The global denim fabric market witnessed a market size of $18.1 billion in 2020 and is expected to reach $27.9 billion by 2030, growing at a CAGR of 4.4% during the forecast period of 2021 to 2030, as per the report published by Allied Market Research.
The rise in demand for affordable denim fabrics and the emergence of new socio-economic trends are the major factors driving market growth. However, the market growth is being restricted by the volatility in cotton prices and environmental concerns related to the use of synthetic dyes.
The COVID-19 pandemic had a significant impact on the global denim fabric market. The temporary closure of fabric production facilities due to the global lockdown disrupted the supply chain, leading to a rise in prices of raw materials, especially cotton and cotton yarn. This factor decreased the production of denim fabric, particularly in the initial phase. The fall in income levels of customers resulted in reduced demand for premium denim products.
Based on raw material, cotton held the highest market share in 2020, accounting for 92% of the total market share, and is expected to continue its leadership status during the forecast period. However, the cotton segment is also estimated to register the highest CAGR of 4.5% from 2021 to 2030.
Based on fabric type, the raw segment held the largest market share in 2020, accounting for almost one-third of the total market share, and is expected to continue its dominance during the forecast period. However, the stretch segment is projected to register the highest CAGR of 5.2% from 2021 to 2030.
Region-wise, APAC contributed the highest share in terms of revenue in 2020, accounting for almost four-fifths of the total market share, and is projected to maintain its dominant share by 2030. The same region is also expected to manifest the fastest CAGR of 4.6% during the forecast period. Other regions analyzed in the report include America, Europe, and MEA. The emergence of biodegradable denim fabric presents new opportunities for the denim fabric market in the upcoming years.