Union Minister for Textiles Giriraj Singh has said that the India-UK Free Trade Agreement (FTA), which came into force on July 15, will significantly strengthen India’s textile and apparel exports by providing duty-free access to one of the country’s key overseas markets while paving the way for greater global market penetration through a growing network of trade agreements.
Speaking in an interview, the Minister said India’s expanding FTA network would substantially increase market access for textile exporters. He noted that India currently has 10 FTAs covering 19 countries, but with the UK agreement now operational and negotiations with the European Union and New Zealand nearing completion, the country’s FTA coverage is expected to expand to 56 countries in the coming years.
According to Singh, the global textile import market is valued at around US$900 billion, while India’s share currently stands at only about 4 per cent. Once the proposed FTAs, particularly with the European Union, are concluded, the 56 countries covered under these agreements will account for nearly 60 per cent of the global textile import market, creating significant export opportunities for Indian manufacturers.
On the impact of tariff uncertainties in the United States, Singh said India has managed to retain around 80 per cent competitiveness in the US textile market despite evolving trade measures. He noted that India’s textile exports to the US stood at approximately US$10.9 billion before 2024, and although exports witnessed some decline, the impact was far lower than initially anticipated.
The Minister said the government responded by diversifying export destinations and identifying around 40 new international markets through Indian embassies under the guidance of the Prime Minister. While concerns had been raised that India’s textile exports could decline by as much as US$11 billion, the actual reduction was limited to around US$2 billion, reflecting the sector’s resilience.
Highlighting efforts to broaden the country’s export base, Singh said textile exports have now originated from 548 districts across India, covering products ranging from handicrafts and handlooms to garments. He described this wide geographical spread as a major achievement in expanding export participation beyond traditional manufacturing clusters.
To further strengthen export capabilities, the Ministry of Textiles is developing six dedicated Export Facilitation Centres from among the existing centres operated by the Textile Department, Textile Committee and the Office of the Textile Commissioner. These centres will assist new exporters with registration, documentation, export procedures and compliance requirements, including guidance on utilising Free Trade Agreements and obtaining Certificates of Origin.
Singh also said he plans to engage with Chief Ministers across the country to encourage greater support for exporters at the district level by recognising successful exporters, promoting awareness of government schemes and identifying incentives that can help expand exports.
In addition, the Ministry has directed all 11 Export Promotion Councils under the textiles sector to organise awareness programmes aimed at helping small and regional businesses understand export procedures and maximise the benefits available under India’s growing network of Free Trade Agreements.
