India's exports of readymade garments jumped 33 per cent from 2013-14 to 2014-15.The expectation is that the stupendous uptrend will continue for the next three years
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In the new trade policy, the government has provided export incentives to the tune of five to six per cent to garment exporters. With the government’s focus on the Make in India theme, there is an increasing focus on facilitating exports of garments. Textile companies are finding it relevant and profitable to export garments rather than raw materials.

Demand revival in the US and European Union emerging from economic activities picking up in these markets has boosted garment export during the year. The US and the European Union account for the bulk of apparel exports from India.

Lastly, there is a shift in demand for garments from China to India. The rise in labor and power costs has made production in China expensive compared to India.

The strong performance by India this year was also a reflection of a progressive decline in Chinese exports to major markets such as the US, currency appreciation in Indonesia, labor unrest in Asian competitor Cambodia and safety concerns after a major factory fire in Bangladesh last year.

In contrast to the growth in readymade garment exports, cotton yarn export has been tepid. Export of cotton yarn declined 29 per cent in 2014-15 as China reduced its buying from India.