Competitiveness Of Indian Textile Exports Comparative Study

China is the biggest country of the textile and garment manufacturing and export in the world, and the textile and garment industry is the Chinese traditional industry, which plays an important role in the national economy. Since the reform and opening up, under the direct of the strategy of getting victory on the basis of quantity and low-price competition, the Chinese textile and garment exports developed increasingly and earned a large sum of foreign exchange. But with the era of textile integration coming, this exporting way became unsuitable, for the increasing of the uncertainty of the textile and garment exporting environment and the vast challege from other developing countries, especially from India. China and India have the common that they are the two largest developing countries in the world and their textile and garment industry which mostly produces labor-intensive products play an important role in the national economy. In the recent years, for the rising cost of Chinese textile and garment manufacturing, the continuous appreciating of the RMB and the increasing uncertainty of exporting competition, the export competitiveness of Indian textile and garment gradually appears, and the India has become the world-recognized vital competitor of China in the textile and garment export. Comparing the export competitiveness of China and India is useful to China to make sure how to raise the export competitiveness of the textile and garment and make China become a great power of textile.The content of this article includes thereinafter three parts: Firstly, this article introduces the definition of export competitiveness and especially introduces the relative theories of export competitiveness and their development, including the theory of comparative advantage, the theory of competitive advantage and the hypothesis of late-developing advantage. The comparative advantage is the basis of the competitive advantage,which can form the real export competitiveness as long as turn the comparative advantage to the competitive advantage, and the late-developing advantage is the key to turn the comparative advantage to the competitive advantage. These are the guiding theory of textile and garment export.Secondly, this article analyses the comparative advantage, the competitive advantage and the late-developing advantage of the Chinese and Indian textile and garment export by comparison, then concludes that comparing to the Indian textile and garment export industry , the comparative advantage of the Chinese textile and garment export industry is deceasing, although China have the advantage of the textile and garment export market share presently and India is hard to shake the position of China in the international textile market in the short and middle run, with the late-developing advantage of India taking effect, the gap of the export competitiveness between China and India will be gradually lessened.Lastly, this article makes a conclusion for the Chinese textile export competition, lists the existing problems of Chinese textile and garment industry in taking part in the international competition, and offer the guideline and advice of how to preserve and improve the export competitiveness of Chinese textile and garment, based on the theory of comparative advantage, the theory of competitive advantage and the hypothesis of late-developing advantage, Hoping to transform China from a large textile country to a great textile country.