Indian Apparel Exports Poised for Unprecedented Growth Amid US Trade Deal

The Indian apparel export sector is set for significant growth, thanks to a new US-India trade deal that reduces tariffs to 18%. Industry leaders see it as an opportunity to dominate the market but warn of potential labor shortages, urging government intervention to address welfare and infrastructure needs.

The Indian apparel export industry is on the brink of remarkable growth, following a pivotal US-India trade deal that slashes tariffs to 18%. Key industry figures, including A Sakthivel of the Apparel Export Promotion Council (AEPC), are optimistic about India's ability to lead the sector.

According to Sakthivel, the industry has faced turbulent times due to steep tariffs, but recent announcements have injected a fresh sense of optimism. He credits the Indian government for negotiating favorable trade terms, which he believes will give India a competitive edge over other textile-producing nations such as Bangladesh, Cambodia, and Vietnam.

Despite the positive outlook, the sector is bracing for labor shortages. Exporters are seeking government support to improve worker welfare and infrastructure, emphasizing the need for subsidies on housing for women workers. As the industry gears up for a 'boom period,' experts are urging investment in facility upgrades and capacity expansion to fully leverage this growth opportunity.

(With inputs from agencies.)