Major drawbacks: . India has a large share in the world trade of cotton yarn but its trade in readymade garments is only 4 per cent of the world’s total. . India’s spinning mills are competitive at the global level and capable of using all the fibres produced. . But the weaving, knitting and processing units cannot use much of the high quality yarn that is produced in the country. . There are some large and modern factories in these segments, but most of the productions are in fragmented smalt units, which cater to the local market.This mismatch is a major drawback for the industry. As a result, many Indian spinners export cotton yarn while garment manufacturers have to import fabric.