INTENSHIP

REPORT
PVL Hosiery Tex
 Products and Production Processes

The textile products manufactured in the powerlooms are as varied and diverse in
their structure and quality as that of the handloom products in the state. The powerloom
sector in Tamilnadu produces a wide range of varieties catering to the domestic as well as
export market. More than half of the production is in the form of grey fabrics and a
significant chunk comprises of yarn dyed fabrics. In the case of the latter category of
products, they are akin to the handloom products being made from earlier times. Everyone
knows that the cotton shirting /dress fabrics for export garments are mostly produced and
supplied by the powerloom sector in Tamilnadu and, therefore, the stakes are high for the
export sector in this state. The major varieties of textiles that are being produced in the
state are as indicated below.

Grey fabrics Grey fabrics for sarees, dhotis, lungies, towels,

industrial fabrics and medical textiles
Grey gada, towels, lungies
Yarn dyed dress material Saree
Ladies Dress Material
Lungi
Shirting
Drill
Fabrics for yarn dyed home Furnishing
textiles Bed sheet/Bed spread
Towel
Napkin

Grey fabrics production

Due to the influence of the composite mill sector located in and around
Coimbatore, grey fabrics production has been more popular in this district and also a small
number of powerlooms in Erode, Salem and Madurai districts. The state’s powerlooms
produce grey fabrics in large quantities that are meant for the requirements of domestic
demand as well as exports. The grey fabrics are used for processing and finishing into
sarees, dress material, furnishing/ tapestry as well as industrial fabric uses. One of the
revealing findings is that the powerlooms in Coimbatore cluster produce larger amount of
industrial fabrics as reported by the units surveyed. This is an area that is getting greater
focus for development further on priority basis. These grey fabrics are being produced
mainly in Coimbatore cluster comprising of Somanur, Avinashi and Palladam areas. In
nearby Erode areas as well as Madurai clusters, a few thousand looms are engaged in the
production of surgical / bandage cloth. It is also observed that the units that are producing
surgical and bandage cloth mainly in Rajapalayam and Virudhunagar areas are having
sizing facilities as well as finishing as required for surgical and bandage cloth.

Yarn dyed textile items

The larger production of yarn-dyed items in the powerloom sector in Tamilnadu

may be mainly due to the following factors:
(i) Tamilnadu is a leading handloom production state where the handlooms have been
producing substantial quantity of textile items. The powerloom industry is the
outgrowth of the handloom industry and has thus benefited from the already
existing infrastructural facilities for yarn dyeing etc. The production pattern of
powerlooms has thus been based on the already flourishing handloom industry.
(ii) Yarn dyed textiles items of traditional garments; home textiles including kitchen
and bed linen etc. are easily saleable in the well-developed Erode market as well as
in the upcountry markets.
(iii) Grey fabrics have market only in Mumbai, Ahmedabad and few more places, which
experience frequent changes in demand pattern. Therefore, small-scale powerloom
units have greater preference for the production of coloured fabrics over the grey
fabrics manufacture.
(iv) The operation of small-scale powerloom units has been convenient for the
production of coloured items as yarn bleaching, dyeing etc. are done within the
units or locally available job work units. The finished coloured items hardly need
any further processing. From financial angles also, it is found to be convenient for
powerloom weaving units.

The looms in the clusters including Erode, Salem, Karur, and Madurai are mostly
engaged in the production of yarn-dyed fabrics either as dress fabrics (sarees, dhotis, dress
material etc.), made-ups, furnishings or home textiles. On the basis of our field
Master weaver Manufacturers- Grey Fabrics

Procurement of Grey
Yarn in Cone
form

Conversion of yarn into

sized beams in own / job
work sizing units.

Supplying warp-beams and

also cone yarn required for
weft to Job- work weaving
units.
Weaving
by Job
work
units
Receiving Grey Woven
Fabrics from Job work
Units.

Sale of Grey Fabrics.

Throug Own
h Depots in
out
Master weaver Manufacturer - Yarn Dyed fabrics for Dresses & Home Textiles

Supplying of Dyed
Procurement of yarn
Hankin
Hanks forYarn
Warp & Weft
requirements to Job work
Weaving Units

Bleaching – Dyeing in
Job work units

Conversion

into Woven
fabrics

Receiving Woven Fabrics –

Finishing, Checking,
Mending & Stitching

Sale of yarn – dyed

Fabrics/Made ups

Throug Ow
h n
Manufacturer (Entrepreneurial) - Grey Fabrics

Procurement of Cone Yarn

Conversion into sized beam

in Job work Sizing units

Conversion of yarn into

grey fabrics in own
looms

Checking, Mending Packing

Sale of Grey Fabrics

Throug Ow
h n
Manufacturer (Entrepreneurial) – Yarn Dyed fabrics for Dresses & Home textiles

Procurement of Hank Yarn

Bleaching –Dyeing in local

dyeing units

Doubling/Twisting/Winding
(Dabba/Bobbin/Pirn)

Warping (Sectional)

Conversion of Dyed Hank

yarn into Woven fabrics

Finishing, Checking &

Stitching

Sale of Yarn Dyed

Fabrics

Throug Ow
h n
Job Work Weaving Units- Grey fabrics

Delivery to Master
Yarn Supply
Weaver on receipt
Received fromof
conversion
Master charges
Weaver in
Warp beam & cones

Pirn Winding

Weaving
Job Work Weaving Units - Yarn Dyed fabrics for Dresses & Home textiles

Winding
Dyed yarn supply in
Hank/Cone/Dabba
hank form received
from Master weaver

Doubling/Twisting

Sectional Warping

Pirn Winding

Weaving as per required

design

Delivery of Dyed yarn

Fabrics to Master Weaver
 Project Concept
Introduction

► Once restricted to the hosiery/knitwear-hubs of Tirupur

Panipat
and Ludhiana, the knitwear industry now has several big
Ludhiana
and small units in places such as Surat, Kanpur, Panipat,
Kanpur Kolkata etc.
► Domestic hosiery/knitwear players are innovating and
upgrading their production facilities – so as to become
competitive and sustain themselves amidst local and
global competition
Kolkata
Surat
► The focus of the Indian hosiery/knitwear industry is now
on non-cotton based fabrics such as viscose, polyester,
polymate – a shift from predominant products catering
only for the summer-spring market

Tirupur

Hosiery & Knitwear Processing

► This project profile entails setting up a facility for processing of the hosiery/ Knitwear fabric. The processing of
fabric involves bleaching, dyeing, drying, etc. Further, value addition in processing may include printing, cutting,
stitching, embroidery, etc.
► The segment is very unorganized in nature and dominated by a large number of independent, small- scale
enterprises. These units can be broadly divided into following three segments which are Hi- Tech Processing
facilities attached to composite textile mills, Medium to Advanced power processing facility by Non-SSI
independent units, Small scale hand operated / motor operated primitive technology low technology machines
► Grey fabric bleaching is generally carried out to impart whiteness by removing natural colouring matter. The
process of dyeing is carried out to improve the marketability of textile products and also to suit the customer
needs by adding colour. These two processes are generally carried out in open tank, kier machines, jet dyeing
machines, jiggers, soft flow dyeing machines etc. For hosiery goods, it is carried out with winch machines, since
it imparts very less tension during operation.
► To impart the required end use, finishing is the final process gives to the finished fabric and lastly the printing
process on fabric which is a science as well as an art. Textile auxiliaries such as chemicals are used for all stages
of the textile manufacturing process that is from pre-treatment to dyeing and printing and finishing.
► Current trends of knotted readymade Garments increases the market potential for such project. Leading buyers of
processed fabrics are garment manufacturing units. Hence, processed fabrics should be accordingly processed
based on the need of the buyer.
Market Potential
Global Market for Hosiery

• The global hosiery market was valued at $40.5 Bn in 2022, and is projected to reach $62.4 Bn by 2032,
growing at a CAGR of 4.5% from 2023 to 2032.

80

60

40 62.4
40.5
20

0
Till 2022 From 2023-2032

Market Size in US Bn $

Global Market for Knitwear

• The global Knitwear market

was valued at $105.4 Bn in
2022, and is projected to
reach $156.8 Bn by 2029, 160
growing at a CAGR of 5.83% 140
from 2022 to 2029 120
100
156.8
80
60 105.45
40
20
0
2022 2029
Market Potential
Indian Market Scenario for Hosiery/Knitwear

Knitwear

• Knitwear players are innovating and upgrading their production facilities – so as to become
competitive and sustain themselves amidst local and global competition

• The focus of the Indian hosiery/knitwear industry is now on non-cotton based fabrics such as
viscose, polyester, polymate – a shift from predominant products catering only for the summer-
spring market.

• Export market for India’s knitwear is showing positive signs of growth. It is steadily emerging as
one of the fastest growing export segments. Textile accounts for 30% of the total exports of the
country, and knitwear comprises 45% of it; volume wise.

Hosiery

• The Indian hosiery market is a thriving segment of the textile industry, driven by the popularity of
comfortable and affordable products such as socks, stockings, and undergarments.

• The India Hosiery market is growing at the CAGR rate of ~12% during the forecast years 2022-
2028.

CAGR:12
%

2017 2022 2028

5
Growth Drivers

India's substantial population provides a vast consumer market for

Large Consumer Base hosiery and knitwear products, offering significant demand and
growth potential.

increasing disposable income of the middle class enables higher

Rising Disposable Income spending on clothing, including a preference for quality hosiery
and knitwear items.

Supportive government policies, incentives, and initiatives, such as

"Make in India," aim to boost manufacturing sectors, attracting
Government Initiatives investments and facilitating business growth.

India's reputation as a textile exporter creates opportunities for hosiery

Export Opportunities and knitwear manufacturers to tap into international markets,
benefiting from global demand.

Adoption of modern technologies and machinery enhances efficiency

and quality, making the manufacturing process more
Technological Advancements competitive and attractive for investors.
Project Information
Location: Mega Textile Park: Vansi, Navsari

To Delhi

Gandhinagar
Mundra

Kandla Ahmedabad Dedicated Freight

Corridor (DFC)
Vadodara
Porbandar

Hazira Surat

Pipavav Navsari

To Bombay
Area of
State Highway Park: 1142
300 Acres
National
mt
Highway
30
km

Railway 30 km
Station
Navsari

Airport 55 km
Surat

Container 71 km
Freight Station
- Hazira

40 km
Dedicated
Frieght
Corridor-
Sachin

11
Project Information
Plug & Play Utilities in PM MITRA Park

► 65 MLD water be supplied as potable

water ► The estimated aggregate power demand is 223
► Ground Level Storage Reservoir with capacity MW.
of 75 lakh liter and Elevated Level Storage ► Dakshin Gujarat Vij Company Limited
Reservoir with capacity of 75 lac litre is (DGVCL) is responsible for distribution and
proposed bulk supply of power to the park.

► Warehouses shall be developed for storing raw

materials and finished goods of the park. It is
planned to develop the warehouses over an
area of about 8.52 acres
► Common Effluent Treatment Plant (CEPT) ► Additionally, commercial parking facility
with 60 MLD with deep sea discharge facility is proposed to be developed in 17 acres.
to be developed in the park.

► Common facilities like office complex,

commercial complex, ITI and skill
development center, Exhibition/ conventional
center, Testing and Research labs, hotel
► A common steam generation facility is complex and firefighting systems are proposed
proposed with usage of four 60 TPH boilers. to develop as common facilities.
Project Information
Fabric Processing and Knitted T-shirt making Process
Project Information
Manpower
• In Gujarat, a substantial pool of skilled weavers and artisans serves as the backbone of the textile and
apparel (T&A) sector, contributing to the production of high-quality textiles and impeccable
craftsmanship.

• The establishment of a hosiery and knitwear manufacturing unit in Gujarat requires recruiting
skilled personnel adept at operating knitting machines, understanding yarn characteristics, and
possessing expertise in garment assembly and quality control.

Manpower requirement in the proposed Hosiery/knitwear manufacturing unit

Profile Positions
Manager 1
Accountant 1
Computer operator 1
Clerk/ Typist 1
Peon Watchman 1
Dyeing master 1
Skilled labour 10
Semiskilled labour 8
Lab attendant 1
Boiler attendant 1
Electrician 1
Total 27
Project Information
Raw Material/Suppliers

Raw Material Requirement

The production of hosiery and knitwear involves the utilization of specific raw materials essential for the
processing stages. The primary raw material is yarn, typically made from various fibers such as cotton, wool,
synthetic fibers like polyester, and blends of these materials.

Caustic Soda Hydrochloric acid Sulphuric acid

Soda Ash Glabour’s Salt Acetic acid

Sodium Silicate Common Salt Dye fixing agent

Hydrogen peroxide Optical Whitening agent Dyes of different shades

Lisopal Bleaching Powder

Suppliers

Gujarat is home to some of the leading Indian dyestuff and textile processing chemical based raw materials.
Bharuch, Dahej, Ankleshwar, Vapi and Ahmedabad’s Vatva are some of the existing hubs having manufacturing
base of these raw materials.

Name Location
Dytex Industries Vatva, Ahmedabad
Monarch Dyes & Chemicals Vatva, Ahmedabad
Hariram Industries Vapi
Aditya Exports Vapii

Colourtex group of companies Surat

Vayla agency Surat

Chemixco Trade Links Surat

Project Information
Machinery and Suppliers

Machinery

SS winch machine Baby boiler Spectrometer

Steam callendering Testing equipments Fabric dyeing vessels

Hydro-extractor Computer colour matching Stentering devices

Cylinder drier, tumble drier Squeezing mangle Raising machine

Wooden conveyor Air turning machine Shearing machine

Automatic fabric slitting,
Indigenous flat-bed screen
Automatic Weft Straightener and squeezing, bio-wash fluff
printing, foil-transfer and crushing
Open-width compaction removing and impregnating
machines
line

Suppliers of Machinery

Name Location

Prabhat Textile Corporation Ahmedabad

A.T.E. Enterprise Ahmedabad

Voltas Limited Mumbai

Bharat Machinery Works Ludhiana

Dyeing Machinery Works Ludhiana

Paradise Engineering Corp. Ludhiana

Dynamic Engineering Corp. New Delhi

Data Colour New Delhi

Vetech Equipment Ludhiana

 Project Financials

Cost of setting up Hosiery/Knitwear Processing facility

► This project is based on single shift basis with 300 working days in a year. Time period
for achieving maximum capacity utilization is considered from 3rd year from the date on
which production is started.
► Cost of installation and electrification is taken @ 10% of cost of machinery and
equipment.
► Non-refundable deposits, project report cost, trial production, security deposit with
Electricity Board are classified under pre-operative expenses.

PROJECT COST

Project components & specifications Cost (₹ Mn.)

Land and building

2.50
(built up area of 1000 sq. meters)

Plant and machinery 6.70

Other assets
0.20
(Furniture, fixtures and storage facilities)

Contingencies 0.40

Procurement and Production expense 0.25

Margin money for working capital 2.20

Total Project cost 12.25

 Approvals & Incentives
Aatmanirbhar Gujarat Schemes 2022 (for Assistance to Industries)
Gujarat, as India's most industrialized state, plays a pivotal role in national manufacturing. With a robust
business ecosystem and government support, Gujarat attracts significant investments. To align with the
vision of Aatmanirbhar Bharat, the state focuses on Aatmanirbhar Gujarat, emphasizing incremental
industry support, green practices, and decarbonization. The Aatmanirbhar Gujarat Schemes provide
incentives to industries, fostering entrepreneurship, innovation, and job creation. A key thrust is on
Technical Textiles, aiming to set global manufacturing benchmarks.

Aatmanirbhar Gujarat Scheme for assistance to MSMEs

Assistance of Capital Investment Subsidy to Micro enterprises
Category of taluka Quantum of incentive

Category 1 (undeveloped) 25% of term loan amount up to ₹ 35 lakhs.

Category 2 (developing) 20% of term loan amount up to ₹ 30 lakhs.

Category 3 (developed) 10% of term loan amount up to ₹ 10 lakhs.

Assistance for Interest Subsidy to Micro, Small and Medium Enterprises in manufacturing sector
Category of taluka Quantum of incentive

Interest subsidy @7% on Term Loan with the maximum amount of ₹ 35 lakhs per annum for
Category 1 (undeveloped) a period of 7 years

Interest subsidy @6% on Term Loan with the maximum amount of ₹ 30 lakhs per annum for
Category 2 (developing) a period of 6 years

Interest subsidy @5% on Term Loan with the maximum amount of ₹ 25 lakhs per annum for
Category 3 (developed) a period of 5 years

Net SGST reimbursement to Micro, Small and Medium Enterprise (MSMEs)

Category of taluka Quantum of incentive

Category 1 (undeveloped) 100% of net SGST for 10 years up to 7.5% of eFCI p.a.

Category 2 (developing) 90% of net SGST for 10 years up to 6.5% of eFCI p.a.

Category 3 (developed) 80% of net SGST for 10 years up to 5% of eFCI p.a.

Approvals & Incentives
Aatmanirbhar Gujarat Scheme for assistance to Large Industries and
Thrust Sector

Assistance of Interest Subsidy

Category of
General Sector Thrust Sector
taluka

Category 1 Interest subsidy @ 7% on Term Loan for 10 Interest subsidy @ 7% on Term Loan for 10 years up to
(undeveloped) years up to 1% of eFCI p.a. 1.2% of eFCI p.a.

Category 2 Interest subsidy @ 7% on Term Loan for 8 Interest subsidy @ 7% on Term Loan for 10 years up to
(developing) years up to 1% of eFCI p.a. 1% of eFCI p.a.

Category 3 Interest subsidy @ 7% on Term Loan for 6 Interest subsidy @ 7% on Term Loan for 8 years up to
(Developed) years up to 1% of eFCI p.a. 1% of eFCI p.a.

Net SGST reimbursement

Category of
General Sector Thrust Sector
taluka

Category 1 100% of net SGST for 10 years up to 7.5% of

100% of net SGST for 10 years up to 8% of eFCI p.a.
(undeveloped) eFCI p.a.

Category 2 90% of net SGST for 10 years up to 6.5% of

90% of net SGST for 10 years up to 7% of eFCI p.a.
(developing) eFCI p.a.

Category 3 80% of net SGST for 10 years up to 5% of 80% of net SGST for 10 years up to 5.5% of eFCI
(Developed) eFCI p.a. p.a.

Source:- https://cmogujarat.gov.in/wp-content/uploads/2022/10/AatmaNirbhar-Gujarat_Industrial-Policy.pdf
Approvals & Incentives
Aatmanirbhar Gujarat Scheme for assistance to Mega Industries

Interest subsidy will be eligible at @7% on Term Loan subject to maximum of 1.2%
of Eligible Fixed Capital Investment p.a for 10 years.
Assistance of Interest Subsidy to
Mega Industrial Units
In any case, the Mega industrial unit shall have to bear a minimum 2% interest
levied on term loan by the financial institution.

The eligible projects will be eligible for reimbursement of net SGST at 100%
of net SGST subject to maximum 0.9% of eFCI p.a. for 20 years.
Net SGST reimbursement to Mega
Industrial Units
The eligible period of 20 years shall be from the date of commencement of
commercial production.

Eligible Mega industrial units will be eligible for 100% reimbursement of Input
SGST paid on capital goods to the extent input tax credit is admissible under Gujarat
Reimbursement of SGST on capital GST Act 2017.
goods

The reimbursement shall be provided in twenty equal annual instalments.

Approvals & Incentives
List of Approvals

SN Nature of Compliances Responsible Agency Timeline (days)

1 Registration for Factory license Labour and Employment Dept. 90 Days

2 Land Allotment GIDC 90 Days

Permission for Bonafide Industrial
3 Revenue Dept. 90 Days
purpose 65B
Forest & Env Dept. and Revenue
4 NOC for tree felling 60 Days
Dept.
5 Building plan approval-UDD UDD 30 Days

6 NOC for fire dept. UDD 07 Days

Certification of Electrical installation
7 Energy And Petrochemicals 30 Days
by Chief Electrical Inspector
Department

Registration under shops &

8 UDD 01 Day
Establishment act
Registration of principal employers
9 Labour and Employment 30 Days
estb. under provision of the contract
Department
labour
License for contractors under
10 Labour and Employment 30 Days
provision of The Contracts Labour
Department

Labour and Employment

11 Factory Plan Approval 90 Days
Department
Renewal of license under factories Labour and Employment
12 90 Days
act Department
Commissionerate of Commercial
13 Regt. For Profession tax 01 Day
Tax
Building and Other Construction Labour and Employment
14 15 Days
Workers (BOCW) Department.

15 CTE / CTO GPCB 120 Days