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Problem And Prospectus Of Export House

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Information about Problem And Prospectus Of Export House

Published on September 20, 2008

Author: suresh.singh

Source: slideshare.net

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Problems and Prospects of export houses in apparels Prepaired by: - 25. Pawan Kumar 29.Prashant Bansal 38. Rohit Chawla Presented to: - Mr. Shashank Mehra Faculty Of Marketing Research

CONTENTS Rationale Objectives Background study Problems faced by export industry Variables Conclusion

Rationale

Objectives

Background study

Problems faced by export industry

Variables

Conclusion

OVERVIEW India- one of the major exporter of textiles and clothing Textile exports- major job providers Strengthening of Indian currency Effect on export sector Government participation

India- one of the major exporter of textiles and clothing

Textile exports- major job providers

Strengthening of Indian currency

Effect on export sector

Government participation

RATIONALE OF THE RESEARCH To know the core of the problems faced by the export houses in India To enhance our knowledge in this sector Understanding of the foreign trade policies To know the need of the foreign buyers which suits their culture? To increase the awareness of the export promotion

To know the core of the problems faced by the export houses in India

To enhance our knowledge in this sector

Understanding of the foreign trade policies

To know the need of the foreign buyers which suits their culture?

To increase the awareness of the export promotion

OBJECTIVES To gain the understanding of the problems faced by export houses Collect the data of these problems and discuss with experts To gain the understanding of the measures taken by Government To find out the main causes of declining phase of the Indian exports

To gain the understanding of the problems faced by export houses

Collect the data of these problems and discuss with experts

To gain the understanding of the measures taken by Government

To find out the main causes of declining phase of the Indian exports

CONTN………. To provide the way to the export houses about taking care of the things that are recommended by the ministry of commerce To improve the knowledge about the role of the government in providing assistance to these export houses

To provide the way to the export houses about taking care of the things that are recommended by the ministry of commerce

To improve the knowledge about the role of the government in providing assistance to these export houses

BACKGROUND STUDY India- growing @ a faster rate in global scenario Total exports are rising @ 20% and more Is keeps on rising year after year

India- growing @ a faster

rate in global scenario

Total exports are rising

@ 20% and more

Is keeps on rising year

after year

CONTN……… Indian is the one of the major gainers in the years to come India is gaining strength in the global economy as is evident in the robust growth of the merchandise India expects to reach its proposed target of 1.5% of global merchandise trade by 2009.

Indian is the one of the major gainers in the years to come

India is gaining strength in the global economy as is evident in the robust growth of the merchandise

India expects to reach its proposed target of 1.5% of global merchandise trade by 2009.

CONTN……… The export in the year 2006-2007 and 2007-2008

The export in the year 2006-2007 and 2007-2008

CONT………. Exports & Imports Provisional November April-November Exports (including re-exports) US$ million Rs. In crores US$ million Rs. In crores 2006-07 9797.67 43943.22 80590.19 368807.15 2007-08 12425.11 49000.16 98386.06 398385.78 %Growth 2007-08/2006-07 26.82 11.51 22.08 8.02 Imports       2006-07 15342.36 68811.54 119078.24 544674.11 2007-08 19831.79 78209.43 151190.37 612356.61 %Growth 2007-08/2006-07 29.26 13.66 26.97 12.43 Trade deficit( exports –imports)       2006-07 -5544.69 -24868.32 -38488.04 -175866.96 2007-08 -7406.68 -29209.27 -52804.31 -213970.83

Commodity April- Oct 2006 April- Oct 2007 Textile 42,817.07 39,365.34 RMG 22,954.81 19,978.37 Cotton, yarns, fabrics 11,209.70 10,334.81 Man-made Textiles & made-ups 6,092.12 6,875.33 Natural silk textiles 1,154.44 878.9 Wool & woolen manufactures 228.13 196.41 Coir & coir manufactures 368.98 375.22 Jute manufactures 808.89 728.29

Readymade garments occupy first position among textile exports Financial year RMG export %-age of total textile exports 2001-02 45.08% 2002-03 46% 2003-04 42% 2004-05 44% 2005-06 45%

Readymade garments occupy first position among textile exports

CONTN……….

India is doing pretty well in the international scenario India is also giving good competition to it in various sectors. Amongst the developing countries India has competitive position as shown in this diagram

India is doing pretty well in the international scenario

India is also giving good competition to it in various sectors.

Amongst the developing countries India has competitive position as shown in this diagram

CONTN………..

CONTN……… India is at 9th place amongst the developing countries in terms of market share globally

India is at 9th place amongst the developing countries in terms of market share globally

ABOUT MFA The textile and clothing sector in the US and Europe have been protected by such quota systems since the 1950s, The Short Term Arrangement (STA) on cotton textiles was then signed in 1961 It was introduced in 1974 as a short term measures (explain the intro)

The textile and clothing sector in the US and Europe have been protected by such quota systems since the 1950s,

The Short Term Arrangement (STA) on cotton textiles was then signed in 1961

It was introduced in 1974 as a short term measures (explain the intro)

CONTN……… trade restrictions placed on those countries that were major exporters of textile and apparel the EU, Austria, Canada, Finland, Norway, and the US applied the quotas almost exclusively to developing country exports

trade restrictions placed on those countries that were major exporters of textile and apparel

the EU, Austria, Canada, Finland, Norway, and the US applied the quotas almost exclusively to developing country exports

 

FEMA (ACT) FEMA came into act on the 1st day of June, 200O The Foreign Exchange Management Act (1999) has been introduced as a replacement for earlier Foreign Exchange Regulation Act (FERA)

FEMA came into act on the 1st day of June, 200O

The Foreign Exchange Management Act (1999) has been introduced as a replacement for earlier Foreign Exchange Regulation Act (FERA)

CONTN……….. The main objective behind the FEMA is is to consolidate and amend the law relating to foreign exchange with objective of facilitating external trade and payments and for promoting the orderly development and maintenance of foreign exchange market in India.

The main objective behind the FEMA is

is to consolidate and amend the law relating to foreign exchange with objective of facilitating external trade and payments and for promoting the orderly development and maintenance of foreign exchange market in India.

WORLD’S OF EXPORTS DATA IN APPARELS 2004 2005 2006 % change

 

 

PROBLEMS FLUCTUATION IN THE FOREIGN CURRENCY EMERGENCE OF CHINA AND OTHERS

FLUCTUATION IN THE FOREIGN CURRENCY

EMERGENCE OF CHINA AND OTHERS

CONTN……… Low cost of raw material High technology CHANGING ATTITUDE OF BUYERS AND FREQUENT CHANGE IN FASHION SAMPLE CHECK QUALITY PROBLEM Unskilled labor Daily wages

Low cost of raw material

High technology

CHANGING ATTITUDE OF BUYERS AND FREQUENT CHANGE IN FASHION

SAMPLE CHECK

QUALITY PROBLEM

Unskilled labor

Daily wages

VARIABLES Small scale of operations Poor roads Sales tax and Octroi check posts Local regulation on road use Absence of express highways Higher power costs

Small scale of operations

Poor roads

Sales tax and Octroi check posts

Local regulation on road use

Absence of express highways

Higher power costs

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

DATA ANALYSIS

Component 1 Polices of Indian Govt. .755 Job Opportunity .808 Workers satisfied with working condition and remuneration .867

When order is not a problem

Component : - Not forward order on time .562 Problem at time of production .875 Problem face in sampling .702 Buyer concern about Quality- .833

Component : -

Not forward order on time .562

Problem at time of production .875

Problem face in sampling .702

Buyer concern about Quality- .833

Conclusions and recommendations Government should invest more in research and development. Export houses should better take care of the buyers specifications and provide them good quality products. Exporters should be better aware of the government policies. Exporters should invest in technological tools, and come at par to compete with their foreign competitors.

Government should invest more in research and development.

Export houses should better take care of the buyers specifications and provide them good quality products.

Exporters should be better aware of the government policies.

Exporters should invest in technological tools, and come at par to compete with their foreign competitors.

Thank You

Thank You

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