So far has been so good. The quota removal, the growing Indian economy, the policy reforms, the China fear, the growing retail business all are working in tandem to boost the Indian Textile Industry. The activity in the textile sector is quite vibrant and cotton textiles and apparels are the 'chosen one' where the boom is expected to continue for a longer period.
The capital market is also looking at the textile sector as a sunrise industry again. This is another positive development concurrently happening at the same time. Already there are several large textile companies listed in the BSE and NSE or other stock exchanges. Most of them have seen bullish rise in share prices while some have not. But all textile companies, that have been performing just about average; also have seen an increase in their share price! However, not many textile enterprises are that professionally managed or 'corporatized' to take advantages of the capital market.
Off late, a new set of textile companies have hit the capital market with IPO's to lure some capital to fund their expansion. These
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| are largely garmenting companies or garment exporters. In the past, government policies have forced these players to remain small. But as quota has been wiped off, the business scenario has changed. Indian garmenting companies have also got larger orders to fulfill, which can not be implemented with smaller factories. Also, it needs integrated manufacturing for better supply chain management, cutting down cost and importantly the lead time. To fund these capital investments, garmenting companies are raising finance from the capital market.
Garment exporters have surplus money, and the best way to invest this money is to raise more equity based finance to accomplish large expansion projects to get better mileage out of the bullish trend. Also, larger equity base would entitle the company for bigger TUF loan at a very competitive rate of interest.
However, several companies that wish to raise finance through IPO route have been sitting in despair. The most important reason being the non-lucrative financial results. So it is time for companies to perform and set its Balance Sheet right to enter the capital market with an IPO before being too late. 
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