The Indian textiles and clothing industry is the second-largest producer & consumer of cotton globally and the second-largest employer after agriculture, with nearly 80 per cent of its installed capacity concentrated in the MSME sector. India is also the world’s sixth-largest textile and apparel market. The sector’s growth trajectory has been further strengthened by the recently concluded India–UK Free Trade Agreement, which is expected to enhance market access and competitiveness for Indian textile products.
To drive sustained growth, the Government has initiated several supportive policy measures aimed at addressing long-standing structural challenges across various segments of the textile value chain. These include the constitution of a Cost-Control Committee and a Cotton Think Tank with representation from all major stakeholders, as well as the launch of a Mission for Cotton Productivity to deliberate on issues relating to cotton productivity, quality enhancement, contamination control and long-term sustainability.
Achieving the targeted business size of USD 350 billion by 2030 necessitated parallel and sustained efforts to ensure the adequate availability of quality raw materials, while simultaneously expanding India’s global market footprint through diversified export destinations and a sharper focus on value-added products.
Durai Palanisamy Chairman, SIMA
In a press release issued here today, Mr. Durai Palanisamy, Chairman, The Southern India Mills’ Association (SIMA) has profoundly thanked and complimented the Hon’ble Prime Minister, Shri Narendra Modi, Hon’ble Commerce & Industry Minister, Shri Piyush Goel and Hon’ble Minister of Textiles, Shri Giriraj Singh for the landmark and pathbreaking achievement of successful conclusion of the India–New Zealand Free Trade Agreement (FTA). He thanked the Government for giving a major thrust to the textile sector and securing zero-duty access. India’s textile and apparel exports stood at USD 36.9 billion in 2024-25, while exports to New Zealand rose to USD 103 million. This trend is expected to accelerate, given that New Zealand’s annual global textile imports are valued at nearly USD 1.9 billion says SIMA Chief.
Mr. Durai has welcomed the successful conclusion of the India–New Zealand Free Trade Agreement (FTA) by the Government of India, describing it as a timely and positive step that would significantly enhance opportunities for the Indian textile and apparel industry. He stated that the FTA is expected to provide improved duty free market access for Indian textiles and clothing in New Zealand, thereby enhancing the competitiveness of Indian products not only in the market of the partnering country, but the agreement is also expected to facilitate diversification of export destinations at a time when the global textile trade is witnessing volatility and demand uncertainties.
SIMA chairman stated that New Zealand being an important developed market with high standards and stable demand, the FTA would enable Indian manufacturers to strengthen their presence in value-added segments such as fabrics, garments and made-ups/home textiles.
SIMA chief appreciably expressed that the agreement would contribute to employment generation, capacity utilization and sustained growth of the textile sector, enabling the textile industry to fully leverage the opportunities arising from this landmark agreement.
Coimbatore
