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India's Garment Exports Grow Despite Global Slowdown and High Costs

India's ready-made garment exports registered a marginal 0.51% growth, reaching $14.53 billion for the April 2025 to February 2026 period despite a significant 8.6% drop in February. The sector is navigating a challenging global environment marked by subdued demand in key markets like the US and West Asia, along with geopolitical tensions affecting order flows. Elevated freight rates and increased input costs are placing additional pressure on exporters' margins and operational planning. Industry leaders express confidence in long-term strength, citing adaptation through market diversification, product innovation, and leveraging recent Free Trade Agreements (FTAs).

Key Points: India Garment Exports Show Resilience Amid Global Challenges

  • Marginal 0.51% growth for Apr-Feb period
  • February saw an 8.6% monthly decline
  • Geopolitical tensions hit key market orders
  • High freight and input costs pressure margins
  • Industry adapting via diversification and innovation
2 min read

India's garment exports show resilience in face of global headwinds​

India's apparel exports see marginal growth to $14.53B for Apr-Feb, navigating weak demand, high freight, and geopolitical tensions.

"India's ready-made garment exports declined by 8.6 per cent for the month of February. - A. Sakthivel"

New Delhi, March 16

India's ready-made garment exports sector has shown resilience, recording positive growth during the first 11 months of the current financial year despite uncertainties in the global market.​

Reacting to the garment export data released on Monday, Apparel Exports Promotion Council (ARPC) chairman A. Sakthivel said, "India's ready-made garment exports declined by 8.6 per cent for the month of February. However, the cumulative exports for the period April 2025 to February 2026 stood at $14.53 billion compared with $14.46 billion for the same period of the previous year, reflecting a marginal growth of 0.51 per cent."​

This reflects the sector's ability to maintain stability amid a challenging global trade environment. The ready-made garment sector continues to demonstrate resilience despite persistent global economic uncertainties and supply chain disruptions. The sector has been navigating multiple external challenges, including subdued demand in key markets, he explained.​

The AEPC chairman highlighted that geopolitical tensions and economic uncertainties have impacted order flows, particularly from major markets such as the United States and parts of West Asia. These developments have led to cautious sourcing practices among global buyers.​

Sakthivel further noted that, "Going forward, the elevated freight rates and the increased cost of inputs have started placing additional pressure on exporters, affecting overall margins and operational planning for manufacturers and exporters across the value chain."​

Despite these headwinds, the Chairman of AEPC expressed confidence in the long-term strength of India's apparel sector, emphasising that the industry continues to adapt through market diversification, product innovation, and improved supply chain efficiencies. He reiterated the industry's commitment to strengthening India's position as a reliable global sourcing destination for apparel.​

"We are grateful to the government for all the support amidst the tough global trade environment. We will be focusing on the recent FTAs and try leveraging our strengths to maximise our exports," the AEPC chairman added.

- IANS

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Reader Comments

R
Rohit P
Marginal growth of 0.51% is better than a decline, but we can't celebrate just yet. The chairman himself pointed out the pressure from freight and input costs. The government needs to provide more concrete support, maybe faster GST refunds or easier credit for small exporters, not just words of gratitude.
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Aman W
Diversification is key. Relying too much on US and Europe is risky. We should aggressively target new markets in Africa, Latin America, and even within our own neighborhood. Our quality is good and we can be competitive if logistics are improved.
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Sarah B
Interesting to see the data. The resilience is impressive given the global economic climate. From a sourcing perspective, stability and reliability are becoming more important than just low cost. If India can maintain this, it could gain market share in the long run.
K
Karthik V
The real heroes are the thousands of workers in Tiruppur, Ludhiana, and NCR. They keep the wheels turning despite all challenges. Hope this 'resilience' translates to better wages and working conditions for them too. Jai Hind!
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Nisha Z
Product innovation is the way forward. We need to move beyond basic cottons and develop more technical textiles, sustainable fabrics, and high-fashion items. That's where the margins are. Good to see the council is thinking about this.

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