The Indian textile and clothing sector likely to see slow growth in exports this year, especially sectors such as cotton yarn due to decline in demand from China, according to industry sources. Last financial year it had registered 41 billion dollars worth exports.
The sources said that China was one of the major markets for cotton and yarn exports from India. Though textile mills were now exporting to countries such as Bangladesh, Vietnam and Cambodia, the demand from China was huge.
This year, the industry expects export demand to be good for segments such as garments and home textile. However, the demand for yarn should increase in the overseas market if not the export growth might be flat this year for the entire sector, the sources said.
As in some countries, the average import duty on these products is high the Indian textile and clothing industry is looking for support to upgrade its technology to improve its efficiency and competitiveness. India’s nearly 35 percent of annual textile and clothing production is exported.
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