Conversation with Dr. S K Sundararaman, Chairman, The Southern India Mills’ Association (SIMA).

Conversation with Dr. S K Sundararaman, Chairman, The Southern India Mills’ Association (SIMA).

TextilesResources.com: Give us an overview of The Southern India Mills’ Association, its main objectives and your vision

Dr. S K Sundararaman: The Southern India Mills’ Association (SIMA), the single largest regional body representing the illustrious textile industry in South India, had humble beginnings when it was started in 1933 by late Sir. R.K. Shanmugam Chettiar, the first Finance Minister of Independent India, with just eleven founding members.
Today SIMA boasts of a robust and growing membership of approximately 600 mills in the four South Indian states that account for 30% of the total cotton yarn manufactured in India and 50% of the total cotton export out of India. Also, regional Textile Associations are members of SIMA, thus the Association acts as a Federation and represents the southern textile industry before the Central & State Governments, EPCs (TEXPROCIL & MATEXIL) and the textile umbrella organisation, Confederation of Indian Textile Industry (CITI).

SIMA’s principal role in the early years was to ensure harmonious industrial relations at various mills. In later years, this would become just one of the facets of its roles. The organization strived to play a fair role in addressing the needs of different segments of the industry with the vision of facilitating the member mills to adopt appropriate technology, have vertical integration, improve scale of operation & value addition, remain cost effective and be competitive in the global market; guide the member mills to meet the international environment and social standards and give more thrust to develop the society; inspire member mills to follow progressive human resource policies, systems & practices; and constantly follow up with the government, to maintain a conducive environment enabling the different segments of the textile industry to perform with a sustained competitiveness

TextilesResources.com: What is your view about South India’s textile industry? Current capacity, expansion possibility, challenges, potential etc.

Dr. S K Sundararaman: South India, particularly Tamil Nadu, is a major hub of India’s textile industry, contributing nearly 27% of the country’s textile exports. With strong industrial clusters like Coimbatore, Tiruppur, the region has robust Spinning, Weaving and Garmenting infrastructure.
There is significant potential for expansion driven by global sourcing shifts, growth in manmade fibres consumption, fast evolving textile parks and FTAs. To promote spinning modernisation, the Tamil Nadu government offers interest subsidies to the tune of 6%.

However, industry faces challenges such as rising labour costs, export uncertainties, infrastructure gaps. Dependency on upcountry for raw material adds to the logistics cost. The fragmented supply chain also adds to the woes of the industry.
By addressing these challenges coupled with adoption of sustainable practices, backed by favourable policies, the region has the potential to significantly scale and enhance both volume and value in the coming years.

TextilesResources.com: Transparency, eco-friendly, sustainability and traceability – how you define these terms with SIMA’s members?

Dr. S K Sundararaman: We define transparency, eco-friendliness, sustainability and traceability as key pillars for responsible growth in the textile industry. Transparency promotes openness in sourcing and operations; eco-friendly practices focus on reducing environmental impact; sustainability ensures long-term balance between environmental, social and economic goals; and traceability enables tracking of products across the supply chain. These principles help our members build trust, meet global standards and enhance global competitiveness.
Open End Spinners Mills’ Association and Recycle Textile Federation are members of SIMA, who are engines of waste recycling. All over India, 275 billion tons of cotton waste, 112 billion tons of cutting/garment waste and 9 lakh tons of PET fiber are being produced per year and have been land filled for so many years. Recycling these wastes and making them useful is the purpose of OE (Open End Spinning mills) mills.
Certifications and third-party audits are the responsibility of the supplying-manufacturers, which is being adhered to by the member mills, a mandate to cater to the international markets.
Notable feature is that major portion of the energy need of the member mills is procured from the renewable sources.

TextilesResources.com: Your opinion about improvising traditional textiles in the state and your plan for it.

Dr. S K Sundararaman: Tamil Nadu has a rich legacy of traditional textiles that reflect our culture and craftsmanship. However, to keep these heritage textiles relevant in today’s market, strategic improvisation is essential. Our focuses on modernizing existing capacities, upgrading skills, supporting eco-friendly practices and strengthening branding and market access, by introducing contemporary applications, leveraging technology and securing policy & financial support, we can revitalize traditional textiles and position Tamil Nadu as a global leader in sustainable and heritage-based textile production.

Improvising traditional textiles in Tamil Nadu through advancements in the spinning sector is a crucial step in strengthening the textile value chain. Enhancing yarn quality, consumption of organic cotton, adopting sustainable & circular practices, capacity building of the workers are key to the attainment of the improvisation of traditional textiles.
Towards this end, Indian superior quality cotton has been branded as “Kasturi Cotton”, to address the shortage of skilled workers & create job opportunities SAMARTH (Scheme for Capacity Building in the Textile Sector) has been launched by the Ministry of Textiles, to encourage MSMEs to adopt energy audits to improve energy efficiency & fuel substitution, the Government of Tamil Nadu has been reimbursing 50% of the cost of conducting energy audit & 25% of the cost of machinery & equipments replaced, retrofit & technology acquired for the purpose of improving the energy efficiency, based on the recommendation of Energy Audit.

TextilesResources.com: Your say about the various schemes, steps and vision of Ministry of Textile, GOI. Your opinion about Bharat Tex trade show.

Dr. S K Sundararaman: The NDA Government led by Hon’ble Prime Minister Shri Narendra Modiji has been taking numerous pathbreaking policy initiatives towards “Viksit Bharat 2047”, the 100th year of independence for India. The Government has set a vision of achieving a remarkable US$ 600 Billion in textile exports and a US$ 1.8 Trillion domestic market for the textiles and clothing industry. This transformation is driven by a surge in fast fashion and the growing success of e-commerce platforms, reshaping consumer dynamics and more so, India is establishing itself as the reliable supplier for clothing the globe. The frequent geopolitical tensions and trade disruptions in competing countries present significant opportunities for India to advance its strategic vision. Against this background, India has geared the FTA negotiations simultaneously with several countries and already concluded FTAs with countries like Australia, UAE, Switzerland, Mauritius and UK, etc., in a record time and the talks are under progress with the major economies like EU and US. These initiatives reflect a clear vision to enhance global competitiveness, promote sustainability, attract investment and support employment generation across the textile value chain. The Ministry’s focus on man-made fibres, technical textiles and integrated infrastructure is both timely and strategic, aligning with global market demands.
The Bharat Tex trade show is a commendable initiative that has positioned India as a global textile sourcing destination. It not only showcases India’s textile strength from raw materials to fashion but also fosters international partnerships, boosts MSME visibility and encourages innovation. Overall, such platforms and policies demonstrate the Ministry’s commitment to building a future-ready, resilient and export-oriented textile industry.

TextilesResources.com: What’s your view about US’s tariff on India? Impact on Indian textile industry.

Dr. S K Sundararaman: The first tranche of 25 per cent tariffs announced by United States President Donald Trump came into effect on August 7. This will double by August 27, when the additional 25 per cent tariffs announced by Trump, as a penalty for purchasing oil from Russia, also come into effect, making the total US tariffs on India a whopping 50 per cent.
The tariff on textiles and apparel, poses a significant challenge to the Indian textile industry. As the U.S. remains one of our largest export destinations, this sudden development could severely impact our sector’s competitiveness, particularly in cotton garments, home textiles and MMF based products threatening India’s ambitious export targets.
The immediate negative impacts include reduced competitiveness, shrinking profit margins, and a shift in orders to countries with preferential market access.
At this pivotal moment, timely policy interventions and proactive trade diplomacy are imperative to protect the interests of the Indian textile industry and sustain its progress toward global leadership. While current trade headwinds pose significant challenges, we remain hopeful that these disruptions are temporary, especially as India and the United States continue to engage in bilateral trade negotiations. I respectfully urge the Hon’ble Prime Minister and the Hon’ble Minister of Commerce and Industry to accelerate the finalization of a comprehensive and favourable trade agreement with the U.S. at the earliest, to ensure long-term stability and competitiveness for our industry.

TextilesResources.com: Any message for the industry professionals and viewers of Textilesresources.com?

Dr. S K Sundararaman: The Government of India has set an ambitious vision to scale up textile exports from the current level of USD 37 billion to USD 100 billion by 2030. In pursuit of this goal, several landmark policy initiatives have been undertaken to enhance the global competitiveness of the Indian textile industry.
Currently, the textile industry is at a transformative crossroad. Companies that adapt to sustainability, technology, quality, value addition, innovation and market diversification are sure to thrive.
The historic signing of the Free Trade Agreement (FTA) with the United Kingdom, the successful conclusion of FTAs with Australia, the UAE, Mauritius, and the ongoing negotiations with the European Union mark significant milestones on this journey and the positive demand outlook driven by the upcoming festive season, the textile sector is poised to gain renewed momentum.
Let us collectively stay informed, agile and optimistic, as we move towards a more globally competitive and resilient textile ecosystem.