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Building India’s Next Apparel Export Growth Story

Vijay Jindal, President, GEMA

GEMA outlines a roadmap centred on competitiveness, technology, policy support and market diversification as India eyes the USD 100 billion export milestone.

India’s apparel export industry stands at a defining moment. Rising production costs, labour shortages, geopolitical uncertainties and shifting global sourcing strategies have created new pressures for manufacturers. Yet, for the Garment Exporters and Manufacturers Association (GEMA), these challenges are not barriers—they are catalysts for transformation.

“We have every reason to be optimistic,” says GEMA President Vijay Jindal, pointing to India’s deep manufacturing capabilities, integrated textile value chain and growing reputation as a dependable sourcing destination. “As global brands look beyond traditional manufacturing hubs, India has a unique opportunity to strengthen its position in global supply chains, he added.

For GEMA, the next three years will be driven by one clear objective: making Indian apparel manufacturers more competitive, particularly the country’s MSMEs, which continue to form the backbone of the export ecosystem.

The association is focusing on tackling labour shortages, improving workforce skills, promoting technology adoption, supporting sustainable manufacturing and advocating policy reforms that simplify business operations. “Productivity, efficiency and innovation will increasingly define export success,” averred Jindal.

Supporting MSMEs remains central to this agenda. Through regular engagement with central and state governments, GEMA works to ensure that smaller exporters have access to policy information, government schemes and international business opportunities. Awareness programmes on sustainability, compliance requirements and export regulations are helping these businesses prepare for rapidly evolving global market expectations.

He strongly feels that diversification has become more important than ever. While traditional destinations continue to remain important, GEMA believes future growth will come from emerging markets across the Middle East, Africa, Australia and Latin America. “The association is actively encouraging exporters to expand their geographical footprint through trade fairs, buyer-seller meetings and international business delegations,” he mentioned.

The Road to USD 100 Billion

India’s aspiration to become a USD 100 billion apparel export powerhouse is ambitious—but achievable, according to President GEMA.

The association identifies three priorities that will determine whether this vision becomes reality.

The first is improving cost competitiveness through better logistics, higher labour productivity and simpler regulatory processes.

The second is accelerating investments in automation, advanced technology, skill development and sustainable manufacturing practices. “Future buyers will increasingly reward manufacturers who combine efficiency with environmental and social compliance,” he cautioned.

The third is stronger collaboration between government, industry and international brands. Stable policies and long-term sourcing commitments can encourage manufacturers to invest confidently in expansion and capacity building.

According to President, Free Trade Agreements have become increasingly important in determining global competitiveness. “The agreements with the UAE and Australia have already begun improving market access for Indian exporters. Similar expectations surround the proposed India-UK trade agreement, which could significantly strengthen India’s position in one of the world’s major apparel markets.”

Among the government’s major initiatives, PM MITRA Parks stand out as one of the most significant opportunities for the apparel sector. For GEMA, their success could dramatically improve India’s manufacturing competitiveness while generating large-scale employment across the textile value chain.

The industry continues to face significant headwinds.

Wars, tariffs and supply chain disruptions have affected consumer demand and freight costs worldwide. Yet exporters have responded by investing in automation, improving worker engagement, developing higher-value products and expanding into newer markets. According to him, adaptability has become one of the industry’s greatest strengths.

According to Chairman India’s apparel industry continues to face several structural challenges that are limiting its growth. Despite the country’s significant manufacturing capabilities, apparel exports have remained stagnant at around USD 15 billion for many years. The export landscape is also highly concentrated, with nearly 60% of apparel exports being accounted for by just 5% of the established export houses, leaving limited opportunities for broader industry participation.

Another growing concern is that the next generation of entrepreneurs is increasingly reluctant to enter the apparel business due to low profitability and operational challenges. The business is thus not carried over to next generation as this poses a big danger to the future of the apparel export industry from India.

He also highlighted that MSMEs, which form the backbone of the sector, continue to face difficulties in accessing timely and affordable credit, as loans often require collateral and involve lengthy approval processes. Furthermore, he feels that that genuine ease of doing business is still lacking, with cumbersome procedures and regulatory bottlenecks continuing to hinder growth and competitiveness.

As global supply chains continue to evolve, GEMA sees India standing before one of its biggest opportunities in decades. The challenge now is not whether the country has the potential—it is whether industry and government can move together quickly enough to realise it.

India’s apparel export industry stands at a defining moment. Rising production costs, labour shortages, geopolitical uncertainties and shifting global sourcing strategies have created new pressures for manufacturers. Yet, for the Garment Exporters and Manufacturers Association (GEMA), these challenges are not barriers—they are catalysts for transformation.

“We have every reason to be optimistic,” says GEMA President Vijay Jindal, pointing to India’s deep manufacturing capabilities, integrated textile value chain and growing reputation as a dependable sourcing destination. “As global brands look beyond traditional manufacturing hubs, India has a unique opportunity to strengthen its position in global supply chains, he added.

For GEMA, the next three years will be driven by one clear objective: making Indian apparel manufacturers more competitive, particularly the country’s MSMEs, which continue to form the backbone of the export ecosystem.

The association is focusing on tackling labour shortages, improving workforce skills, promoting technology adoption, supporting sustainable manufacturing and advocating policy reforms that simplify business operations. “Productivity, efficiency and innovation will increasingly define export success,” averred Jindal.

Supporting MSMEs remains central to this agenda. Through regular engagement with central and state governments, GEMA works to ensure that smaller exporters have access to policy information, government schemes and international business opportunities. Awareness programmes on sustainability, compliance requirements and export regulations are helping these businesses prepare for rapidly evolving global market expectations.

He strongly feels that diversification has become more important than ever. While traditional destinations continue to remain important, GEMA believes future growth will come from emerging markets across the Middle East, Africa, Australia and Latin America. “The association is actively encouraging exporters to expand their geographical footprint through trade fairs, buyer-seller meetings and international business delegations,” he mentioned.

The Road to USD 100 Billion

India’s aspiration to become a USD 100 billion apparel export powerhouse is ambitious—but achievable, according to President GEMA.

The association identifies three priorities that will determine whether this vision becomes reality.

The first is improving cost competitiveness through better logistics, higher labour productivity and simpler regulatory processes.

The second is accelerating investments in automation, advanced technology, skill development and sustainable manufacturing practices. “Future buyers will increasingly reward manufacturers who combine efficiency with environmental and social compliance,” he cautioned.

The third is stronger collaboration between government, industry and international brands. Stable policies and long-term sourcing commitments can encourage manufacturers to invest confidently in expansion and capacity building.

According to President,

Free Trade Agreements have become increasingly important in determining global competitiveness. The agreements with the UAE and Australia have already begun improving market access for Indian exporters. Similar expectations surround the proposed India-UK trade agreement, which could significantly strengthen India’s position in one of the world’s major apparel markets.”

Among the government’s major initiatives, PM MITRA Parks stand out as one of the most significant opportunities for the apparel sector. For GEMA, their success could dramatically improve India’s manufacturing competitiveness while generating large-scale employment across the textile value chain.

The industry continues to face significant headwinds.

Wars, tariffs and supply chain disruptions have affected consumer demand and freight costs worldwide. Yet exporters have responded by investing in automation, improving worker engagement, developing higher-value products and expanding into newer markets. According to him, adaptability has become one of the industry’s greatest strengths.

According to Chairman India’s apparel industry continues to face several structural challenges that are limiting its growth. Despite the country’s significant manufacturing capabilities, apparel exports have remained stagnant at around USD 15 billion for many years. The export landscape is also highly concentrated, with nearly 60% of apparel exports being accounted for by just 5% of the established export houses, leaving limited opportunities for broader industry participation.

Another growing concern is that the next generation of entrepreneurs is increasingly reluctant to enter the apparel business due to low profitability and operational challenges. The business is thus not carried over to next generation as this poses a big danger to the future of the apparel export industry from India.

He also highlighted that MSMEs, which form the backbone of the sector, continue to face difficulties in accessing timely and affordable credit, as loans often require collateral and involve lengthy approval processes. Furthermore, he feels that that genuine ease of doing business is still lacking, with cumbersome procedures and regulatory bottlenecks continuing to hinder growth and competitiveness.

As global supply chains continue to evolve, GEMA sees India standing before one of its biggest opportunities in decades. The challenge now is not whether the country has the potential—it is whether industry and government can move together quickly enough to realise it.

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