<strong>Welspun</strong> Group | TextilesAdvantage <strong>India</strong> – Better placed than key competitors… <strong>India</strong> better placed than key competitors – China and Pakistan – in textiles, particularly home textiles Cotton : <strong>India</strong>, a net exporter of cotton, while China and Pakistan are net importers leading to lower costs and betteravailability in <strong>India</strong><strong>India</strong> – only major textile supplier which is “Net Exporter” of cottonMn. tonnesCountry Production Consumption Exports ImportsChina 6,400 9,600 30 2,610<strong>India</strong> 5,770 4,550 1,170 85Pakistan 1,910 2,200 130 310USA 3,940 850 3,130 -Brazil 1,960 990 435 150Turkey 450 1,250 - 750Others 4,440 5,020 2,705 3,695World 24,870 24,460 7,600 7,600<strong>India</strong>’s Share 23% 19%Source: Cotlook Labour : <strong>India</strong>n costs lower than/comparable to China. Average wage in China growing at 18-20% p.a. Power : Costs for large <strong>India</strong>n producers having own captive plants comparable to China and Pakistan. Pakistan facinghuge power shortages leading to production disruptions Dyes and chemicals: <strong>India</strong>n costs lower than/comparable to China and Pakistan8
<strong>Welspun</strong> Group | Textiles9…leading to market share gains <strong>India</strong>’s market share gain most prominent in home textiles, especially in the US market <strong>India</strong>, Pakistan and China account for more than 85% of the total exports to USA in home textiles Of these three, <strong>India</strong>’s share has been steadily increasing while the other two have maintained or lost shareTowels (Cotton)30% 31%27%23% 24%22% 23%20%35%25%24%16%36%26%22%15%2009 2010 2011 2012<strong>India</strong> China Pakistan ROWSheets (Cotton)45%27%33%29% 30%26%18%38%24%21% 22%22%18%16% 16% 15%2009 2010 2011 2012<strong>India</strong> China Pakistan ROWSource: Otexa