The Confederation of Indian Textile Industry (CITI) has cautioned that escalating tensions in West Asia could disrupt India’s textile and apparel exports, particularly shipments routed through key maritime and air corridors in the region.
In a statement, CITI said uncertainty across critical shipping lanes and air transit hubs is leading to higher freight rates, insurance premiums and longer transit times — factors that could erode price competitiveness for Indian exporters.
West Asia serves as both a significant export destination and a major transshipment hub for consignments bound for Europe and North America. Industry executives noted that any prolonged instability could impact delivery schedules, especially for time-bound apparel orders aligned with seasonal retail cycles.
Exporters are also concerned about payment risks and currency volatility in certain markets, which may affect order flows. Smaller manufacturers, operating on thin margins, are likely to face greater pressure if logistics costs remain elevated.
CITI urged the government to engage with shipping lines, airlines and financial institutions to ensure smoother cargo movement and safeguard export interests. The industry body also called for enhanced export credit support and faster tax refunds to ease liquidity constraints.
Despite the near-term headwinds, CITI expressed confidence in the sector’s resilience, highlighting India’s diversified product base and growing presence in value-added textile segments. However, it stressed that stabilising trade routes and logistics costs will be crucial to sustaining export momentum in the months ahead.