The Confederation of Indian Textile Industry (CITI) is
closely tracking developments in West Asia, as a sig
nificant portion of textile and apparel exports is headed
there and looks forward to an early resolution and a
return to normalcy.
CITI also welcomes the assurance of support by the
Indian authorities to ensure continuity of EXIM logistics
and mitigate any disruptions to India’s trade flows.
The UAE, particularly, is one of the largest markets for
Indian textile and apparel exporters in West Asia. In 2024,
the UAE was the 4th largest market for India’s textile and
apparel exports, after the US, EU, and Bangladesh.
“Coming in the backdrop of the continuing uncertainty
on the US tariffs issue and the recent reduction in the
rates under the Remission of Duties and Taxes on
Exported Products (RoDTEP) Scheme, the tumultuous
developments in West Asia have further added to the
challenges faced by Indian textile and apparel
exporters,” CITI Chairman Ashwin Chandran said.
“Considering the narrow margins under which textile and
apparel exporters operate, any escalation in the cost of
logistics and insurance due to the West Asia scenario
puts them in a very tight spot, affecting their ability to
meet contractual obligations besides significantly raising
operating costs,” Chandran pointed out.
“While it is too early to quantify the impact of the
developments in West Asia, there is no getting away from
the fact that this issue, until resolved, will come in the way
of the diversification efforts of India’s textile and apparel
exporters.”
Chandran said the stakeholder consultation organised
by the Department of Commerce on March 2 to discuss
the ongoing developments in West Asia was a great
source of comfort. “It reflects the Government’s
continued commitment to the cause of Indian industry,”
he added. The textiles and apparel sector is the second
biggest generator of jobs in India and a major
contributor to the national GDP and exports. Textiles and
apparel exports had been severely impacted in the
second half of 2025 due to the steep 50% US tariff on
Indian goods, which was in place from late August 2025
till early February 2026.