Department of Handlooms and Textiles,

Government of Karnataka

Technotex India 2011, Mumbai

25th -27th August, 2011

Opportunities in the Technical Textile Sector – Karnataka

Index State Profile & Textile Industry SnapshotTechnical Textiles Profile - Global and IndianThe Industry in Karnataka – MappingFactor Conditions

Government Initiatives Raw Material Availability Infrastructure/Logistics Market Linkage Skilled manpower

Policy Framework / Government Initiatives Investment Opportunities

State Profile & Textile Industry- A Snapshot

State’s Profile

State Capital Bangaluru

Area (sq. km.) 191,791Population 2011 6,11,30,704Population density (per sq.km.) 319Per capita income 2008-09 (Rs.) Rs. 35,555/-Number of districts/Towns/Villages 30/270/27028Literacy Rate (2011) 75.60%Percentage of urban population (%) 35%

Prominent citiesBangalore, Hubli-Dharwad, Belgaum,

Shimoga, Mangalore, Mysore, Gulbarga, Bellary

Major AirportsBangalore, Mangalore, Hubli, Belgaum,

Shimoga, Mysore, Gulbarga

Major Ports Mangalore

Investment Snapshot - Textiles

0

200

400

600

800

1000

2000-2001

2001-2002

2002-2003

2003-2004

2004-2005

2005-2006

2006-2007

2007-2008

2008-2009

30 26120 182

401

704

955

564

219

The total investment in textile sector stood at Rs 3500 Crores for the last decade

During the last 3 years the textile industry has seen an investment of more than Rs. 4000 Crores

The total export contribution from Textile sector is over Rs. 6000 Crores

Technical Textiles Profile – Global and Indian

Technical Textiles Profile

Mobiltech leads at 23.00% followed by Indutech at 16.90% and Sportstech at 14.98%

Together these three form more than 55% of the World Market

World Scenario

Indian Scenario

World Scenario

Indian Scenario

Packtech constitutes largest market segment at 40.25% followed by Clothtech at 15.38%

Together these two form more than 55% of the Indian Market

Technical Textile-Karnataka

The Industry in Karnataka – Mapping

Mapping

The Technical Textiles sector is majorly concentrated in and around Bangalore

Presently, Industries are moving to other parts of Karnataka due to the logistic/infrastructure support that are being provided by the Government

Factor Conditions- Technical Textiles

Government InitiativesRaw Material AvailabilityInfrastructure / LogisticsMarket opportunitiesSkilled manpower

Land Bank

Status Land(in Acres)

Land Notified u/s 28(1) 54395

Land Notified u/s 28(4) 27869

Total 82264Total Land Identified 114756

Land Bank Creation through KIADB

• Single window clearance for Mega Projects.• A new encompassing policy for the sector covering all

value chain of textiles• A professional agency, IL&FS Clusters, has been appointed

by GoK for implementing the textile policy and is assisting the industry in structuring and implementation of the projects

• Establishment of Fashion hub at Bangalore which will be unified buying/selling platform for the textile industry

Factor Conditions – Government Initiatives

Raw MaterialsCotton

Silk

Wool

Particulars Production

Cotton(2007-08) 10.36 Lakh Bales

Silk(2007-08) 8241 Tonnes

Wool(2004-05) 5.3 million Kgs

Petroleum based SEZ at MangaloreBelgaum – Polyester bsaed cluster

Factor conditions - Market Linkage

*Data Source: Govt. of Karnataka

S No. Technical Textiles User Industry Sectorial Data

Karnataka's GDP

Growth(Last 5 years)

Investment in Global

Investors Meet

2010(Rs. in Crores)

1 Agrotech Agriculture, Forestry and Fishing

Agriculture, Forestry and Fishing

12.80 2049

2 Buildtech Building and Construction

Construction 13.12 29423 Geotech Geotextiles, Civil

engineering

4 Hometech

Components of furniture, household textiles and floor coverings

Trade, Hotels and restaurants 14.68 2049

Real State, Business Servising and ownership of dwellings

19.00 29425 Protech Personal and

property protection

Factor conditions - Market Linkage

S No. Technical Textiles User Industry Sectorial

Data

Karnataka's GDP

Growth(Last 5 years)

Investment in Global Investors

Meet 2010(Rs. in

Crores)

6 Indutech Filtration, cleaning and other industrial usage

Industrial Production 15.26

243416

7 Oekotech Environmental protection

8 Packtech Packaging 41196

9 MobiltechAutomobiles, shipping, railways and aerospace

Transport 19.76 1121

Factor conditions - Market Linkage

S No.

Technical Textiles User Industry Sectoral

Data

Growth%(Last three years)

Value of Exports(Rs. in

Crores)

Investment During Last 3 years(Rs. in

Crores)

10 Clothtech

Technical components of shoes and clothing(Exports)

Readymade Garments, Silk and Woolen products

15.16 5970.95 3900

11 Sporttech Sport and leisure

12 Meditech Hygiene and medical

Emerging as the medical tourism hub of India

1467

S No. Type of Institutes No.s

1 R&D Centers 103

2 Universities 11

3 Engineering Colleges 135

4 Health Education 114

5 Polytechnics 181

6 Industrial Training Institutes 600

7 International Schools 13

S No. Type of Institutes (Textiles) Total

1Engineering Colleges (B Tech

Textiles) 4

2 Apparel Training & Design Centre 8

3UG/PG Degree Colleges in Fashion & Tex course 50

4 ILFS Clusters 9

5ITI Training Centers (with Textile related courses) 66

6 Polytechnics 20

7 RUDSET Institutes 7

8 Reputed NGOs/ VTPs 1

9 Weavers Service Centre 2

10 Power loom Service Centre 4

11 Garment Training & Design Centers 2

Fairly good spread of educational infrastructure, both in general and textiles, across the State

Factor Condition: HRD: Educational infrastructure

Factor Conditions – Skill Development

Focused efforts to create a pool of skilled manpower for the industry

Over than 60,000 candidates trained between 2008 – 2011

100 dedicated Skill Development Centers approved in under Policy

Training support being provided to 240 private skill development centers

Policy Framework

Making Textile industry in Karnataka Competitive

Manpower Development Strengthening exisitng set ups &New capacpitites (PPP) basis

Strengthening of Value chainThough Garmenting is a key strength, Policy supports integrated / activity wise development

Geographical Dispersion

Dispersing industry from expensive Metros to backward areas

Infrastructure Development

Cluster based development strategy &Mega Projects Status

Capacity Building Marketing / Design / Product Development &Trade Compliance Support

Institutional Linkages IT enabled placement linkage in coordination with industry & institutes

Professional Handholding IL&FS appointed as SMA to support industry & Government

Fiscal Incentives Zone & Development Based Packaged for SME & Mega Projects

Policy Framework – Suvarna Vastra Neethi(2008-13)

Credit linked Capital Subsidy Entry Tax reimbursement, Stamp Duty Land Acquisition - Cost / Charges Reimbursement Common Infrastructure for Greenfield Textile Parks Power Subsidy (Garmenting, Spinning & Power loom Units) Support for environmental infrastructure Human Resource Development Support for Capacity Building & Standards and Compliances Special need based incentives for Mega Projects on a case - case

basis

Support under the Policy/GoK initiatives

Investment Opportunities

Opportunities Available

Setting Units

Cluster Parks

Mega Projects

Reimbursement based Fiscal incentives(Zone dependent up to approx. Rs. 50 Lacs + Power subsidy during the policy period)

Milestone based development grant (amounting to Rs. 12.00 crores)+Reimbursement based Fiscal incentives to Units within

Need Based assistance – Proposals invited from industry

Should be investment / employment intensive

Projects proposals worth Rs.500 crores in the technical textiles sector received by GoK…

Industrial Developme

nt

Investment Pentagram

Commissioner for Textile Development & Director of Handloom Textiles14/3A, R.P Building, 3rd Floor, Nrupathunga Road, Bangalore.Ph: +91 80 22271628 www.textile.kar.nic.in

Project Director (KAP)14/3A, R.P Building, 3rd Floor, Nrupathunga Road, BangalorePh: +91 80 22711692E-mail: pdsvntex@gmail.com

Thank You

Department of Handlooms and Textiles, Government of Karnataka

Cordially invites to Karnataka Pavilion