Textile And Garment Exports Slip 2.2% In FY26

The report underscores the need for policy support and industry innovation to revive India’s textile export momentum, which has traditionally been a cornerstone of the country’s trade portfolio.  

Export Performance  

Textile and garment exports recorded a contraction compared to the previous fiscal year, reflecting subdued orders from key markets such as the US and Europe. The slowdown was attributed to inflationary pressures in advanced economies and shifting consumer preferences toward affordable alternatives.  

Industry Challenges  

The sector continues to grapple with high energy costs, supply chain disruptions, and compliance requirements in global markets. Additionally, competition from countries like Bangladesh and Vietnam has intensified, putting pressure on India’s exporters to innovate and diversify product offerings.  

Future Outlook  

Experts suggest that India’s textile industry must focus on sustainable practices, digital integration, and value-added products to regain competitiveness. Government initiatives on production-linked incentives and trade facilitation could play a crucial role in reversing the downward trend.  

Export Insights  

• Textile and garment exports down 2.2% in FY26  
• Global demand slowdown impacts orders from US and Europe  
• Competition from Bangladesh and Vietnam intensifies  
• Focus needed on sustainability and innovation for revival  

Sources: Economic Times, Mint, Business Standard