“ …by the mid‑19th century machine‑woven cloth still could not equal the quality of hand‑woven Indian cloth. However, the high productivity of British textile manufacturing allowed coarser grades of British cloth to undersell hand‑spun and woven fabric in low‑wage India” [0]

“…the output of power looms was certainly greater than that of the handlooms, but the handloom weavers produced higher quality cloths with greater profit margins.” [1]

The same can be said about machines like the water frame. It was great at spinning coarse thread, but for high quality/luxury textile (ie. fine fabric), skilled (human) spinners did a much better job. You can read the book Blood in the Machine for even more context.

[0] https://en.wikipedia.org/wiki/Industrial_Revolution

[1] https://en.wikipedia.org/wiki/Dandy_loom