The United States is the number one importer of Indian textile products. The European Union ranks second. While the US has a 17 per cent share of India’s total textile imports, the EU has a 15 per cent share. Global textile and apparel hubs like Bangladesh and China are also in the top five list.
The US, the EU and Bangladesh jointly have a share of 42 per cent in India’s total textile exports. Sri Lanka, Brazil, and South Korea figure among the top 10 textile importers from India.
India’s textile products face an average tariff of 5.9 per cent and 6.2 per cent in the US and the EU respectively. Bangladesh and Pakistan have nil tariffs on exports to the EU. When it comes to the US, Bangladesh has to pay 3.9 per cent tariff and Pakistan pays 5.3 per cent tariff.
Interestingly, 38 per cent of India’s exports of textile are to the rest of the world, which are not majorly known for their textile or apparel markets. India is the second largest textile exporter in the world. Cotton yarn and fabric account for over 23 per cent of India’s total textile and apparel exports.