20161004

Worldwide Competitiveness of the Dyeing And Printing Industry



Dr. Vijay Pithadia


Abstract:

The present paper discusses the worldwide competitiveness of the Dyeing and Printing Industry of Jetpur. It is divided into various sections like introduction, history and development, future prospectus of the industry and conclusions. In the current era, each and every country, economy and industry is influenced by the process of globalization. The fast-paced economic and political changes across the world are forcing India to be more globally competitive. The paper gives a bird’s eye view of globalization, its impacts on the world and Indian economy and on the domestic textile industry. The paper presents the global competitiveness of the industry of Jetpur and suggests the areas through which it can globally compete. These areas are global orientation, quality reputation, to export in the most demanding global markets, adoption of modern technology and new marketing strategies, productivity through infrastructure, value-addition of labors through leadership and motivation, establishment of the organizations on a large scale in the company form of business organization and to create brand image by providing better products at lower prices.


Introduction:

Today, there is an era of globalization which broadly refers to the expansion of global linkages, the organization of social life on a global scale and the growth of a global consciousness, hence to the consolidation of world society. The impact of globalization has undoubtedly led to the economic growth. Of course, there have also been the negative effects of globalization on the world economy. The major effect of globalization is that the global economy is becoming more integrated day by day. The volume of world trade has grown at a faster rate than the volume of world output. There has been a trend of lowering the barriers of the flow of goods, services and capital among countries. In order to become competitive, companies have started investing in overseas operations. The growth of world trade, foreign direct investment and import leads to more foreign competition in the domestic markets and domestic firms are required to enhance the production and distribution capabilities. Companies have started looking the world as a market for their products.
        
In the whole world, there is no country or economy which is free from the effects of globalization. India is also largely influenced by the process of globalization. As Indiaintegrates into the world economy, there is a need to reposition itself as a country. From the domestic-oriented, self-sufficient license Raj, it has come a long way to become a globally-oriented economy focusing on those key sectors of the economy where it has a resource advantage over other nations. India has a large textile industry and is the second largest producer of textiles in the world next to China. Textile industry includes various processes like cotton picking, ginning, spinning and weaving, processing, dyeing, printing and finishing. Thus, the Dyeing and Printing Industry of Jetpur is a part of the textile industry. It mainly deals with the dyeing and printing processes and products like cotton sarees, dress materials, khangas, kitangas, bandhani and bad sheets. The industry of Jetpur also has entered into the process of globalization through export business. But a decline in the demand of its products does not give much scope for future expansion of the industry at global level.


History and Development of the Dyeing and Printing Industry in Jetpur:

As stated earlier, the Dyeing and Printing Industry is one of the parts of the textile industry. So, it is very necessary to know about the textile industry. The Indian textile industry has been very famous for its textile products since ancient times. The decentralized textile industry of Indiais spread over the states of the country like Gujarat, Maharashtra, Rajasthan and West Bengal. It is also true that Gujarat, a leading state in the country has also been famous for its textiles and especially for dyeing and printing crafts. Various modes of dyeing and printing had been developed in Gujaratfrom the beginning of the 19th century. Ahmadabad, Rajkot, Jetpur and Kutchare the places where the dyeing and printing industries were developed in cotton materials. At that time, various trades from different places of Saurashtra had been called upon to promote the economic expansion of Jetpur. As a result, many Khatri artisans coming from Kalawad, Junagadh, Amreli, Kuthiyana, Bhesan, Majevadi and Bagasara had come to Jetpur to develop printing crafts and trade and they were followed by the artisans of other castes considering the success of the industry. Many factors play and important role in the development of the industry like the quality of water, favorable approach of local government, infrastructural facilities etc.

Before 1947, a block printing method, one of the methods of dyeing and printing was used in Jetpur. Then Bachubhai, the promoter of “Jagadish Textile Dyeing and Printing Works” had launched the screen printing method in the industry which had given a new out look not only to his industrial group but also to the whole industry of Jetpur. Other block printing units also shifted gradually from block printing to screen printing and in the seventies, block printing method was completely disappeared from Jetpur. Several ancillary manufacturing activities like the trade of cloth, dyes, chemicals, packaging materials, roll finishing, pressing and folding of sarees, washing ghats and transports etc. have been promoted by the development of the industry in Jetpur.

 The best period for an expansion of the industry in Jetpur took place from 1970 to 1983. Then the industry faced an economic crisis mainly due to cut throat competition with synthetic cloth, depression of demand and a pollution case at the Honorable High Court of Gujarat state. So, Gujarat State Water Pollution Control Board stopped issuing a ‘No Objection Certificate’ for new units and as a result, in 1992, a “Common Effluent Treatment Plant” (C.E.T.P.) was constructed to filter the polluted water. But the problem of the chemical pollution created by the washing places scatter along rivers and in agriculture fields has not been solved yet. In past, only sarees were printed in Jetpur and sold at national level. Then near by 1991, the entrepreneurs of the industry tried a lot to overcome from the above discussed problems. They created the demand of their printed cotton materials in the African countries and started to print khangas and kitangas (dress materials of the African people) by semi automatic felt belt printing machines. At present, 65% of the total production is related to exports. Thus, the industry earns a lot of foreign exchange from exports.


Future Prospectus of the Dyeing and Printing Industry of Jetpur City:

During the golden years of the industry, Jetpur was knows as “The Little Dubai” of Saurashtra. But the decline in the demand does not give much scope for future expansion of Jetpur Dyeing and Printing Industry at the global level. It is the part of the textile industry which is India’s sun-rise sector. The rising domestic demand along with opening up the world market has led to the recent growth for Indian Textile and Apparel Industries. At this juncture, it is a need to know our competitiveness and understand the key success factors in this quota free regime. It is now well accepted that India and China are the two biggest beneficiaries form the phase out of the quotas. India’s share in the global textile market is still around 4% against 17% share held by China. But India is well equipped to provide fashion driven products on a small sector and Indian textile products are known for their striking and rich designs and excellent finishing in West Europe and North America. With the dismantling of multi-fiber agreement since January 2005, India can now export to any country.

Besides all these, Gujarat is a leading textile state in Indiaand also the largest producer of cotton in our country. Gujarat accounts for 12% of India’s textile exports, 24 to 28 % of fixed investment, production value and employment in SSI sector of the state is from textiles. Under the Gujarat Industrial Policy, the state government has announced and implemented many schemes for assisting the entrepreneurs such as subsidy for existing units for technology up gradation and setting up industrial parks. With the on-going industrial development, environmental issues have become one of the major concerns for the state administrations. Therefore, C.E.T.P. for textile processing is also assisted in different places of the state. In addition to these, 25% capital subsidy provided by ministry of Environment & Forest, state government also extends 25% capital subsidy for setting up C.E.T.P. in Gujarat.

All of this discussion is about national and global scenario of the textile industry which is directly connected with the Dyeing and Printing Industry. Jetpur Dyeing and printing industry also gets the benefits of the government schemes to increase the business and compete globally which shows that the industry is not free from the effects of globalizations. But the main critical problem which prevents the development of the industry is the pollution of water and agricultural land because it is very harmful and dangerous to the health of people and animals and also to the agricultural crops. If the industrialists follow the government rules, they can expand their business not only at national but also at global level. Thus, the future of the Dyeing and Printing Industry of Jetpur is very bright.


Global Competitiveness of the Dyeing and Printing Industry of Jetpur City:

Global competitiveness means better products and services at lower prices. It is a very simple model. If you offer superior products at lower prices, the world comes to you. To complete globally, there should have a global orientation. There should be no export quality versus domestic quality; it should all be the same quality. It means that the industry of Jetpur must follow high quality standards not only for global market but also for domestic market so that it can expand the business successfully in foreign countries and also in India over the competitors.

The managers of the industry of Jetpur should keep in mind location, age, sex, income level, buying habits, buying trends and habits of their customers which are geographically scattered in all over the country and the world. The industry has also a cut throat competition with the synthetic cloth. In order to gain a competitive advantage, the industry must give customers a reason to choose its products over the competitors’ products of synthetic cloth. Through R&D, new features like durability of color and fabric can be added and new uses of existing products can be identified so that the industry can achieve new customers and maintain the existing customers. For this purpose, new marketing strategies must be adopted. Another aspect is productivity through infrastructural facilities like finance, raw materials, transports, labors and textile zone. All the facilities except textile zone are already available in Jetpur. If the textile zone is established near the city, all the processes of the textile industry can be undertaken before dyeing and printing. Thus, the quality of cotton fabric can be improved and cost can be minimized. Accordingly, profit will be maximized. All of these will be very helpful to the Dyeing and Printing Industry of Jetpur city to compete globally.

Leveraging human capital is another aspect. To compete on a global basis, value-addition is indeed needed on the part of the labors. Their potential needs can be realized through leadership and motivation and productivity per labor can be increased. To compete globally, the industry of Jetpur should export in those global markets where the demand of its products is high as compared to other markets and to succeed in the most demanding markets, they must be globally competitive, not domestically competitive. All the units in the Dyeing and Printing Industry of Jetpur are worked either as sole proprietorship or as partnership firms on a small scale. If they are established as a company form of business organization on a large scale, they can get enough financial resources, knowledge of highly qualified persons, the advantage of mass production and other benefits. To become a globally competitive, the last thing is needed to create brand equity and it will emerge only if better products are offered at lower prices to the customers. Therefore, the industrialists of Jetpur should offer high quality goods but at lower prices to create brand image at global level.

Conclusion:

The Dyeing and Printing Industry is an identity of Jetpur. It is very famous for its cheap cotton sarees at international level. It has the history of more than 60 years. The main factor which prevents the development of the industry is environmental issues. To compete globally, the managers of the industry should keep in mind certain factors such as global orientation, quality reputation of the products, to export in the most demanding global markets, adoption of modern technology and new marketing strategies, productivity through infrastructure, value-addition of labors through leadership and motivation, establishment of the organizations on a large scale in the company form of business organization and to create brand image by providing better products at lower prices.


Bibliography:

[1] Jagadish Sheth,”Making IndiaGlobally Competitive”, Vikalpa, October-December, 2004
[2]Manju Nair, “Creating Global Competitive Advantage: Challenge and Strategies”, Management Trends, April-September, 2005
[3] Textile Review, Saket Publication, vol.1, October, 2006
[4] Rajubhai Patel, ‘Jetpur Textile Industry ni Gaikal, Aaj ane Avatikal”, Business Sovenieer, Jetpur Junior Chamber, 2001
[5] Sampatram, B., “Saurashtra Deshno Itihas “, Ganpat Krishnajina Chohapkan, Bombay, 1968