India to Boost Textile Exports Amid Bangladesh’s Political Crisis
India is preparing to strengthen its textile sector to seize a larger share of the global market as Bangladesh, one of the world’s largest garment exporters, faces disruptions due to its ongoing political crisis. The instability in Bangladesh has impacted global supply chains, prompting international retailers to explore alternative sourcing options.
The Indian government is considering increasing the budget allocation for its textile sector by 10%-15% for the upcoming fiscal year. This includes plans to expand production-linked incentives (PLI) to boost domestic manufacturing and exports. The move aims to make Indian textile products more competitive in the global market.
To further enhance its competitiveness, India is exploring tariff reductions on essential raw materials such as polyester and viscose staple fiber. Currently, high import duties on these materials make Indian garments more expensive compared to those from competing nations. Lowering these tariffs could significantly improve India’s position in the global textile trade.
India’s textile sector, employing millions, has shown resilience in recent years. The country’s textile and garment exports have witnessed steady growth, with significant contributions from the ready-made garment segment. By capitalizing on Bangladesh’s supply chain challenges, India aims to cater to increased global demand and solidify its role as a reliable supplier.
This proactive strategy underscores India’s commitment to leveraging emerging opportunities in the global market, ensuring growth and stability for its vital textile industry while addressing global supply needs.
