India readymade garment exports reach over $6 . 4 billion in April - August

In August 2024, India s ready-made garment (RMG) exports experienced a growth of 11.9% compared to the same period in the previous year, reaching a cumulative value of $6.395 billion for April-August. Despite global challenges such as the red sea crisis, logistic costs, and inflation, the apparel exports maintained a positive growth momentum. The Apparel Export Promotion Council (AEPC) Chairman, Sudhir Sekhri, highlighted the industry s resilience, with an average growth of 7.12% in the last five months. Sekhri emphasized the importance of product quality, environmental, and social compliance to propel India into a major global player in garment exports. RMG exports to countries like Japan, Korea, Australia, Mauritius, and Norway have seen significant growth in the first quarter of the fiscal year, with increases of 7.7%, 16.8%, 12.5%, 6.6%, and 17.3%, respectively. To further promote growth, the AEPC has urged the government to provide flexibility in fabric import, extend the Production-Linked Incentive (PLI) 2.0 for capacity augmentation, and offer an extended interest equalization scheme with a 5% increased rate for all exporters. Additionally, the Council has proposed the Urban Area Employment Encouragement Scheme and incentives for Environmental, Social, and Governance (ESG) compliance. The AEPC stressed the need for government support to leverage India s demographic dividend and meet the global demand for alternative sourcing options due to changing geopolitical considerations. Overall, India s RMG exports have demonstrated a strong and positive trend, showcasing the country s potential to become a major player in the global garment export market. The AEPC s recommendations aim to provide the necessary support and incentives to further boost the industry s growth and competitiveness.

Source: newkerala.com
Published on 2024-09-20