The industry body urges the Centre to take concrete measures in the form of fiscal support and policy decisions related to raw material availability
The Confederation of Indian Textile Industry (CITI) is looking forward to immediate upfront support coming in from the government to address the challenge posed to India’s textile and apparel exporters through the 50 per cent United States (US) tariff on Indian goods, effective 27 August.
“The government has been discussing with industry on how it can come to our aid during this critical juncture. But given the gravity of the situation, it is our expectation that concrete measures in the form of fiscal support and policy decisions related to raw material availability would be taken immediately,” highlighted Rakesh Mehra, Chairman, Citi.
Mehra added that jobs in the textile and apparel sector and the chances of achieving the national target of textile and apparel exports worth USD 100 billion by 2030 are at risk due to this development. The chairman noted that Indian textile companies are already engaged in diversification efforts to reduce their dependence on the US market.
“The industry is doing all it can to mitigate the impact of the high US tariff, but then again, developing new markets and new clients takes time and cannot be done overnight. The importance of the US for our textile and apparel exporters can never be undermined,” Mehra pointed out.
The official statement added that the US is the single-largest market for India’s textile and apparel items. Almost 28 per cent of India’s textile and apparel exports go to the United States. India’s exports of textile and apparel products to the US in the financial year 2024-25 were close to USD 11 billion. Citi said that in July, India signed the Comprehensive Economic and Trade Agreement (Ceta) with the United Kingdom (UK), which would ensure that India’s textile and apparel exports will no longer face a duty disadvantage in the UK market
