The Apparel Export Promotion Council (AEPC) highlighted the resilience of Indian apparel exporters in the face of challenging international conditions. From April to January 2025-26, ready-made garment (RMG) exports totaled $13,129.1 million, marking a 1.6% increase from the same period in 2024-25 and a notable 13.3% surge compared to 2023-24.
RMG exports demonstrated a positive growth of 7.2% in January 2024, indicating the industry’s underlying strength and recovery momentum despite global headwinds. Dr. A Sakthivel, Chairman of AEPC, attributed the temporary decline in January exports to high US tariff pressures and global volatility disrupting order flows.
The industry faced challenges as many RMG exporters tried to retain customers by offering discounts of up to 20% due to rising tariff levels. However, with tariffs reaching nearly 50%, the price gap became significant, leading to a loss of orders to other sourcing destinations. India’s FTAs with 37 countries have opened up new market opportunities for the textile and apparel sector.
Looking ahead, Sakthivel emphasized the strategic opportunity for India to boost export growth and expand its global market share leveraging its manufacturing base, skilled workforce, and integrated value chain. He stressed the importance of supporting MSMEs in the apparel sector through targeted policies to enhance competitiveness and sustain growth.
Advocating for a dedicated export policy for the MSME sector, AEPC Chairman proposed a Special Interest Package Scheme to improve access to affordable finance for smaller exporters. Dr. Sakthivel also called for an increase in the Interest Equalisation Scheme from 2.75% to 5% for manufacturing exporters to address export finance constraints. He urged the RBI to consider removing the Rs 50 lakh cap and enhancing eligibility limits under the scheme based on turnover and export performance.
