India’s textile and apparel exports have remained largely stagnant at around USD 40 billion over the past six years, highlighting the urgent need for structural transformation if the industry is to achieve its ambitious USD 100 billion export target by 2030, according to the India Textiles and Apparel CXO Blueprint 2030 report released by the Clothing Manufacturers Association of India (CMAI) and the Global Alliance for Textile Sustainability (GATS).
The report notes that while global textile and apparel trade expanded at an average annual rate of 3.5% during the period, India’s exports grew by only 0.8% annually, indicating that the country has not fully capitalized on rising global demand.
Although India continues to maintain a strong position in traditional segments such as cotton textiles, carpets and made-ups, global demand has increasingly shifted towards apparel, man-made fibre (MMF) products and technical textiles—segments where India’s presence remains relatively limited.
“The Indian textile and apparel sector is present in global trade. It is not yet positioned where the growth and the margin now sit,” the report observed.
India boasts one of the world’s deepest textile value chains, with 83.2% domestic value addition in textile and clothing exports. However, its share in global apparel exports stands at only around 3%, significantly lower than Bangladesh’s 9.5% and Vietnam’s 7.3%.
The report further highlights that over 52% of India’s textile exports originate from just 134 product categories where the country enjoys more than a 10% share of global exports. While this demonstrates strength in specific segments, it also underscores the need to diversify into higher-growth and higher-value product categories.
According to the report, Indian manufacturers can no longer rely solely on advantages such as raw material availability, manufacturing capacity or competitive labour costs. Instead, future competitiveness will increasingly depend on higher productivity, consistent quality, product innovation, design capabilities, traceability, sustainability, digital transformation and the ability to respond quickly to evolving buyer requirements.
The report also notes that India’s textile and apparel industry is operating in a more competitive and demanding global marketplace. While the country has scale, employment intensity and an integrated supply chain, it has yet to establish a strong foothold in the fastest-growing global product segments.
“India has earned global recognition as a manufacturing destination. The next chapter of our growth will depend on how successfully we build capabilities that create greater value for customers and global brands,” said Santosh Katariya, President, CMAI.
The report also emphasizes the importance of free trade agreements (FTAs) and ongoing trade negotiations in improving India’s competitiveness by providing tariff parity in key export markets. However, it cautions that the commercial benefits of these agreements will depend largely on the preparedness of companies to comply with rules of origin, quality standards, documentation requirements, product alignment, capacity planning and buyer expectations.
The Blueprint concludes that achieving the sector’s 2030 export ambitions will require a shift from competing primarily on scale and cost to building capabilities that deliver greater value, innovation and sustainability across the textile and apparel value chain.
India’s textile and apparel exports have remained largely stagnant at around USD 40 billion over the past six years, highlighting the urgent need for structural transformation if the industry is to achieve its ambitious USD 100 billion export target by 2030, according to the India Textiles and Apparel CXO Blueprint 2030 report released by the Clothing Manufacturers Association of India (CMAI) and the Global Alliance for Textile Sustainability (GATS).
The report notes that while global textile and apparel trade expanded at an average annual rate of 3.5% during the period, India’s exports grew by only 0.8% annually, indicating that the country has not fully capitalized on rising global demand.
Although India continues to maintain a strong position in traditional segments such as cotton textiles, carpets and made-ups, global demand has increasingly shifted towards apparel, man-made fibre (MMF) products and technical textiles—segments where India’s presence remains relatively limited.
“The Indian textile and apparel sector is present in global trade. It is not yet positioned where the growth and the margin now sit,” the report observed.
India boasts one of the world’s deepest textile value chains, with 83.2% domestic value addition in textile and clothing exports. However, its share in global apparel exports stands at only around 3%, significantly lower than Bangladesh’s 9.5% and Vietnam’s 7.3%.
The report further highlights that over 52% of India’s textile exports originate from just 134 product categories where the country enjoys more than a 10% share of global exports. While this demonstrates strength in specific segments, it also underscores the need to diversify into higher-growth and higher-value product categories.
According to the report, Indian manufacturers can no longer rely solely on advantages such as raw material availability, manufacturing capacity or competitive labour costs. Instead, future competitiveness will increasingly depend on higher productivity, consistent quality, product innovation, design capabilities, traceability, sustainability, digital transformation and the ability to respond quickly to evolving buyer requirements.
The report also notes that India’s textile and apparel industry is operating in a more competitive and demanding global marketplace. While the country has scale, employment intensity and an integrated supply chain, it has yet to establish a strong foothold in the fastest-growing global product segments.
“India has earned global recognition as a manufacturing destination. The next chapter of our growth will depend on how successfully we build capabilities that create greater value for customers and global brands,” said Santosh Katariya, President, CMAI.
The report also emphasizes the importance of free trade agreements (FTAs) and ongoing trade negotiations in improving India’s competitiveness by providing tariff parity in key export markets. However, it cautions that the commercial benefits of these agreements will depend largely on the preparedness of companies to comply with rules of origin, quality standards, documentation requirements, product alignment, capacity planning and buyer expectations.
The Blueprint concludes that achieving the sector’s 2030 export ambitions will require a shift from competing primarily on scale and cost to building capabilities that deliver greater value, innovation and sustainability across the textile and apparel value chain.
