India-UK FTA will help eliminate the existing duty handicap, which had hindered Indian textile and apparel exporters from increasing their market share in the UK, opines Rakesh Mehra, Chairman, Confederation of Indian Textile Industry (CITI).
With the new India-UK FTA, Indian textile and apparel goods will now benefit from zero duty access to the UK market, he adds. The agreement has the potential to significantly transform the fortunes of the entire Indian textile sector and provide the kind of impetus which is necessary to help India realize its ambitious goal of achieving textile and apparel exports of $100 billion by 2030, he opines.
Highlighting the good complementarities offered by trade with the UK, especially as India emerges as a potential supplier of raw materials like MMF (man-made fiber) filament and specialized non-woven fabrics, this FTA will allow Indian exporters to enjoy a more level-playing field vis-à-vis their peers from other countries when it comes to the UK market, Mehra says.
Currently, India is the fourth-largest supplier of textile and apparel products to the United Kingdom, holding approximately a 6.6 per cent share of the UK’s total T&A imports. In 2024, the UK imported T&A products valued at around $27 billion, with apparel and made-up goods accounting for 83 per cent of this total. China was the leading supplier to the UK with about a 25 per cent share, followed by Bangladesh (15 per cent) and Türkiye (8.5 per cent). An analysis of the UK's top 20 imported textile and apparel commodities (at the HS 6-digit level) reveals Bangladesh leading with a 23 per cent share, followed by China (22.6 per cent), Türkiye (10 per cent), and India (4 per cent).
CITI is actively working with the industry and local authorities to ensure Indian companies can fully leverage the opportunities presented by the India-UK FTA. The organization aims to raise the business competitiveness of local textile and apparel units, Mehra emphasizes,