India's Apparel Export Crisis: 14.8% Quarterly Drop Amid Global Slowdown

The report, based on estimates released by the Press Information Bureau (PIB), highlights that apparel exports dropped from USD 3,636 million in Q2 FY2024-25 to USD 3,097 million in Q2 FY2025-26, reflecting sluggish global demand and continued challenges in key export markets.

"During Sep'25, Indian Textiles exports registered a degrowth of -10.45 per cent over the previous year while Apparel exports registered a degrowth of -10.14 per cent during the same time period." noted CITI analysis. The report adds "Cumulative Exports of Textiles and Apparel during Sep'25 have registered a degrowth of -10.34 per cent over Sep'24."

Despite this quarterly decline, the April-September 2025 cumulative figures show a modest growth of 3.42 per cent in apparel exports, indicating a partial recovery during the first half of the fiscal year.

Overall, textiles and apparel combined grew by 0.39 per cent compared to the same period last year, while textiles alone saw a marginal fall of 1.85 per cent.

"During Apr-Sep'25, Indian Textiles exports registered a degrowth of -1.85 per cent over the previous year while Apparel exports registered a growth of 3.42 per cent during the same time." noted the report

In contrast, India's overall merchandise exports rose by 6.76 per cent in September 2025 over the same month last year, underscoring the specific pressure on the textile and apparel segment within the broader export basket.

CITI's analysis noted that while cotton and handloom products saw an 11.66 per cent dip and handicrafts declined by 18.2 per cent year-on-year in September, imports of cotton raw and waste jumped 23.87 per cent, reflecting a shift in domestic production and sourcing trends.

The textile and apparel sector's share in India's total exports dropped to 7.21 per cent in September 2025, down from 8.58 per cent a year earlier, indicating a relative loss in export share.

- ANI