Surat Textile

A
COMPREHENSIVE PROJECT REPORT ON Surat Textile Industry Facing the Problem of Labour Shortage
Submitted by
Mr.Bhavik Nasit, Enrollment No. 108050592013
Mr.Rajni Kanani, Enrollment No. 108050592021

S.R.LUTHRA INSTITUTE OF MANAGEMENT
INDUSTRY PROFILE
Global, National, State level scenario
Nearly 30 million meters of raw fabric and 25 million meters of processed fabric are produced in Surat daily. The city has several textile markets that exist since times immemorial. Zampa Bazaar, Bombay Market, JJ Textile Market and Jash Market are among them. Katar Gam, Magdalla and Udhana are the areas of Surat
where manufacturing is mainly concentrated.

The famous brands of Garden and Vimal textiles evolved from Surat. Around 90% of polyester used in India comes from Surat. One of the main reasons behind the growth of Surats textile industry is the citys ability to adapt to changes and the latest trends.
PEST Analysis
Political Factor:
Uneven political conditions, deteriorating law and order situation

and instability in gas and electricity prices are adversely affecting the textile sector.
On the other hand, textile and the other exporters also facing a lot of challenges due to increase in the production cost of the specific export goods, while such hurdles badly affected the Pakistani exporters to meet the challenges and compete in the local and international markets.
Economical Factor:
The last and current Government has been failed to

control the economy. As the prices have been increased, the suppliers try to get and save more profit from their investments. Thats why prices are decided and put with a high return in terms of profit. Before 2008, textile industry was getting number of incentives from the government just like R&D (Research & Developments) and subsidies on the utilities. But some companies misused these opportunities and unfortunately Govt. pulled back these types of incentives.
Sociological Factors Polluting the air by pushing out ruins of chemicals. Different gases in air react with these ruins which become dangerous for human beings. No proper system to throw out the useless materials and chemicals.
Technological Factor
The technology has been improved and updated in the textile industry of India and some of the companies in textile industry are
acquiring these technologies. By using new technology not only

they improve their quality and efficiency but also improve their production as well as reducing the cost of production
Current Trend
Firms in textiles sector are facing the following problems in adding capacity: High real estate costs making business unavailable TUF scheme has been put on hold by Ministry of Textiles, it is a great cause of concern for the sector
Labor Issues
Shortage in power Raw material prices of cotton
Rising cost of capital
Products
Figure 1 : Distribution of Product and services Source: UNIDO
Profile of Garden Silk Mills The company is public limited company incorporate on July 23, 1979. It has authorized share capital of Rs. 60 crores, out of which around Rs.38 crores have been issued, subscribed and fully paid up. The company is having a variable setup, with plants to manufacture dress material and sarees, right from the initial stage, viz, chemicals
to finished fabrics.
It achieved ISO 9002 on February, 2000, which was its greatest achievement, and Garden Silk Mills become the first company ever achieve such creation in Surat.
Hierarchy
Literature review
Industry body Assocham voiced concern over the textile and clothing industry facing an immense challenge in mobilizing additional workers to fulfill production requirements, as many of them are moving to other well-paying jobs.
Tolani Indra K, Chairman, Kamal Export house, also added,
"The industry is facing lot of challenges with the skilled labour. And these days due to the NREGA scheme it is hard to find
workers. In fact, there is also shortage of skilled labour in the

county, which needs an immediate attention."
As per the official statistics of Orissa labour department, about 1.70 lakh skilled and experienced workers from Gujarat, mainly employed in the textile industry in Surat, have returned to their native places in Ganjam and Puri in the last two-and-ahalf-months.
ASSOCHAM conducted a phone survey of 100 textile firms which revealed that nearly 45% were utilising only 50-60% of their production capacity due to labour shortage.
REASEARCH METHDOLOGY
PROBLEM STATEMENT :
SURAT TEXTILE INDUSTRY FACING THE PROBLEM OF

LABOUR SHORTAGE Research Objective :
Primary Objectives.
To study the Surat Textile Industry facing the problem of labour shortage. Secondary Objectives. 1.To understand how labour shortage in industry affect the performance of the company. 2.To understand the extent to which company has been successful in cutting down labour shortage. 3.To offer suggestions and recommendations to manage the labour shortage in industry.
RESEARCH DESIGN OF THE STUDY: i. Types of Design:
The research design of the study is descriptive type.

ii. Sources Of The Data: The study includes both primary and secondary data:
PRIMARY SOURCE:
The primary data was collected by the way of well framed Questionnaire. Questionnaire was
administered to gather the information relating to Labour Shortage from the managers and workers from
Garden silk mills ltd.

.
SECONDARY SOURCE: The sources of secondary data in the proposed study will be academic journals, trade magazines, Government of India Textile Ministry Reports, Indian Textile and Clothing Exports Association Reports, Indian Chambers of Commerce and Industry (FICCI) Reports, Confederation of Indian Industries (CII) Reports and various other related private and public reports. iii. Sampling Plan:
Population Size:
The population size is the Labours of Surat textile industry. Sample Frame:
The sample frame is up to a Surat city only.
Sample Size: 50 Managers and worker of Garden Silk mills ltd. Sample Method: Non-probabilistic and Convenience sampling. iv. Beneficiaries of Project: Beneficiary of this project is to the company, to overcome the labour shortage in the dimension in which they are lagging. Key findings and analysis will helpful to them for provide better services to workers. For researchers, to know the competitive advantage of
the company and their strategy
LIMITATIONS:
Due to time constraint depth analysis could not be made. Some of the information is considered confidential and not available for the study. The data taken for interpretation is for a limited period. The study is confined to only one organization
BIBLIOGRAPHY
News paper Article/Magazine Hazarika, Namrata kath. SME Times. (10/2/2011). Thomas, Melvyn.Times of India (4/4/2011). The Hindu , Chandigarh.(27/6/2011). Curtis, Marianne. (27/6/2011)
Website
http://www.suarttextiles.com. Today's News, August

2011.
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A

Mr.Rajni Kanani, Enrollment No. 108050592021

where manufacturing is mainly concentrated.

Uneven political conditions, deteriorating law and order situation

The last and current Government has been failed to

acquiring these technologies. By using new technology not only

Rising cost of capital

Figure 1 : Distribution of Product and services Source: UNIDO

Tolani Indra K, Chairman, Kamal Export house, also added,

workers. In fact, there is also shortage of skilled labour in the

SURAT TEXTILE INDUSTRY FACING THE PROBLEM OF

RESEARCH DESIGN OF THE STUDY: i. Types of Design:

The research design of the study is descriptive type.

Garden silk mills ltd.

The sample frame is up to a Surat city only.

the company and their strategy

http://www.suarttextiles.com. Today's News, August

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