Purushottamk posted Re:US Recession Hits Garment Exports from India on 3 mnths ago
india is a huge market. many foreign companies are vying for indian market. but the indians are not relying on domestic demand. if we focus on domestic demand and try to develop market here then our dependance on west can be minimised.
rawemotions posted Re:US Recession Hits Garment Exports from India on 3 mnths ago
It is not as if people in India are not willing to buy clothes. They cannot afford the huge wardrobes and make do with a minimal set. Demand has saturated. Unless there is more wealth increase, people will not buy more clothes.
Unless they have large houses, they will not maintain huge wardrobes.
US has a higher purchasing power. That is why it is a bigger market by revenue.
There is enough cotton production in India to make all the clothes people can buy and also make clothes for export.
Instead India exports Raw Cotton to Bangladesh/Pak and China who process them and export finished clothes.
That market could have been India's. However India was late to modernize and did not capture the market.
So ,as far as the textles are concerned, I do not find the domestic demand argument convincing
The trickle down effect of larger revenues for a finished products like clothes will result in stronger growth
in the economy.
Purushottam Kumar
arth.sulekha.com
Unless they have large houses, they will not maintain huge wardrobes.
US has a higher purchasing power. That is why it is a bigger market by revenue.
There is enough cotton production in India to make all the clothes people can buy and also make clothes for export.
Instead India exports Raw Cotton to Bangladesh/Pak and China who process them and export finished clothes.
That market could have been India's. However India was late to modernize and did not capture the market.
So ,as far as the textles are concerned, I do not find the domestic demand argument convincing
The trickle down effect of larger revenues for a finished products like clothes will result in stronger growth
in the economy.