Clothing Manufacturers Association of India (CMAI) expects to achieve exports target of 18 billion US Dollar for financial year 2015-16 from 16.8 billion US Dollar in previous year.
“We are hopeful of achieving exports target of 18 billion US Dollar in financial year (FY) `16 due to an improving US economy. In view of the infrastructure issues and rising labour costs in our competitive countries such as Bangladesh and China, the growth in the export sector looks brighter for India. Our garment exports increased by 12.2 per cent to 16.8 billion US Dollar in FY15,” CMAI president, Rahul Mehta said in Mumbai.
In rupee terms, the export was Rs 1.03 lakh crore in FY15 as against Rs 90,790 crore in the previous year. The early signing of Free Trade Agreement (FTA) with European Union will help the country’s garment exports to double in European countries. The country will also become more competitive than Pakistan and Bangladesh, Mehta said.
The economic growth and good monsoon ahead is also expected to boost domestic garments industry. The country has witnessed 7 to 8 per cent growth in 2013 and 12 per cent in 2014. After sluggish trend till April the industry started showing signs of pick up from May this year, he said.
The total size of Indian apparel industry is estimated to be around Rs 1, 50,000 crore and is likely to double within next five years. While domestic market includes Rs 40,000 crore, organised retail sector and unorganised sector record worth Rs 1, 10,000 crore.
To boost business growth prospects, CMAI is organising India’s largest ever apparel trade show – the 61st National Garment Fair from June 29 to July 1 in Mumbai. The B2B fair will have more than 700 stalls displaying over 780 brands. Nearly 40,000 retailers from all over the country are expected to visit this three-day event.
