Andhra Pradesh ranked on top with regard to the total number of investments made in textile projects this year, a study conducted by Confederation of Indian Industry-Southern region said here today.
Tamil Nadu was ranked second while Karnataka and Kerala were ranked third and fourth respectively, CII-SR Quarterly Industry and Economic Update said.
Investments in textile projects in Andhra Pradesh, Karnataka, Kerala, Tamil Nadu and Puducherry added up to Rs 69.20 billion, it said.
These investments include existing, planned and projects under execution, it said.
Andhra Pradesh had an estimated investment of Rs 33.79 billion, followed by Tamil Nadu at Rs 31.65 billion, Karnataka Rs 2.7 billion and Kerala Rs 1.06 billion, it said.
The study said textile companies in southern region registered a 1.7 per cent increase on their operating income following decline in input and administrative costs, it said.
“The financial performance of the listed textile companies in the Southern Region reported a 1.7 per cent increase in operating income to Rs 19.88 billion during April-June 2009” it said.
Fabric production increased at 2.7 per cent year—on—year basis during the first quarter of the financial year.
With regard to exports to United States, textile and clothing industry witnessed an increase of 8.1 per cent.
Exports of synthetic fibres (to US) increased while exports of handicraft declined, the study said.
Cotton apparel, which constitute around 55-60 per cent of total exports, declined by 9.6 per cent year-on-year basis.
A decline on the unit of clothing exported to United States was also witnessed from USD 3.56 million in September 2008 to USD 2.87 million in June 2009.
In May 2009, exports of clothing to European Union increased 7.4 per cent year-on-year basis. While clothing exports from India to EU have staged a recovery, exports of textiles continue to decline, the study said.