Indian textile and apparel exporters have expressed concern over the evolving trade terms between the United States and Bangladesh, warning that the agreement could intensify competition and divert orders away from India.
Industry representatives say Bangladesh’s continued duty advantages, lower production costs, and strong presence in the U.S. apparel market could further strengthen its position at the expense of Indian exporters. The U.S. remains India’s largest export destination for garments, making any shift in sourcing patterns a key risk for domestic manufacturers.
Exporters note that while India has strengths in value-added apparel, cotton-based products, and supply-chain reliability, the absence of preferential tariff access to the U.S. market puts it at a disadvantage compared to competitors like Bangladesh. The industry has renewed calls for faster progress on trade negotiations with the U.S. to ensure a level playing field.
The development comes at a time when Indian apparel exporters are already facing pressure from rising input costs, tight global demand, and intense competition from other Asian manufacturing hubs. Trade bodies have urged the government to support exporters through policy measures, market diversification, and efforts to enhance competitiveness in the U.S. market.