Latest CITI analysis reveals India's textile and apparel sector clocked in robust export growth in December 2024. Both textiles and apparel registered double-digit growth compared to the same period last year, signalling a positive trend for the industry.

December textile exports on the upswing

Textile exports in December 2024 were 12.76 per cent higher than in December 2023, reaching $1,798.49 million. This strong performance was driven by notable growth in several categories, including jute manufacturing (51.58 per cent), handicrafts (14.90 per cent), and cotton yarn/fabs (11.98 per cent). While cumulative textile exports for the period April-December 2024 showed a more moderate increase of 4.87 per cent, this still indicates a positive overall trajectory for the sector

Table: Textile exports

December apparel exports on the rise

Apparel exports also performed well, with a 12.89 per cent year-on-year increase in December 2024, reaching $1,462.26 million. This positive momentum contributed to a significant 11.58 per cent rise in cumulative apparel exports for the April-December 2024 period.

Table: Apparel exports

Overall, the combined exports of textiles and apparel reached $3,260.75 million in December 2024, a 12.82 per cent increase compared to December 2023. As for cumulative performance from April to December 2024, the total value of textile and apparel exports grew by 7.63 per cent year-on-year. The share of textiles and apparel in India's total exports rose from 7.53 per cent in December 2023 to 8.58 per cent in December 2024, highlighting the growing importance of this sector to the Indian economy.

Quarterly growth momentum continues

In fact, India's textile and apparel sector continued its positive growth path in the last quarter of 2024, reveals the updated CITI analysis from October and November. Both textiles and apparel have shown consistent growth compared to the same period last year, reinforcing the sector's strong position in the Indian economy.

Table: Quarterly textile exports

Textile exports showed consistent growth over the three months leading to December 2024. October and November saw increases of 15.91 per cent and 11.56 per cent respectively compared to the same months in 2023. This culminated in a 12.76 per cent year-on-year rise in December, reaching $1,798.49 million. All key categories within textiles contributed to this growth, highlighting the broad-based strength of the sector.

Table: Quarterly apparel exports

Apparel exports too followed a similar trend, with October and November registering strong growth of 14.65 per cent and 13.66 per cent respectively compared to the previous year. December saw a further acceleration, with a 12.89 per cent year-on-year increase, reaching $1,462.26 million.

Overall the combined exports of textiles and apparel showed consistent growth throughout the October-December 2024 period. This sustained momentum underscores the sector's resilience and positive outlook. From April to December 2024, the total value of textile and apparel exports grew by 7.63 per cent year-on-year, driven by the strong performance in the last quarter. The share of textiles and apparel in India's total exports rose from 7.53 per cent in December 2023 to 8.58 per cent in December 2024, further solidifying its contribution to the Indian economy.

Despite the positive growth, the industry faces challenges such as rising raw material costs and increasing competition in the global market. However, the strong performance in December 2024 indicates resilience and potential for continued growth in the textile and apparel sector. The government's support through initiatives such as production-linked incentives (PLIs) is expected to further boost the industry's competitiveness and contribute to its expansion in the coming years.