No less than 257 member companies with a combined annual turnover of Rs 36,000 crore participated in the survey of manufacturing units across the value chain which includes spinning, semi-integrated, integrated, weaving , clothing, processing and home textiles.
While 30 percent of entrepreneurs said they were confident to double their current sales in 3 years with a compound annual growth rate (CAGR) of 25 percent, 18 percent said they would double their current sales in 4 years with a 20 percent CAGR and 36 percent reported meeting the goal of doubling yarn sales in 5 years with a 15 percent CAGR.
A total of 76% of companies surveyed said they had doubled their current location in 3-5 years with a new round of investment, ITF President Prabhu Damodharan said on Monday.
Stating that this shows a very positive and dynamic change in the business environment in the textile and clothing sector in Tamil Nadu, he said that the sub-segments of textile manufacturing, home textiles, the weaving and clothing segments showed better dynamics in terms of growth.
“This trend will help the TN textile sector to further strengthen the manufacturing of value-added products,” he said.
Regarding the interest of the second generation and the young generation in the textile sector, 58 percent of the entrepreneurs showed a strong will of the next generation to move the business forward, which is a positive sign, did he declare.
When exploring IPOs, 16% of companies (around 40 companies) were keen to explore the option of listing their shares on Indian stock markets, whose market capitalization exceeded Rs 240 lakh crore.
The ITF team will guide companies interested in manufacturing value-added products, create various platforms for NextGen to engage, and guide companies to enter equity markets structurally, Prabhu said. .