Following the devastating effects of COVID-19, India’s textile sector is on the mend. After peaking at $106 billion in FY2020, the domestic textiles and apparels business plummeted to $75 billion during the pandemic.
Government measures, on the other hand, have prompted optimism that the industry would rise to $300 billion by 2025-26, a 300 percent increase in the following two years.
In technical textiles, there has been a dramatic reversal. In terms of value, technical textiles imports were Rs 1,058 crore more than exports in FY20, while exports were Rs 2,998 crore higher in FY21.
These are some of the key conclusions of Infomerics Valuation and Rating Pvt Ltd.’s ‘Textile Industry: Trends and Prospects,’ a SEBI-registered and RBI-accredited financial services credit rating organisation.
According to a research by ratings agency Infomerics Valuation and Rating, government attempts to boost the industry have boosted prospects of the sector increasing to $300 billion by 2025-26, a 300 percent increase in the following two years.
The comback in technical textiles: In FY20, India was a net importer of technical textiles in terms of value (imports surpassed exports by Rs 1,058 crore), but in FY21, it became a net exporter (exports exceeded imports by Rs 2,998 crore).
“In January 2019, 207 HSN Codes were categorised and reported as technical textiles with the goal of making conducting business easier,” according to the report.
According to the analysis, the Indian technical textiles market might grow at a CAGR of 7.6% in Asia-Pacific, reaching $23.3 billion in 2027, up from $14 billion in 2020. Currently, India’s technical textiles account for around 8% of the worldwide market.
The government has set a goal to expand technical textile exports fivefold in three years, from around $2 billion to $10 billion.
