Impact on Textile Industry

Due to several reforms undertaken to enhance the
competitiveness of the domestic textile and apparel
industry, India’s import dependency in the Textile and Ap
parel sector, including Ready-Made Garments, has re
duced by 13.9% during April–December 2025 as compared
to the corresponding period of the previous year. During
the said period, India’s imports of textiles and apparel,
including Ready-Made Garments, from Bangladesh stood
at USD 705.4 million.India is the world’s sixth-largest exporter
of textiles and apparel in 2024 and it has recorded exports
of USD 27312.7 million during April–December 2025. Indian
textile and apparel exports have recorded growth in more
than 100 export destinations during the said period, reflect
ing enhanced market penetration and export diversifica
tion. The Government of India has undertaken several key
policy and programmatic initiatives to boost textile and
apparel exports and enhance the global competitiveness
of the sector.Further, India has signed 16 Free Trade Agree
ments (FTAs), including the recently signed India–Oman FTA,
and has concluded FTA negotiations with New Zealand and
the European Union. These FTAs aim to reduce tariff and
non-tariff barriers, simplify trade procedures, and address
structural constraints, thereby improving market access and
making Indian exports more competitive in partner markets.
The major schemes/initiatives include PM Mega Integrated
Textile Regions and Apparel (PM MITRA) Parks Scheme to
create a modern, integrated, world class textile
infrastructure; Production Linked Incentive (PLI) Scheme
focusing on MMF Fabric, MMF Apparel and Technical
Textiles to boost large scale manufacturing and enhancing
competitiveness; National Technical Textiles Mission focusing
on Research Innovation & Development, Promotion and
Market Development; SAMARTH – Scheme for Capacity
Building in Textile Sector with the objective providing
demand driven, placement oriented, skilling program; Silk
Samagra-2 for comprehensive development of sericulture
value chain; National Handloom Development Program for
end to end support for handloom sector. Ministry of Textiles is
also implementing National Handicrafts Development
Programme and Comprehensive Handicrafts Cluster
Development Scheme for promotion of handicrafts.The
Government has approved Credit Guarantee Scheme for
Exporters (CGSE) for providing 100% credit guarantee
coverage by National Credit Guarantee Trustee Company
Limited (NCGTC) to Member Lending Institutions (MLIs) for
extending additional credit facilities to eligible exporters,
including MSMEs.



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