Textile industry bets big on Latin American mkt.

New Delhi: The Indian textile industry, yet to recover from the impact of recession is making a desperate bid to grab a share of the growing textile markets in Latin America.

Argentina and Brazil which are eyeing investments into India’s textile industry, will play host to 22 Indian companies going to participate in the Mega Textile & Clothing Exhibitions in Buenos Aires, Argentina March 25-26 and Sao Paulo, Brazil March 29-30, under the flag of Synthetic & Rayon Textiles Export Promotion Council (SRTEPC).

Indian ambassador to Argentina, Uruguay and Paraguay, R Viswanathan, told FE, “Latin America is a focus area with huge potential for export expansion of textiles, as Indian exporters are less familiar with these markets. Among the LAC countries, Brazil and Argentina hold the highest potential for increase in exports of textiles and clothing from India.”

Though Brazil and Argentina import textiles & clothing worth Rs 17,243 crore and Rs 7,290 crore respectively, India's share in these markets is negligible at 12% & 6% respectively. Hence there is tremendous scope for increasing India’s exports of textiles to these markets and the mega shows are meant to achieve this objective, Viswanathan explained.

The event is jointly organised by SRTEPC in co-ordination with the Apparel & Cotton Textile Export Promotion Councils (AEPC & TEXPROCIL), with the active assistance of the concerned Indian Missions.

“Also, for the first time an exclusive fashion show is also being organised at Buenos Aires, Argentina on March 24, to showcase the capability & strength of our textile & clothing industry among the fashion conscious buyers there,” said the envoy. Adding, “a rich collections of Indian textile & clothing products will be showcased through BAAM Fahsion Week in Buenos Aires, Argentina, which is the fashion capital of Latin America." Two Indian designers are participating: Anita Dongre and Nachiket Barve and two Argentine designers who use Indian materials and accessories will also participate. One is

Fabián Zitta and the other is Mónica Socolovski who has a passion for India . Argentina's imports of textile & clothing from the world market reached to $1.62 billion during 2008 and growing 23% compared to 2007. And its import of textile & clothing from India is only $95.20 million with a share of only 4.13%.

Import of man made fiber (MMF) Textiles from the global market by Argentina accounts for over 30% with a value of $ 488.64 million. Brazil, China, Indonesia, Pakistan, and Republic of Korea are the leading suppliers for MMF Textiles to the Argentine market.

Brazil's imports of textile & clothing from the global market reached to $3.83 billion during 2008. While, its import of MMF textiles from the world market accounts for over 42% with a value of $1.61 billion.

Source : Financial Express