Domestic technical textiles Industry Segment-wise consumption of ...

Company Name
Capital Employed
(Rs crore)
Net Profit Ratio
(%)
2006-07 2007-08 2006-07 2007-08
Eastman Industries Ltd. 35.7 41.3 2.1% 3.8%
Fiberweb (India) Ltd. 41.6 -10.0 -8.8% -159.5%
Gufic Biosciences Ltd. 20.3 18.9 1.2% 1.6%
Johnson & Johnson Ltd. 235 350.6 8.0% 6.2%
Procter & Gamble Hygiene & Health Care
Ltd. 272.7 291.2 20.0% 14.87%
Ramaraju Surgical Cotton Mills Ltd. 117.3 196.3 3.9% 1.8%
T T K Healthcare Ltd. 43.4 52.6 1.4% 5.38%
Unimin India Ltd. 22.3 23.9 -140.9% -102.4%
Source: Prowess database, IMaCS analysis
Meditech segment of technical textiles is estimated to provide employment to 32,000 people 4 of
whom number of technical 5 employees is estimated at 20,000 and number of non-technical employees
is estimated at 12,000.
The key impediments to the growth of meditech products are:-
1. High cost of machinery and high excise costs and other manufacturing costs make diaper
production in India costlier than the imports
2. Absence of any norms for medical waste management of medical disposables in India
3. The usage of surgical disposables is low because of low awareness levels and lack of
standards enforcing the usage of medical disposables
4. The organised surgical dressing industry is subjected to excise duty which is exempted for
small scale industries manufacturing surgical disposables. Also, the small scale industries are
eligible for VAT exemption in some states. Hence, the indirect costs on the production render
the products manufactured by organised industry expensive as compared to unorganised
industry.
5. The decision to purchase medical implant is driven by the doctors, who generally prefer
imported products over indigenous ones.
4 Employment has been estimated based on the analysis of primary and secondary data available for the
technical textile manufacturers. IMaCS has made appropriate adjustments because of insufficient data.
5 Technical includes managerial staff and skilled labour whereas non-technical includes unskilled labour.