The rupee continues to appreciate against the dollar everyday. A rising rupee means Indian goods will be more expensive in the international markets. To offset this, productivity has to rise. Is it rising?
The quota on textile and garment exports would be lifted on Jan 1, opening up the entire market to the most competitive player. While this gives an advantage to the strong larger players, the weak ones will perish.
India today exports about $11 billion worth of garments a year. Will this increase or we would leave everything to the chinese to gobble up.
The good news is, large companies started the consolidation process quite sometime back and are ready to take on the world.
With India's congested ports, bad roads, poor infrastructure and reliance on old technology, it would be a tough challenge.