Denim Industry Analysis

Denim is a vital component in the world of fashion and has emerged as a favourite among youth .It is one fabric that will never completely go out of fashion.The Indian denim industry is growing with introduction of new technologies and changing trends .

The Indian denim market is a billion dollar industry and has steady growth year after year but the average denim apparels used and ownes by Indian consumer is lower in comparison to United States, Brazil ,Europe and China. With recent substantial growth in cotton production demonstrates the huge potential that exists for denim .

The popularity and easy consumer acceptance has spread jeans to every corner of India.The Indian denim manufacturing capacity at present is per year 1.2 billion

To examine the growth potential and current scenario for denim industry
4. To examine the future potential and challenges facing the industry.

THE INDIAN DENIM INDUSTRY

The first generation of textiles In India were produced by spinning and weaving of natural fibers, the second generation produced were by manmade fibers like nylon, polyester , polypropylene and the latest with technology advances have entered the third generation of modern textiles development.

According to India, The Cotton Textiles Export Promotion Council (Texprocil) , textiles sector is one of the oldest industries with export earnings worth US$ 41.4 billion in 2014-15,with a growth of 5.4 per cent it is the second largest manufacturer globally with 14% of Industrial production,4% of National GDP, 12% share of country 's export basket and Employs 45 million people

The Indian textile industry has two broad segments namely , the unorganised sector consisting of handloom, handicrafts and sericulture operating on small scale with traditional tools and methods and the organised sector with modern machinery and techniques consisting of apparel , spinning and garments segment .

According to UN ,comtrade 2013 report,Although India is the second largest textile manufacturer

However, the country faces high competition in international market, Denim production from neighboring countries such as, Pakistan ,Bangladesh and Indonesia.

According to KG Denim and LNJ data, The total worldwide denim fabric capacity from main 300 manufacturing units production will be approx. 7.5 billion yards and is expected to increase to 10.5 billion yards by year 2021. The leading denim fabric production and supply is from China having a capacity of approximately 2-2.5 billion yards per annum . Other major manufacturers are India, Pakistan, Turkey, Bangladesh and Brazil .

Wilson (2011), The Global market of denim products worth an estimated US $54 billion at retail in 2011,with demand growing steadily at 5-6 %,although growth in flat in mature markets such as the US, Europe as well as Korea and Japan, with the rest of Asia is responsible for much of the increasing demand,

India