India Must Compete On Quality, Not Price, To Lead Global Weaving: Itema Group CEO Ugo Ghilardi

Despite ongoing geopolitical uncertainties and fluctuating global markets, Itema Group continues to strengthen its long-term commitment to India. From exploring local manufacturing opportunities to developing next-generation weaving technologies, the Italian weaving machinery leader sees India as one of its most strategic markets.

In this exclusive Interview with Henry Dsouza, Associate Editor of Textile Insights, Ugo Ghilardi discusses the company’s performance in 2026, India’s evolving position in global textiles, the future of digital weaving, investments in automation and why quality, not price will determine India’s global competitiveness.

How has the first half of 2026 been for Itema?
The first six months of 2026 have been both encouraging and extremely challenging. On the one hand, we achieved important business targets and secured several key projects. On the other hand, geopolitical tensions across different parts of the world created significant uncertainty for the textile industry.

Currency fluctuations, especially involving the Euro, US Dollar and Indian Rupee, have also impacted investment decisions. Overall, this has probably been one of the most difficult periods we’ve experienced in recent years. While we expect conditions to improve in the second half of the year, we believe global instability may continue for another four to five years.

How do you view the Indian textile market today and what opportunities do you see for Indian weavers globally?
India is undoubtedly one of the world’s most important textile markets. It has two strong pillars, its large domestic consumption and its growing export business.

Large Indian textile groups are already highly competitive globally. However, I believe the biggest opportunity lies with medium-sized companies. These businesses need greater support to expand internationally.

India is already competitive on pricing and delivery speed. The next step is to compete on quality. With the country’s recent trade agreements, particularly with Europe, medium-sized manufacturers have an excellent opportunity to grow exports, provided they continue investing in quality improvement.

What technological advancements is Itema developing specifically for the Indian market?
Technology is much more than simply building a better weaving machine.

Of course, we continue improving our machines and developing new models. But our biggest focus today is creating better weaving solutions. We work closely with customers to develop different weaving approaches using our experience from Europe, China and other advanced textile markets.

India can greatly benefit from these global best practices, especially in producing higher-quality fabrics and improving overall weaving performance.

What growth opportunities do you see for Itema in India?
India deserves a stronger industrial presence from Itema.

Today, we already manufacture reeds in our Kolhapur facility, and in future we could expand our manufacturing capabilities in India.

From a technology perspective, we continue investing across all three of our weaving platforms. Projectile technology is being renewed with production consolidated in Europe. Rapier technology remains our flagship segment.. Airjet technology is being recently further developed through our China operations, with India being an important target market for these solutions.

AI, automation and digitalisation are transforming manufacturing worldwide. How will they shape the next generation of Itema weaving machines?
For us, digitalisation is no longer optional, it’s a basic requirement, just like machine quality.

Customers expect advanced digital capabilities and every current and future Itema machine must deliver them.

Our focus now is developing new business models around digitalisation, enabling customers to gain greater productivity, efficiency and support. This is an area where we are already working extensively, particularly in Europe and the United States.

What has been Itema’s biggest strategic decision over the last five years?
Our biggest strategic decision was choosing not to become the world’s largest loom manufacturer by volume. Instead, we decided to become the global leader in weaving mastery.

Our ambition is to lead the industry through technology, expertise, innovation and customer-focused solutions rather than simply producing more machines.

Itema is investing heavily in a new manufacturing facility in Italy. What makes this factory unique?
This is more than a new factory, it’s a completely new manufacturing philosophy.

We are building a smart manufacturing facility where every machine will have its own digital twin. Customers will be able to interact with the virtual version of their machine before the physical machine is even delivered, allowing them to simulate fabrics and production performance in advance.

The factory will feature highly automated assembly lines using AGVs and robotics alongside skilled human operators.

We’ve reduced assembly space by nearly 40%, while increasing efficiency and enabling much higher levels of machine customisation. Our objective is not simply to produce more machines, but to build machines that are tailored precisely to each customer’s requirements.

The global textile industry is navigating a period of uncertainty. What message would you like to share with the Indian weaving industry and your customers in India?
The most important thing is that we stay together. Today’s challenges demand trust, collaboration and long-term partnerships. At Itema, we remain close to our customers, even in regions facing economic uncertainty or geopolitical challenges, because we believe strong partnerships are essential during difficult times.

At the same time, India must continue investing in innovation and training. Better machines alone are not enough. Skilled people, improved processes and continuous learning are equally important to achieving higher productivity and better-quality fabrics.

In Surat alone, we have thousands of Itema machines installed, but our focus today goes beyond supplying technology. We want to help our customers improve quality through training, knowledge sharing and technical support. Many young professionals are entering the weaving industry, and they need continuous training to unlock their full potential.

Above all, our message to Indian weavers is simple: you can count on Itema.

We are a family-owned company that believes in building lasting relationships with our customers. We are committed to standing by the Indian textile industry, not just as a machinery supplier, but as a trusted technology partner for the future.