The paper endeavours to assess the export competitiveness of the textiles sector of India. This is followed by an inter-regional comparison of the comparative advantage of the handloom sector. At the end, the major macro-level determinants of the comparative advantage are identified. Analysis reveals export competitiveness of textile products from India. The results of inter-regional comparison of export competitiveness among five different regions of the country indicate comparative advantage in the case of the North Indian and North East Indian regions of India. A negative correlation is identified between per capita state GDP, gross capital formation, number of factories with export competitiveness as measured by RSCA. This paves the way for further research to explore the impact of the relevant macroeconomic factors on export competitiveness which is so far unexplored in the context of handloom sector. JEL Classifications: F14, L67, F1, Q1
Joyeeta Deb (Wed,) studied this question.