Confederation of Indian Textile Industry welcomes multi-brand retailing

AHMEDABAD: The Confederation of Indian Textile Industry (CITI) has welcomed the Centre's decision allowing 51% investment in multi-brand retailing. CITI chairman S.V. Arumugam said the decision would encourage organised retailing, which in turn would result in more centralised procurement operations, improved supply chain management and reduced involvement of middlemen between producers and retailers.

While producers including farmers would get higher remuneration, consumers would get the finished products at more competitive prices with the elimination of exploitation by middlemen, CITI chairman said in a statement.

He said all over the world, textiles business depended heavily on organised retailing for efficient distribution systems and supply of garments and home textiles to consumers at low cost. In India, fabrics are also a major retail item.

Economies of scale in both procurement and distribution would reduce cost for businesses and prices for consumers, especially for textile products which are basic needs of the masses. This would also push up consumption to the benefit of the economy as a whole.