India’s exports of textiles and handicrafts were at an all-time high last financial year. Demand for Indian textiles in the domestic and overseas markets is high. Especially after the pandemic, one sector under textiles which has really got a boost is home textiles. The seven mega textile parks that were launched are aimed at reducing the high logistics costs as well as the fragmented value chain which obtains now.

Most of India’s major exporting destinations like the US and EU are opting for a China plus one strategy, which will prove to be beneficial for India since the cost of labor is low in India as compared to that in neighboring countries.

However, Indian exporters face price pressures. Global apparel brands are negotiating hard with Indian exporters as cotton prices have fallen 15 per cent and the rupee has depreciated against the dollar. They want Indian apparel exporters to supply garments at the pre-covid level prices. The impending recessionary pressure in the US and Europe is forcing global brands to negotiate hard with Indian exporters, who have now started looking at other countries like Japan, Australia and Latin America for developing new markets for Indian apparels.