Sri Lanka crisis has led to many apparel orders from the UK, EU, and even Latin American countries to being diverted to India.
A. Sakthivel, President, Federation of Indian Export Organizations (FIEO), said, exporters have begun receiving queries from several European countries.
NarendraGoenka, Chairman, AEPC, adds, India can emerge as an alternative to Sri Lankan apparel as it can produce the majority of the same products at lower cost.
According to the US International Trade Administration, apparel export industry is key to Sri Lanka’s economy, as it accounts for about 44 per cent of total exports and 33 per cent of manufacturing jobs.
Sri Lanka’s earnings from apparel exports have dipped the last few years—they stood at $4.4 billion in 2020, about $1.3 billion less than in 2019.
India is taking steps to boost its textile exports. Eyeing a larger share of the international market, which is dominated by man-made fibres (MMFs), the government earlier this month approved 61 applications with an investment potential of over Rs 19,000 crore under the production linked incentive (PLI) scheme for textiles.
