According to the Ministry of Commerce and Industry, India, data for the period of January to September 2024 reports that apparel imports declined by 6.83 per cent and stood at US $ 1.09 billion, against US $ 1.17 billion in the same period last year.
The fall was witnessed among both knitted and woven categories, and major declines were reported in Bangladesh – down 10.43 per cent – and China – down 6.34 per cent – which are traditionally Indian apparel buyers’ largest sourcing hubs.
Bangladesh and China witness lower demand
Imports from Bangladesh fell to US $ 455.67 million compared with US $ 508.75 million in the last year, while those from China dropped to US $ 188.16 million versus US $ 200.89 million during the same period. That is on account of softening buying sentiments among the apparel businesses of India in the current year.
Divergent trends in Europe: Italy declines, Spain rises
Among European suppliers, Italy saw a significant dip of 19.52 per cent, with India’s apparel imports dropping to US $ 34.72 million. Whereas, Indian buyers imported US $ 99.10 million worth of apparels from Spain, noting an 8.32 per cent Y-o-Y increase.
It’s worth noting here that Indian buyers often source apparel from countries like Italy and Spain to cater to premium and niche segments that prioritise quality, innovation and trend-focused styles.
Sri Lanka gains trust of Indian buyers
Sri Lanka has emerged as a strong partner with US $ 50.86 million worth of apparel shipments to India during the January to September 2024 period. This Y-o-Y increase of 13.68 per cent indicates the growing confidence of India’s apparel buyers in Sri Lanka’s capability to meet desired quality, cost and timeline expectations.
However, the overall dip in apparel imports resonates with changing dynamics in India’s sourcing strategy, with a sharper focus on balancing cost, quality and innovation.