FTA Likely To Double India’s Apparel, Textile Exports To UK: Report

New Delhi: India’s attire and residential textiles exports to the United Kingdom are anticipated to double from the present ranges within the subsequent 5-6 years, with the bilateral loose industry settlement (FTA) scheduled to turn out to be operational in calendar 12 months 2026, consistent with an ICRA record. 

Currently, Indian textile exports to the United Kingdom face 8-12 in keeping with cent tasks, however with 99 in keeping with cent of products, together with textiles, gaining zero-duty get entry to beneath the FTA, India will reach parity with competition like Bangladesh, Vietnam and Pakistan, the record states.

China leads UK textile imports with a 25 in keeping with cent marketplace percentage, carefully adopted by way of Bangladesh, which has a 22 in keeping with cent percentage. Turkey and Pakistan, with 8 in keeping with cent and 6.8 in keeping with cent percentage respectively, are the opposite main exporters. The FTA will permit India’s textile exports to turn out to be extra aggressive in the United Kingdom, resulting in an building up in marketplace percentage.

India is recently the 12th greatest buying and selling spouse of the United Kingdom and ranks 5th in attire and residential textiles imports, with $1.4 billion price of exports in 2024, which constitutes a 6.6 in keeping with cent percentage of the United Kingdom’s textile imports.

While america and EU stay dominant markets with a 61 in keeping with cent percentage in 2024, the United Kingdom’s percentage is predicted to upward push to 11-12 in keeping with cent by way of 2027, reflecting an 11 in keeping with cent compound annual price of expansion (CAGR). The bilateral industry deal, finalised on May 6, after 3 years of negotiations, will supply concessional or zero-duty get entry to on choose items, boosting industry volumes and income.

India’s Textile and Apparel (T&A) exports have persevered their upward trajectory, recording a expansion of 7.45 in keeping with cent in April 2025 in comparison to the similar month of the former 12 months. This certain pattern was once basically pushed by way of the robust efficiency of the attire section, which registered a powerful 14.43 in keeping with cent expansion year-on-year, an research of the knowledge launched by way of the Ministry of Commerce confirmed.

“The current growth of 14.43 per cent in apparel exports seems to be mainly driven by increased shipments to the United States, following the announcement of reciprocal tariff measures by the US administration,” Confederation of Indian Textile Industry (CITI) chairman Rakesh Mehra stated.