Apparel Export Promotion Council Highlights Growth Momentum in Ready-Made Garments
New Delhi, February 17: The Apparel Export Promotion Council on Tuesday said the latest data on ready-made garment exports reflects the resilience of Indian apparel exporters, even as they continue to navigate challenging global conditions.On a cumulative basis, ready-made garment exports during April to January of the financial year 2025 to 26 stood at 13,129.1 million dollars. This represents a growth of 1.6 percent compared to the corresponding period of April to January in FY25. More significantly, exports registered a 13.3 percent increase over the same period in FY24, indicating a steady recovery trajectory for the sector.
January Performance Signals Underlying Strength
Exports in January also recorded a 7.2 percent growth compared to January 2024, underscoring the underlying strength and recovery momentum in the industry despite persistent global volatility.Dr A Sakthivel, Chairman of AEPC, said the temporary decline in January exports can largely be attributed to high tariff pressures in the United States and ongoing global uncertainty, which have disrupted order flows across key markets.
He noted that in an effort to retain customers, several exporters absorbed part of the cost pressures by offering discounts of up to 20 percent. However, with tariff levels rising to nearly 50 percent, the resulting price disadvantage led to a loss of orders to competing sourcing destinations.
FTAs Offer Expanded Market Access for Textile Sector
India has signed free trade agreements with 37 countries, opening up wider market access for the textile and apparel industry. According to Sakthivel, the coming decade offers a strategic opportunity for India to leverage its strong manufacturing base, skilled workforce, and integrated value chain to accelerate export growth and enhance its global market share.MSME-Focused Export Policy Sought
Sakthivel also emphasized that micro, small and medium enterprises form the backbone of the apparel sector and require targeted policy support to remain competitive.On Monday, the AEPC Chairman met Sanjay Malhotra, Governor of the Reserve Bank of India, to advocate for a dedicated export policy tailored specifically for MSMEs.
He proposed the introduction of a Special Interest Package Scheme aimed at improving access to affordable finance and strengthening the growth prospects of smaller exporters.
Push to Enhance Interest Equalisation Scheme
To ease export finance constraints, Sakthivel requested an increase in the Interest Equalisation Scheme from the existing 2.75 percent to 5 percent for manufacturing exporters.He also urged the central bank to remove the current cap of 50 lakh rupees and enhance eligibility limits under the scheme through a graded structure linked to turnover and export performance.
With cumulative export growth holding steady in FY26 and renewed focus on policy support for MSMEs, the ready-made garment sector is positioning itself to sustain momentum amid evolving global trade dynamics.
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