India’s garment exports have seen significant growth in recent years, benefiting from the political instability in Bangladesh. As a result, many buyers have switched to Indian manufacturers to meet demand, particularly for orders that must be completed quickly.
Foreign buyers are thinking about shifting 10–15 per cent of their purchases from Bangladesh to India, which may increase India’s monthly revenue by US $ 300–400 million, according to the Clothing Manufacturers Association of India (CMAI). India’s apparel exports increased by 8.5 per cent in the first half of this year, compared to a 15 per cent decrease in the same period the previous year. In September alone, exports increased by 17.3 per cent year over year.
The Comprehensive Economic Partnership Agreement (CEPA), which abolishes a 5 per cent import tax on ready-made garments (RMG), ushers in a new era of trade between India and the United Arab Emirates and gives India a stronger competitive advantage, particularly when compared to China and other key rivals.
India’s ambassador to the United Arab Emirates, Sunjay Sudhir, noted that the UAE is India’s third-largest trading partner, with the Emirates being India’s second-largest export destination. “India is without a doubt one of the world’s largest exporters of garments, and a large portion of our exports are made on the overseas labels,” he added.
Speaking about the future, CMAI President Santosh Katariya said, “The UAE has been a significant apparel market for many years due to its competitive position. In addition to making up 12 per cent of India’s total apparel exports, it facilitates trade with other nearby nations.”
According to the Government of India’s Directorate General of Commercial Intelligence & Statistics, apparel exports from India to the United Arab Emirates totalled US $ 462.3 million between April and August of 2024. Given the upcoming Ramadan Eid at the end of March of the following year, demand is anticipated to increase.
Within this environment, the 2nd edition of ‘Brands of India’ will take place in Dubai from November 12th–14th 2024, organised by the CMAI, with the event being inaugurated by Sunjay Sudhir.
