 2020 from the current US$ 510 Bn Source: UN Comtrade.

738 1.7 12. 53% 8% 8% 7% 4% Source : Ministry of Textiles.634 1.678 1.916 23.493 21. • The high growth for Indian exports is possible due to increased sourcing shift from developed countries to Asia and India’s strengths as a suitable alternative to China for global buyers.8 2007 21.5 9.8 2009 Textile 45 25 20 2015(E) Total 50 22.036 749 702 507 505 463 12. Dresses Men’s Woven Shirts Shawls / Scarves etc.Indian Exports: Potential for Higher Growth 20 Indian Textile & Apparel Exports -4 % 9% 12% CAGR 80 Major Export Categories US$ Million Category Cotton Fibre Blouses / Women’s Shirts T-Shirts Trousers / Shorts etc.741 22.099 732 803 423 429 409 504 12. US UK Germany UAE France Others Apparel Fabric Yarn Fibre Made Ups Carpets Others 20% • India has the potential to increase its export share in world trade from the current 4. UN Comtrade.214 857 782 612 438 460 520 12.419 1. Cotton Bed Linen Babies Garments Knitted Shirts Others Total 2007 2.912 1. Technopak Analysis .7 12.226 1.567 2009 2.5 10.487 US$ bn 23.142 1.051 1.448 2008 645 1.6 11.6 2008 Apparel 30 2020(E) Category wise Export Break up 2009 10% 11% 46% 12% 16% 4%1% Country wise Export Break up 2009 • India’s exports have also recovered in 200910 following increased global demand.0 10.663 1.5% to 8% by 2020.

275 28 136 2 4 170 0.1 188 5 1.Mn Kg (2008-09) Cotton Viscose staple fibre Polyester staple fibre Acrylic staple fibre Other MMF fibre Total MMF Silk Jute Wool Total Fibre Production 4. Fibre exports have also grown significantly in the last 3 years @ 20 % CAGR. Technopak Analysis .952 45 8.067 18 1. Production Growth (3 yr CAGR) 6% 1% 6% -10% 4% 3% 2% 0% 0% 4% Fibre .638 Imports Growth (3 yr CAGR) 32% 120% 1% -3% 24% 13% 0% -4% -9% 10% Exports Growth (3 yr CAGR) 17% 23% 47% -33% 17% 37% -30% 32% 14% 20% Source : Ministry of Textiles.930 233 752 80 3 1.Indian Fibre Supply Scenario 21 India produces 8 mn tons of fibre annually and production has increased @ 4% CAGR in the last 3 years.013 Imports 195 11 16 11 17 55 8 59 67 384 Exports 1.

031 Source : Ministry of Textiles.331 Imports 5 28 42 152 5 70 3 74 227 Exports 556 76 174 225 4 200 2 18 1. 20% of the yarn produced is exported.Indian Yarn Supply Scenario 22 India’s yarn production is 5.Mn Kg (2008-09) 100% cotton spun yarn Cotton blend spun yarn 100% non cotton spun yarn MMFY Viscose Filament Yarn Polyester Filament Yarn Nylon Filament Yarn Other MMFY Total Yarn Production 2. Production Growth (3 yr CAGR) 5% 4% 1% 6% -7% 7% -9% 4% 5% Imports Growth (3 yr CAGR) 2% 16% 27% 0% 27% -9% -32% 17% 5% Exports Growth (3 yr CAGR) 0.899 655 361 1.330 28 15 5. Technopak Analysis .20% -3% 4% 14% -25% 24% -22% -17% 3% Yarn .3 mn tons. increasing @ 5% CAGR in the last 3 years.416 42 1.

5% of the fabric produced is exported.966 Imports 989 601 144 161 296 1.966 mn sq mtrs increasing @ 3% CAGR in the last 3 years.561 Production Growth (3 yr CAGR) 5% 3% 3% 4% 2% 3% Imports Growth (3 yr CAGR) 64% 5% 1% -1% 11% 29% Exports Growth (3 yr CAGR) 66% 9% 4% 15% 7% 14% Source : Ministry of Textiles.102 688 992 422 2.093 6.Indian Fabric Supply Scenario 23 India’s fabric production is 54.720 20.076 54.590 Exports 459 2. Exports are increasing at a high rate of 14% CAGR in the last 3 years.077 42.889 16.Mn sq mtrs (2008-09) Knitted fabric Woven fabric Cotton Woven Synthetic Woven Other Woven Total Fabric Production 12. Technopak Analysis . Fabric .driven by significant growth of knitted fabric exports.

Financial & Growth Aspects of Textile Value Chain .

EBITDA 25 Apparel retail is better than other product categories in terms of ROCE (Return on Capital Employed) and EBITDA and hence the most attractive segment for retail investment ROCE vs. EBITDA 35% 30% 25% 20% ROCE 15% 10% CDIT 5% 0% 0% 5% EBITDA Footwear 2% 4% 6% 8% 10% 12% Home Food & Grocery Books & Music Pharma & Wellness Apparel Jewellery & Watches Source : Technopak Analysis Size of bubble represents sales per sq. Non-Apparel Retail: ROCE vs.Apparel vs.000 per sq ft/ annum) CDIT: Consumer Durables and Information Technology . ft per annum (for example Apparel bubble is Rs 8.

Technopak Analysis *Based on financial statement analysis of Top listed companies in each of the above mentioned sectors 12% 13% 14% 15% . EBITDA 26 Within the Textile supply chain Garmenting and Technical Textile segments are the most attractive in terms of financial returns ROA vs. EBITDA 12% Garmenting 10% 8% ROA 6% Processing 4% Spinning 2% Knitting Technical Textiles MMF Home Textile Integrated Denim 0% 7% 8% 9% 10% 11% EBITDA Source : Company Financial Reports.Textile Supply Chain: ROA vs.

5 m Rs 120 Yarn 300g Rs 56 Fiber 375g Rs 28 • Indicative Numbers Source : Technopak Analysis . 100% cotton.Value Addition Through Supply Chain 27 • Yarn – 40’s. combed yarn • Fabric – 132 x 72 Poplin. Medium shade • Shirt sold by a mass merchant Retail 1 shirt Rs 400 Garment 1 shirt Rs 190 Fabric 1.

20.1.20. 25. 95 Bn. 9 7 Weaving 50 Bn.1 lakhs Semi automatic .8 million Production from modernized capacity .1 Bn kg New Shuttleless Looms .77 thousand Second hand Shuttleless Looms .000 30.000     3.2 lakhs Plain . sq.0.000 In US$ Bn.000 31.84 thousand Second hand machines . pcs. m. 37.65 thousand Automatic looms . Crores 42.000 crores (US$ 68 Bn) across the Textile supply chain will be required Segment Spun yarn Filament Yarn Additional Production 3. m.9 Bn.000 8 Knitting Processing Garment and Made-ups Technical Textiles Total 76 Bn.6 miliion Modernized spindles .13. sq.000 5 19 14 6 68 Machines required .000 Source : Technopak Analysis *All numbers are rounded off . 38 Bn. Kg Additional Capacities Required New spindles .4.2 Bn kg Production from greenfield projects .Investments Required in the Textile Supply Chain by 2020 28 In order to capture the additional market (US$ 150 Bn) created for Textile and Apparel by 2020.000 90.21 lakhs (for 2 shift working) 65. kg 5.2.5 Bn kg Production from brownfield expansion .8 Bn.56 thousand Investment Required In Rs.35 lakhs New Machines . investments to the tune of Rs 3. sq. m.

Non-Apparel : Organized Retail 29 Apparel is placed well compared to other sectors both in terms of size and growth of organized retail Organised Retail Sales 60 % Organised retail sales 2014 projected $ millions and participation 50 % Organised retail sales 2008 $ millions and participation Footwear Organized retail sale participation 2008 and 2014 projected 40 % Consumer Electronics 30 % Food Services Apparel Books.Apparel vs. DIY) Pharmacy and Wellness Jewellery and Watches Source : Technopak Analysis Total category CAGR 2008 to 2014 . Musicand Entertainment 20 % 10 % Food and Groceries 0% 0% 2% 4% 6% 8% 10% 12% 14 % 16 % Home (Furniture.

Growth Opportunities Going Forward 30 High Growth Opportunities • Kids Wear • Women’s Western wear • Plus Size Apparel • Lingerie • Workwear & Uniforms • Technical Textiles • Home Textiles Key Growth Drivers • Increasing brand /fashion consciousness and spending on kids • Increasing urban women population and women corporate workforce • High and increasing share of obese population in India and lack of existing ready to wear brands in this space • Increasing fashion consciousness and need for better retail experience for women’s innerwear • Growing modernization and increasing image consciousness and compliance amongst corporates • Increasing government infrastructure spending and growing sectors like healthcare. automobiles etc. • Increasing urban households and corporate interiors .

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Annexure: Assumptions & Definitions .

• E: Estimated numbers for future years • EBITDA: Earnings Before Interest. • RTW (Ready To Wear): includes all garments sold in India • SEC: Socio Economic Classification . Suitings / Trousers fabric. »»Tailoring cost for these fabric are factored in the RTW market. denim. Depreciation and Amortization • INR: Indian National Rupee (Rs) • MMF: Man Made Fibres • MMFY: Man Made Filament Yarn • Mn: Million • ROA: Return on Assets • ROCE: Return on Capital Employed • RTS (Ready To Stitch): includes fabric bought at retail stores by consumers. The following are the main categories »»Shirting fabric. Tax .Assumptions & Definitions 33 Key Assumptions • Growth for market is in nominal terms • Exchange rate (US$ to Rs conversion) maintained at Rs 47 for current market and future projections • All figures have been rounded off Definitions • Bn: Billion • CAGR: Compound Annual Growth Rate • Casual wear: clothes worn for casual occasions like t-shirts. casual shirts etc. Salwaar Kameez Dupatta fabric (SKD)etc.

Handkerchiefs. Dresses etc. Skirts etc Innerwear Women’s Lingerie items (Bras. Jerseys. Trousers/skirts Women’s Trousers (formal and casual).Boys School Uniforms Others – Boys Accessories like Socks. Shawls etc. Capris. Gloves. Coats Winterwear Sweaters. Swimwear etc. T-Shirts Knitted T-shirts Denim Jeans. Denim Tops Sleepwear Woven & Knitted Pyjamas / Shorts worn during sleep Activewear Sportswear.) Blouse/petticoat Saree Woven Blouses and Petticoat Winterwear Sweaters. Jackets etc. Lungis etc Innerwear Mens Briefs. Uniforms. Camisoles etc. Gloves and other accessories etc. Dhoti. Tee/Shirts – Girls T-shirts. Shawls etc. Denim shirts etc. Corduroys. Others Accessories including Bags. Socks. Safari Suits. Winterwear – Boys Boys’ Sweaters. Dresses etc. Scarves etc. Cargos etc. Ethnic – Boys Boys’ Kurta Pyjama. Panties. Gymwear. Jackets. Shorts. Denim Tops etc. Lehenga. Jerseys. . Uniform – Girls School Uniform Others – Girls Accessories like Socks. Woven Shirts Denim – Boys Boys’ Jeans. Winterwear – Girls Sweaters. Boys’ wear ( Male < 14 yrs) Tee/Shirts – Boys Boys’ T-shirts. Gloves etc. Jackets. Ethnic Kurta Pyjamas. Girls’ wear ( Female < 14 yrs) Bottomwear – Girls Girls Trousers. Churidar etc. Dresses – Girls Frocks. Jackets etc. Others Ties. Sherwani. Sherwani etc. Handkerchiefs etc. Ethnic – Girls Salwaar Kameez Dupatta. Skirts etc. Woven Shirts Denim – Girls Jeans. Churidar. Nighties etc. Bottomwear – Boys Boys’ Trousers .Definitions: Apparel Product Categories 34 The following are the broad categories of Apparel and respective products in each category Men’s wear ( Male > 14 yrs) Shirts Woven Shirts (full sleeve and half sleeve) Trousers Woven Trousers (Formal wear. Vests etc. Tops/shirts Woven Tops / Shirts / Dresses mostly for Formal wear T-Shirts Knitted t-shirts for Casual wear / Party wear Denim Women’s Jeans and Denim Tops Formal Jackets Women’s suits Jackets for formal wear Sleepwear Nightwear including Maxi. Women’s wear ( Female > 14 yrs) Saree Sarees Salwar Kameez / Ethnic Salwaar Kameez Dupatta. Casual wear) Suits Formal Suits .

Railways and Aerospace Environmental Protection Packaging Personal and Property protection Sport and Leisure Home Textiles Bed Linen Blankets Curtains Kitchen Linen Rugs and Carpets Towels Upholstery Bed Sheets.Definitions: Technical Textiles and Home Textile Categories 35 Technical Textiles Agrotech Buildtech Clothtech Geotech Hometech Indutech Meditech Mobiltech Oekotech Packtech Protech Sporttech Agriculture. Bath Robes etc Sofa covers etc. Table Mats. Quilts. . Cleaning and other industrial usage Hygiene and Medical Automobiles. Shipping. Pillows etc. Duvets. Civil Engineering Components of Furniture. Household Textiles and Floor Coverings Filtration. Horticulture and Forestry Building and Construction Technical components of Shoes and Clothing Geotextiles. Blankets used for Warmth covering during sleep Made ups hanged for Covering Doors and Windows Aprons. Comforters. Bed Covers. Oven mitts etc Textile floor covering Bath Towels.

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About Technopak .

International Finance Corporation. Essar. we worked with over 95 clients across 120+ projects. Warburg Pincus and many other Indian and international leaders. Consumer Products. Performance Enhancement. Tata Group. Walt Disney. international benchmarking and client capabilities. Mother Dairy Foods. Our key services are: Business Strategy. Supporting business strategy and execution with comprehensive capital advisory in our industries of focus. Hindustan Unilever Limited. United Nations Development Program. Founded in 1992 on the principle of “concept” to “commissioning”. implementation guides through start-up phase. Healthcare. Mahindra Group. GMR Group. industry & management of change expertise to enhance the performance and value of client operations and businesses. Services We Offer in Management Consulting At Technopak.About Technopak 38 We are a management consulting firm with a difference. investment houses. we are in the top 5 consulting firms in India by revenues. Gujarat Government. Consumer Insights. . Raymond. Samsung. Our clients are leading Indian and international businesses. and trusted advisors overall. Temasek Holdings. Hospitality & Leisure. in 12 countries besides India. Food & Agriculture. multilateral development bodies and governments. Hospital Corporation of America. Lenovo International. Our 600+ clients include Aditya Birla Group. entrepreneurs. Assistance in developing value creating strategies based on consumer insights. Arvind Limited. Apollo Hospitals. Ministries of Food Processing. We are strategic advisors to our clients during the ideation phase. Asian Development Bank. across 3 continents. Asian Paints. The industries we serve include Retail. Marks & Spencer. Starwood (Sheraton). Reliance Industries. Holistic consumer & shopper understanding applied to offer implementable business solutions. Leveraging operations and industry expertise to ‘commission the concept’ on turnkey basis. Operations. Education and Real Estate. Godrej Group. Textiles & Commerce. In 2009. Capital Advisory. Start-Up Assistance. Sequoia Capital. ICICI Limited. competition mapping. we foster innovation and creativity which challenge conventional thinking and generate practical and far reaching solutions for our clients. Fashion (Textiles & Apparel).

Assignments: »»Planning and Design of Factory »»Selection and Pre-Training »»Implementation • Lean Manufacturing • Performance Enhancement Industry Segments We Serve Textile Manufacturers Fashion Retailers Development Agencies Apparel Manufacturers Technical Textile Private Equity Textile Machinery Manufacturers Government Financial Institutions .Fashion 39 Strategy & Planning • Business Entry • India Entry & Partnerships • Growth and Diversification • Marketing and Distribution Development • Cluster Development • Capacity Building • Public Private Partnerships • Program Planning & Administration Capital Advisory • Due Diligence • Mergers and Acquisitions • Partner Search • Investment Evaluation Industry Insights • Consumer Insights • Industry Studies & Trends • Industry Benchmarking • Market Insights Textile Operations • Project Management (PMC) • Construction Management (CMC) • Technology Selection • Techno-economic feasibility report • Business Process Re-engineering Apparel Operations • Factory Start Up .Services We Offer .

contemporary and relevant concepts and solutions.com Holistic consumer understanding applied to offer implementable business solutions revolving around shopper insights. planning and managing creation. www.com/tfas . deep understanding of its industries of focus.Services we offer through our Group Companies 40 B u i l d i n g T o m o r r o w Planning. www. technical valuation. engineering and prototyping. www. space and strategic design.indiamindscape. www. power & water audit and environmental engineering. and an efficient negotiating platform for stakeholders.com Strategizing. www.technopak. TFAS offers its clients a global transaction ability. A blend of unique. packaging. transparent and process-driven methodology.foleydesigns.vertebrand. warehouses and entertainment centers with a focus on modernization. marketing communication and measuring customer delight.in Insights and innovation led product.arvana.com Financial Advisory Services Technopak Financial Advisory Services (TFAS) is the financial and transaction advisory services arm of Technopak . design and innovation insights. concepts. trend insights. process improvement. including design research. implementation and project management of plants. With its team of experienced transaction professionals located in India and across US and Europe. development and growth of brands through a scientific.

cushwake. www.com . They are one of the top architectural practices in the UK with extensive experience in architectural and urban design projects in UK and internationally.co. We offer. comprehensive retail real estate solutions to our clients.uk Global research and consulting firm specializing in the study of human behavior in retail. We offer.dalziel-pow.com Partners with Technopak for delivering Projects in India.Services we offer through our Strategic Partnerships 41 World’s largest privately held real estate services firm. through them. www. The practice has major specialism’s in Healthcare Architecture www. and on-line environments. through them. www. design solution for retail environments. We offer consumer and shopper insights.com UK’s leading design consultancy for developing brand environments.envirosell.devereuxarchitects. service. home.

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agents and consultants shall have no liability (including liability to any person by reason of negligence or negligent misstatement) for any statements. No one should act upon such information without taking appropriate additional professional advise and/or thorough examination of the particular situation. reproduced or used in whole or in part for any purpose or furnished to any other person(s). that summary should not be relied upon and the relevant. The person(s) who is/are in possession of this information package or may come in possession at a later day hereby undertake(s) to observe the restrictions contained herein. consequential or other loss arising from any use of this information package and/or further communication in relation to this information package.Disclaimer 44 • This information package is distributed by Technopak Advisors Private Limited (hereinafter “Technopak”) on a strictly private and confidential and on ‘need to know’ basis exclusively to the intended recipient. It is intended to provide a general guide to the subject matter and should not be relied on as a basis for business decisions . The content provided here treats the subjects covered here in condensed form. opinions. Further. • The information contained herein is of a general nature and is not intended to address the facts and figures of any particular individual or entity. reliability and completeness of the information and obtain independent and specified advise from appropriate professional adviser. employees. information or matters (expressed or implied) arising out of. This information package is distributed by Technopak upon the express understanding that no information herein contained has been independently verified. indirect. Technopak and its directors . . Also. no representation or warranty (expressed or implied) is made that such information remains unchanged in any respect as of any date or dates after those stated here in with respect to any matter concerning any statement made in this Information package. This information package and the information and projections contained herein may not be disclosed. no representation or warranty (expressed or implied) is made nor is any responsibility of any kind accepted with respect to the completeness or accuracy of any information as maybe contained herein. contained in or derived from. or of any omissions from the information package and any liability whatsoever for any direct. • All recipients of the information package should make their own independent evaluations and should conduct their own investigation and analysis and should check the accuracy. where this information package summarizes the provisions of any other document. as they deem necessary .

com .kumar@technopak.vaid@technopak.Authors 45 • Raghav Gupta.mondal@technopak. Associate Vice President | ashish.com • B.com • Arvin Mondal.com • Ashish Dhir.com • Vijaya Kumar. President | raghav. Principal Consultant | vijaya. Senior Consultant | varun.gupta@technopak.com • Varun Vaid.talukdar@technopak. Consultant | somnath.com • Somnath Talukdar. Senior Consultant | b. Consultant | arvin.prakash@technopak.Prakash.com • Pakhie Saxena.dhir@technopak.saxena@technopak. Principal Consultant | pakhie.

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Building 8 DLF Cyber City. Gurgaon 122 002 (National Capital Region of Delhi) T: +91-124-454 1111 F: +91-124-454 1198 Bengaluru Prestige Solitaire. Ltd. Fashion Practice E : ashish. Sunjana Tower Sun Magnetica Service Road. Luis Wadi. Gurgaon 4th Floor. 6 Brunton Road. Bengaluru 560 025 India T: +91-80-4034 8600 F: +91-80-4034 8699 Mumbai 101-105. Off MG Road.dhir@technopak. Ground Floor. Mumbai 400 602 T: +91-22-2583 2222 F: +91-22-2583 8408 .com M : +91 9871654747 Technopak Advisors Pvt.technopak.www.com Ashish Dhir Associate Vice President. Phase II. Thane West. 2nd Floor. Tower A.

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