Tuesday 29 April 2014

Work Wear Sector in India

The work wear market in India is seen as an attractive option as order sizes are usually large, competition is not very high and the margins are good. The increasingly large base of MNC manufacturing hubs in the country has also buoyed the work wear segment. 

The uniform business would also provide a substantial hedge for India’s top garment suppliers reeling under the impact of a slowdown.Companies are becoming more careful and conscious about their corporate images now and even the smallest of companies want uniforms. From security service agencies to coal mining, the work wear have become indispensable. The largest demand is from industries that are involved in manufacturing sectors and hire a lot of workers on a contract basis. Even sectors like hospitality and retail are giving good demand.

Unfortunately, in India this is a highly unorganised market, with most of the work wear manufacturers located in north and east. For example Superhouse group in Kanpur and Amrit Export in Kolkata are major industry in this sector.

However, with the advent of work wear giant like Cintas and Lindstrom the scenario of the work wear market is changing.  Cintas has over the years diversified into other business areas like first-aid products and fire protection equipment. The company operates over 400 facilities in US and Canada and employs more than 34,000 people.

Since the work wear concept is still new in India, so the foreign work wear company is just keeping the simple business strategy. They are adding the modules to increase capacity rather than building a huge manufacturing unit and retail unit. Before entering the Indian market Lindstrom carried out a market survey in 2007, it assumed that multinationals would be its big customers, but their assumption was proved wrong. Today 70% of the market comprises is local Indian companies.

The Foreign Direct Investment (FDI) have brought the abrupt change in the Industry and market growth in India. There is solid entelechy for the job opportunities and money flow. This can be regarded as a true bliss as the industry hub area will grow rapidly. The other side of coin triggers for the sagacious look for the whole pseudo development. Thus it exemplifies the random situation. So certain standard and norms should be followed. The 3 things should be kept into notion: Identification, branding and uniformity.

The work wear market is a large market: between one quarter and one half of all European employees wear workwear. In 2001, the European workwear market was worth $3.59 billion, th equivalent of 306.2 million pieces. The market is expected to grow by 2.5 per cent yearly to $4.27 billion in 2008( Sanne van der Wal & Bart Slob).

There are roughly three kinds of work wear: 

(1)   Corporate Work wear- Used for official representative purpose. The ordinary fabrics is used with more emphasis on design and colours.

(2) Ordinary Work Wear- Overalls shirts and trousers in ordinary fabrics like poly-cotton.

(3)    Technical Work Wear- Made of special fabric or specially treated common fabric to protect workers. For example Fire Fighter wear, Forest wear.