Brand push to help apparel exporters
Faced with intense competition from low-wage countries and consequent shrinking of textile and garments exports, Indian textile sector may now bank on Brand India to leverage itself and regain lost ground.
By Sanjeev Choudhary, TNN |
NEW DELHI: Faced with intense competition from low-wage countries and consequent shrinking of textile and garments exports, Indian textile sector may now bank on Brand India to leverage itself and regain lost ground. The government is planning a big bang effort at promoting India as a super brand for apparel sourcing destination.
The ministry of textile has prepared a comprehensive proposal for the large scale brand development to achieve deeper and wider penetration in select markets and also to increase the acceptability of Indian apparels for increased export earnings.
The whole effort would lead to generic promotion of ‘Brand India’ and the individual companies could take advantage of this by stepping up their own brand promotion in tandem. The government also expects that better branding would attract FDI, something which has long eluded the textile sector.
The brand promotion would be undertaken by an SPV, a holding company of all export promotion councils in textile and clothing.
The holding company would assess needs of brand building in different markets on the basis of product-country potential analysis. It would mobilise resources, assist the enterprises in designing and launching the brands in select markets, forging linkages with key stakeholders and engage in other hand holding support.
The holding company shall raise finances from the contribution of the export promotion councils (EPC) and EPC members in addition to the maximum annual government grant of Rs 30 crore.
Advertising campaign in different foreign media, participation in trade fairs, co-promotion through retailers and strengthening of market intelligence network would be taken up as part of brand building exercise.
The government is doing this as the “capacity of Indian industry, by virtue of being SME, fragmented and decentralised, is not in a position to design and launch brand promotion efforts on its own. Therefore, a public-private partnership approach is the appropriate strategy to develop globally accepted Indian apparel brands,” says the proposal.
The ministry of textile has prepared a comprehensive proposal for the large scale brand development to achieve deeper and wider penetration in select markets and also to increase the acceptability of Indian apparels for increased export earnings.
The whole effort would lead to generic promotion of ‘Brand India’ and the individual companies could take advantage of this by stepping up their own brand promotion in tandem. The government also expects that better branding would attract FDI, something which has long eluded the textile sector.
The brand promotion would be undertaken by an SPV, a holding company of all export promotion councils in textile and clothing.
The holding company would assess needs of brand building in different markets on the basis of product-country potential analysis. It would mobilise resources, assist the enterprises in designing and launching the brands in select markets, forging linkages with key stakeholders and engage in other hand holding support.
The holding company shall raise finances from the contribution of the export promotion councils (EPC) and EPC members in addition to the maximum annual government grant of Rs 30 crore.
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Advertising campaign in different foreign media, participation in trade fairs, co-promotion through retailers and strengthening of market intelligence network would be taken up as part of brand building exercise.
The government is doing this as the “capacity of Indian industry, by virtue of being SME, fragmented and decentralised, is not in a position to design and launch brand promotion efforts on its own. Therefore, a public-private partnership approach is the appropriate strategy to develop globally accepted Indian apparel brands,” says the proposal.
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