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Case Study On Supply Chain Management Of Cotton

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SUPPLY CHAIN MANAGEMENT OF COTTON: FROM FARM TO FACTORY
*Rajendra Bafna, Jyoti Singh Tanwar, Sanjay Kadam

Introduction:
The concept of Supply Chain Management is based on two core ideas. The first is that practically every product that reaches an end user represents the cumulative effort of multiple organizations. These organizations are referred to collectively as the supply chain. Supply chain management, then, is the active management of supply chain activities to maximize customer value and achieve a sustainable competitive advantage. It represents a conscious effort by the supply chain firms to develop and run supply chains in the most effective & efficient ways possible. Supply chain activities cover everything from product development, sourcing, production, and logistics, as well as the information systems needed to coordinate these activities.
This article throws light on the existing supply chain management of cotton in India. India is the second largest producer of cotton in the world and also the second largest exporter of after the USA. As Cotton is one of the most important cash crops in India supply chain of cotton has major economic significance. …show more content…

The main reasons are: fragmentation of the industry, labour restrictions that restricted loom capacity, poorly developed textile machine industry and production restrictions like the hank-yarn obligation. The use of outdated technology adversely affects the competitiveness the textile industry in the global markets. Below table shows the low level of technology adoption across segments.

The large scale integrated mills have been the only segment that have been able to access capital intensive technology helping them upgrade and scale-up production according the needs of the changing markets.

3. Information

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