India’s textile exports are declining for the second year in a row due to geopolitical tensions
India’s textile exports are witnessing a decline for the second consecutive year, as geopolitical tensions and shifting global trade dynamics continue to impact the industry. Key export markets, including Europe and the United States, have reduced orders due to economic uncertainties, inflationary pressures, and disruptions in supply chains caused by geopolitical conflicts. Additionally, competition from other emerging textile producers offering lower prices has further eroded India’s market share in the global arena.
The ongoing Russia-Ukraine conflict has led to disruptions in raw material supply chains and increased shipping costs, adding to the challenges faced by exporters. Furthermore, trade policies and tariffs imposed by some countries have made Indian textiles less competitive compared to their counterparts. Despite India’s reputation for quality products, these external factors have created significant hurdles for the sector.
To address this decline, the Indian textile industry is urging the government to introduce export incentives, facilitate trade negotiations with key partners, and support the adoption of modern technologies to enhance efficiency and competitiveness. As the sector navigates these challenges, a concerted effort to strengthen bilateral trade relations and invest in diversification strategies is crucial to revive India’s position in the global textile market.
