The sector reported exports valued at $ 5.86 billion in April-May 2024, which was a 5.4 percent increase from the $ 5.56 billion recorded in the same period the previous year.
According to recent data from the commerce ministry, India’s textile exports experienced significant growth in the first two months of fiscal year 2025. The sector reported exports valued at $ 5.86 billion in April-May 2024, which was a 5.4 percent increase from the $ 5.56 billion recorded in the same period the previous year.
Exports of cotton yarn, fabrics, and handloom products increased by 8.24 per cent to $ 1.95 billion. Readymade garment exports rose by 4.47 per cent to $ 2.55 billion. Handcrafts and handmade carpets saw an 11.49 per cent growth, reaching $ 273.66 million, with carpet exports alone growing by 11.76 per cent to $ 241.81 million.
The growth was attributed to factors such as post-pandemic recovery in consumer spending, increased demand for summer clothing in Western markets, and a growing preference for sustainable and ethically produced Indian garments. European markets, especially Germany, Sweden, and Spain, showed particular interest, reporting increased imports of Indian textiles. Germany’s imports increased by 6.32 per cent to $ 223.65 million, Sweden’s by 15.13 per cent to $ 40.57 million, and Spain’s by 4.41 per cent to $188.52 million.
The Indian government was considering expanding its Production Linked Incentive (PLI) scheme for the textile sector to include more products such as t-shirts and innerwear. This initiative was part of efforts to boost the sector, which experienced an 11.69 per cent decline in exports between 2018 and 2023. The textiles ministry aimed to attract investments of Rs 950 billion and create approximately 2.25 million new jobs in the coming years. Additionally, there was a focus on increasing India’s presence in the technical textiles market, with a target to raise exports from the current $ 2.5 billion to $ 10 billion in five years.
Ajay Sahai, Director General of the Federation of Indian Export Organisations, expressed optimism about the sector’s prospects, citing recent free-trade agreements and potential opportunities from global trade dynamics. However, he cautioned about potential challenges related to logistics and increasing freight rates.
While the current growth trend was encouraging, the textile industry faced potential hurdles in logistics and shipping that could impact future performance. Nonetheless, with government support and strategic initiatives, the sector appeared poised for continued expansion in the global market.