Higher wages and savings accumulated during the pandemic may help sustain U.S. consumer spending for several months, says a report from the US. However, if prices for necessities like food and energy continue to rise, consumers may pull back on more discretionary purchases, including clothing. U.S. apparel import volumes have been strong in recent months, and a downturn in consumer demand could imply a buildup of inventory among clothing retailers. One major U.S. retailer has already warned that a reduction in consumer demand pushed inventories up much faster than projected. The struggle to refill pipelines after COVID and with the shipping crisis may have led retailers to overcompensate in order volume. If inventories build in the U.S. and other locations struggling with inflation, retailers could pursue strategies in the other direction, and orders could slow throughout supply chains.
Apparel imports of the United States from India stood at $625.830 million in March 2022 while the US’total apparel import from all over the world amounts to $9.320 billion. India’s monthly apparel supplies to the US soared by 44% in March 2022 from October 2021. Total apparel imports of the US rose by mere 11.21 percent in the same period.
The market value of textile and apparel across India in the financial year 2021 was 80 billion U.S. dollars and this value was estimated to reach 190 billion U.S. dollars by 2026.India’s garment export stands at US$ 16 billion, contributing 36% of the country’s total annual exports. The textile industry employs 40 million workers. The garment industry will be worth US$209 billion by 2020.
