India is now the 6th largest exporter of textiles and apparel in the world, with a global trade share of 3.9 per cent. The sector holds a significant 8.21 per cent of India’s total exports, underlining the country’s crucial role in the global textile supply chain.
India’s textile and apparel sector has posted a remarkable growth in exports during the first half of FY 2024-25, with total exports reaching USD 21,358 million, marking a 7 per cent increase compared to the same period last year.
According to the Ministry of Textiles, the Ready Made Garments (RMG) category leads the export surge, accounting for 41 per cent of the total textile exports, with a notable export value of USD 8,733 million.
Cotton textiles follow closely, contributing 33 per cent (USD 7,082 million), while man-made textiles account for 15 per cent (USD 3,105 million).
Also Read: 8th Pay Commission: 186% Salary Hike! What’s There For Central Govt Employees In New Year?
Major export destinations for Indian textiles include the United States and the European Union, with these regions commanding approximately 47 per cent of India’s total textile and apparel exports.
The growth in textile exports is largely attributed to the resilient demand for Indian products despite global geopolitical tensions, such as the Red Sea crisis and the Bangladesh crisis, which initially slowed exports in early 2024.
However, demand rebounded as the year progressed, especially in key commodities. Export data for April-October 2024 reveals growth across almost all principal textile categories, including a 12 per cent increase in RMG exports, a 1 per cent rise in cotton textiles, and a 5 per cent increase in man-made textiles.
But some categories, like wool and handloom products, saw declines. Wool and woollen textiles recorded a 19 per cent drop in exports, while handloom products experienced a 6 per cent decrease.
The export of silk products surged by 40 per cent, while carpets saw a robust growth of 12 per cent. India’s import of textiles and apparel products saw a decrease of approximately 15 per cent during FY 2023-24, dropping from USD 10,481 million in FY 2022-23 to USD 8,946 million.
The decline reflects a growing self-reliance in the textile sector, with India increasingly meeting its domestic raw material requirements for industry use and re-export purposes. In the first half of FY 2024-25, India’s total imports of textiles and apparel (including handicrafts) amounted to USD 5,425 million, marking a slight 1 per cent decline compared to the same period in FY 2023-24.
Man-made textiles dominated the import share, contributing to 34 per cent of total imports with a value of USD 1,859 million. This category continues to face a demand-supply gap, prompting imports to meet domestic needs.
Imports of cotton textiles surged by 13 per cent, mainly driven by the need for long-staple cotton fibres, signalling an uptick in domestic production capacity and rising consumption in India.
Also Read: Mutual Funds Vs FD: Which Is Best For Your Financial Goals? Details Inside
