Powerloom Sector in Tamil Nadu
THE GOVERNMENT OF TAMIL NADU
DEPARTMENT OF TEXTILES
Presented by
Gherzi Consulting Engineers Pvt. Ltd.,
C&B Square, 501 CTS 95A,
127, Carnival Cinema Building, Andheri East,
Mumbai - 400059
29th April 2025 Policy perspectives Page 1
CONTENT
01 Introduction
02 Global Weaving Industry & India
03 Challenges & opportunity
04 Case study
05 Policy perspective
Policy
Global perspectives
Trends Page 7Page 2
Introduction 01
The aim of today’s session is to provide a snapshot of the current situation and present a
blueprint for future
1
Present status:
TN represent 20% share in India’s powerloom installed capacity, sector facing
challenges
2
Opportunity: Scope for 2nd Ichalkaranji
(investment, production,exports,employment)
3 ... And what needs to be done (policies,incentives,programmes)
Policy perspectives Page 3
CONTENT
01 Introduction
02 Global Weaving Industry & India
03 Challenges & opportunity
04 Policy perspective
05 Case study
Policy
Global perspectives
Trends Page 7Page 4
Global Weaving Industry & India 02
5 components of India’s weaving industry highlight the strengths and weaknesses
1 Global weaving installed capacity
2 India weaving machines shipments
3 Structure of textile industry
India’s fabric production - segment
4
wise
5 Key clusters in India
Policy perspectives Page 5
Global Weaving Industry & India 02
India has been continuously investing in upgradation of weaving machinery showing
increasing trend towards shuttleless technology dominated by waterjet technology
World installed shuttle-less weaving machines capacity [‘000 numbers]
109 109 109 110 109
72 72 71 69 68 32 32 33
25 27
52 52 53 31 32 32 31 32
97
93 93 9 16 24
7 7 7
16 17 18 19 20 21 22 23 16 17 18 19 20 21 22 23
16 17 18 19 20 21 22 23 16 17 18 19 20 21 22 23
Western Europe Eastern Europe Vietnam
North America 1061
835 860 875 900 860 940 940
55
50 50 49 50 50 50 53 37 38 39 39 39 38 44 45
16 17 18 19 20 21 22 23 16 17 18 19 20 21 22 23 16 17 18 19 20 21 22 23
Turkey Pakistan China
243
211 76 81
160 40 45 47 43 45
116 125 125 125 34
17 17 17 18 16 18 24 26 23
16 17 18 19 20 21 22 23
16 17 18 19 20 21 22 23 16 17 18 19 20 21 22 23 Bangladesh
India
Africa 1'708
1543
1'331 1'373 1'308 1'413
1'160 1'292
56 56 56 57
53 53 53 53
16 17 18 19 20 21 22 23 16 17 18 19 20 21 22 23
South America Total Asia & Oceania
(incl. Pakistan, India, China, Vietnam)
Source: ITMF
Policy perspectives Page 6
Global Weaving Industry & India 02
India has been continuously investing in upgradation of weaving machinery, increasing
trend towards shuttleless technology dominated by waterjet technology
India: Imports of shuttle-less weaving machines (‘000 No of mc’s)
• Post Covid-19, the annual weaving machinery
N°mc’s
imports showed upward trend and touched a figure
Airjet Rapier+Projectile Water jet Total of 32 thousand machines by 2023
35
31.98
30
• All 3 technologies, airjet, rapier+projectile and water
26.23 jet, represents almost 1/3 share each
25
• Increasing trend towards shuttleless technology
Thousands
20.34
20
16.22
dominated by waterjet
10.03
15 12.84 11.46
10.48 11.178 10.78
6.57
10 7.95
6.29 3.25 7.08 6.74 6.83
5 3.365 3.119
2.515
0
2019 2020 2021 2022 2023
Source: ITMF
Policy perspectives Page 7
Global Weaving Industry & India 02
The Indian textile industry is structured in 3 major sectors with the decentralized
segment comprising a large number of MSMEs and being the largest in terms of
production and employment
• Man-made (synthetic fibre) producers
• Spinning mills
Organised mill sector • Composite mills
• Garment manufacturers
• Powerlooms
• Independent weaving units
Decentralized sector • Knitting and hosiery units
• Independent processing units
• Garment manufacturing SMEs
• Handloom weavers
Cottage industry • Khadi units
Policy perspectives Page 8
Global Weaving Industry & India 02
The unorganized sector present the largest segment (58%) whereas the share of
organized mill sector has remained below 3% of the total fabric production
India’s fabric production by type [bn m2]
Mill made Handloom Unorganised
Powerloom
Sector
Knitted Khadi,wool and silk • India’s fabric production reached 72 bn m2 in 2022
90
(Power loom sector) growing at ~1.3% CAGR
66 bn 72 bn 77 bn
80 m2 m2 m2 • The unorganized sector present the largest
CAGR: 1.3%
segment (58%) whereas the share of organized
70
mill sector has remained below 3% of the total
60
fabric production
• Based on a business-as-usual scenario, the
50
production is predicted to reach 77 bn m2 until
40 2026
44.5
30 38.9 39.8 42 41.8 58%
36.9 35.6 38.9
57% 58%
20
10
0 ~ 3% ~ 3%
FY 2016 FY 2017 FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 FY 2026
Note: 2020-21 onwards Gherzi estimates/projection Source: ASFI, TxC
Policy perspectives Page 9
Global Weaving Industry & India 02
India’s highly fragmented textile and clothing industry is spread over 20 major clusters
~ 20 key textile clusters
Punjab, Haryana, NCR
❑ Punjab and Haryana: Knits and
Ludhiana Knits
Hometex, Cotton Spinning (PES/Co)
Panipat Recycling
Hometex
❑ Bhilwara: Suiting, denim and cotton
West Bengal
textiles
Rajasthan
Bhilwara Weaving Kolkata Knits ❑ Gujarat: Surat- MMF textiles and
Ahmedabad- Denim
❑ Maharashtra: Tarapur- Suiting,
Gujarat furnishing and cotton shirting;
Surat MMF MP • Bhiwandi- Polyester/cotton fabric;
1’000 • Ichalkaranji - Cotton fabric
Ahmedabad Weaving • Solapur- Terry towel
Maharashtra
❑ Karnataka: Silk furnishing
Tarapur Weaving ❑ Tamil Nadu: Cotton Spinning, Knits and
Powerloom woven fabrics
Bhiwandi Weaving AP/Hyderabad
Ichalkaranji Weaving Hyd/Guntur Weaving ❑ West Bengal: Knits
Solapur Weaving
❑ AP/Telangana: Wovens
Tamil Nadu
Karnataka Tirupur Knits
Doddaballapura Theni Weaving
Silk,
Bangalore RMG Erode, Salem, Weaving
Karur, Thenkasi
Source: Gherzi database
Policy perspectives Page 10
Global Weaving Industry & India 03
India’s T&C industry,valued at US$ 176 Bn (Rs. 1412 Lakh Cr) and has been growing at 4% CAGR;
The industry output will have to be doubled to achieve the $ 350 Bn target by 2030.
India’s Textiles & Clothing Industry Output (US$ bn current )
250
A* $234 B*
234
bn
$350
350
200 193 bn
$176
176
bn
160 161 $154
154
bn
150 141 138 140 142 137
$112
112
bn
113
$176
176
100
bn
50 CAGR : 4%
2022-23 2029-2030
*A : Business as usual scenario ; B: Optimistic scenario to achieve Vision 2030
NB: 2029-30 forecast based on business-as-usual scenario
NB: Data is based on MOSPI National Accounts Statistics(NAS) Source: MOSPI
Policy perspectives Page 11
CONTENT
01 Introduction
02 Global Weaving Industry & India
03 Challenges & opportunity
04 Case Study
05 Policy perspective
Policy
Global perspectives
Trends Page Page
7 12
Challenges & opportunity 03
Challenges
▪ According to the annual report, 2018-2019 of Ministry of Textiles, there are 27.77
lakh powerlooms installed in the decentralized sector in India
▪ In TN, there are 5.68 lakh powerlooms (20% of total installed powerlooms)
• Outdated technology: Deployment of old looms, leading to low
productivity and quality issues.
• Fragmentation: The sector is unorganized with small units.
• Competition: From large composite mills, global textile
manufacturers (i.e. imports), and rising costs.
• Financial stress: Limited access to formal credit and finance.
Policy perspectives Page 13
Challenges & opportunity 03
Opportunities
• Focus on modernization (automatic shuttle-less looms).
• Shift toward value-added products (fancy fabrics, technical
textiles).
• Greater sustainability initiatives (eco-friendly processing).
• Integration into global value chains as Indian textiles look to
compete internationally.
Policy perspectives Page 14
CONTENT
01 Introduction
02 Global Weaving Industry & India
03 Challenges & opportunity
04 Case study
05 Policy perspective
Policy
Global perspectives
Trends Page Page
7 15
04
Case Study
From handlooms to high-tech: Ichalkaranji’s journey to automation: The unsung textile
cluster in Maharashtra is weaving change, pulsing with energy and ambition
ICHALKARANJI
(Manchester of Maharashtra)
Policy perspectives Page 16
04
Case Study
Ecosystem
• 25 spinning units
• The city has approximately 175 sizing units including from renowed
ICHALKARANJI
OEMS like Karl mayer etc
(Manchester of Maharashtra)
• About 80,000 power looms, 15,000 shuttle-less looms of European and
Japanese make. Production of 1.5 Cr fabrics per day- Rs 50 crore a day.
• Market for 2000 shuttleless weaving machines and 30 preparatory
machines yearly
• The presence of a qualified workforce and the level of technical know-
how and easy accessibility to the finest weavers of Ichalkaranji for
outsourcing and overall good social ambiance were among the factors
that influenced
• Italian textile major Tessitura Monti, Turkish textile maker 'Soktas',
Raymond Shirting invested near Ichalkaranji city.
Policy perspectives Page 17
04
Case Study
Ecosystem
❑ Market drivers:
ICHALKARANJI
(Manchester of Maharashtra)
• Ichalkaranji cluster is well developed for cotton-based
fabrics since 1980s
• Ichalkaranji cluster continues to grow as it falls under
unorganized textile cluster where State Govt. offers
support (i.e. power subsidy (which is key contributor to
operational cost for airjet technology) and other cluster
incentives).
• Cluster gradually shifting towards shuttleless weaving
machines due to increasing costs (Manpower and land)
and to meet quality fabric demand
Policy perspectives Page 18
CONTENT
01 Introduction
02 Global Weaving Industry & India
03 Challenges & opportunity
04 Case study
05 Policy perspective
Policy
Global perspectives
Trends Page Page
7 19
Policy perspective 05
Components of PowerTex India Scheme
PowerTex
India Scheme – 5.1 In-situ Upgradation Scheme for Plain Powerloom
modernization
Policy perspectives Page 20
Policy perspective 05
5.1 INSITU UPGRADATION SCHEME FOR PLAIN POWERLOOMS
Source: MOT Annual Report 2024
Policy perspectives Page 21
Questions or comments
Consultants to the industry since 1929
Gherzi reference: Birla Green Fibres
Policy perspectives Page 22