Suvarna Vastra Neethi 2008-13

  Readymade Garment Sector:

(i) The last stage of the textile value chain is the readymade garment sector, where the maximum value addition takes place. The garment sector is low capital intensive and highly labour intensive. It is estimated that Rs.1 lakh investment in this sector creates about 2-3 jobs. This sector can provide employment to rural workers, as it does not need sophisticated skill sets. This industry has a woman-friendly employment orientation and provides employment to large number of women. Karnataka, especially Bangalore, has had a strong garment industry for a long time. The garment units of Bangalore a reproducing primarily, woven fabric based fashion garments. There are about 593 medium to big units in Bangalore and number of small units in and around Bangalore and Bellary.

(ii) After de-reservation and quota phase out, the process of expansion and consolidation by the garment units of Karnataka has commenced. It is reported that average number of machines per unit are considerably more in Bangalore as compared to other clusters of readymade garments. The value realization of units located in Bangalore is also higher than units located in other clusters. The sector has registered a sharp growth in exports in recent years and provides employment to over three lakh persons in Bangalore, of which almost 95% of the work force are women. The focus of policy will be to create conducive environment for the growth of garment industry enabling it to reach greater heights.