Reforms expected to provide boost to textile sector: Raymond

The Indian textile industry is expected to clock double-digit growth while budget proposals and some of the steps taken by government recently are expected to increase the discretionary income in the hands of consumers, a top official of Raymond said on Tuesday.

Talking about FY15-16, Sanjay Behl, Chief Executive Officer (lifestyle business), Raymond said the Indian textile and apparel industry is growing at the rate of 8-12%, and "we expect the same growth or little higher so we anticipate the industry to get the double-digit growth".  "Post the union budget, I personally feel the economy will remain bullish because some of the fundamentals for economic growth are looking very good," said Behl said.

"I am enthused by the government taking steps to control inflation. Some reforms in the union budget are positive. Things are going in the right direction," he said, talking to PTI at a fashion show for the launch of Raymond Linen.

On account of reforms, liquidity will improve, discretionary income in the hands of consumer will improve and that would increase people's spending capacity, he said.

Most of the consumption categories like FMCG, automative and discretionary categories would grow, Behl said, adding that the target of 8-8.5 per cent GDP growth is realistic. "That is a significant jump. We are energised by the framework put in to bolster the economy," he said.

The share of textile and apparel sector in the consumer price index has gone up which is "validation" of reality, he said. "Once you go beyond basic consumption you would go for more textile and apparel consumption. So there is a clear indication of we getting the benefit of the discretionary income in the hands of consumer."