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Textile firms raise investment bets, but export ambition faces a reality check: Wazir Advisors

India’s textile and apparel industry is entering a period of confidence even as the arithmetic behind its most ambitious export target becomes more demanding. The latest Indian Textile & Apparel Industry Sentiment Barometer by Wazir Advisors shows that industry sentiment remains positive over the medium term, with companies positioning themselves for changes in global sourcing rather than merely waiting for a cyclical recovery in demand.

As per the survey 92 per cent are optimistic about the sector’s three-to-four-year outlook. Interestingly, yarn and apparel manufacturers are among the most confident, highlighting that supply-chain diversification, shifting sourcing strategies and improved market access will create sustained opportunities for Indian producers. Yet this optimism also has a down side as only 42 per cent believe India can achieve the government’s $100-billion textile and apparel export target by FY31.

The contrast is important. The industry appears convinced about its long-term competitive opportunity, but less certain that capacity, infrastructure, policy execution and ecosystem development can scale quickly enough to convert that opportunity into exports.

The $100 bn arithmetic

India’s textile and apparel exports stood at $36.1 billion in FY26, according to the Wazir assessment. Reaching $100 billion by FY31 would therefore require exports to grow at roughly 23 per cent annually.

Table: High long-term optimism, cautious export expectations

Indicators

Survey findings (%)

Industry Outlook (3–4 Years)

92% optimistic

FTA Impact

94% view FTAs positively

Policy Environment Support

80% say current policies support growth

Investment Expansion (12–18 Months)

77% plan to increase investment

$100-bn FY31 Export Target

42% view target as achievable

A 23 per cent CAGR is substantially higher than what incremental capacity increase alone can deliver. It would require India to simultaneously improve manufacturing scale, logistics, product diversification, productivity and access to major consumer markets. This explains why industry sentiment and export-target confidence are different. Companies may believe the global sourcing opportunity is real without believing that India's current industrial structure is fully equipped to capture it at the required speed.

FTAs change the investment equation

The strongest positive in the survey is the industry's assessment of free trade agreements. Almost 94 per cent view FTAs positively, suggesting that trade policy is influencing corporate investment decisions. The India-UK CETA, which came into effect in July 2026, is particularly significant because it improves the market-access equation for Indian textile and apparel exporters. The expected India-EU FTA, targeted to come into force by early 2027, could be even more consequential given the size and purchasing power of the European market.

The importance of these agreements extends beyond tariff reduction. For manufacturers, predictable preferential access can change the economics of capacity creation, product development and long-term customer commitments. Wazir’s findings indicate that investment intent is being aligned with anticipated FTA-driven opportunities rather than simply with present domestic or export demand. That marks a shift in corporate thinking. Companies are effectively investing ahead of demand because market-access conditions are expected to improve.

Investment moves ahead

The survey's 77 per cent investment-intent figure gives perhaps the clearest evidence that the industry's optimism is translating into business decisions. Nearly four out of five respondents plan to increase investment over the next 12-18 months, with home textiles emerging as the leading investment segment. This is significant because home textiles can benefit from both India's manufacturing capabilities and diversification away from concentrated sourcing bases. Apparel manufacturers are also optimistic, particularly as international buyers reassess sourcing geographies.

The policy environment is reinforcing this sentiment. Almost 80 per cent respondents believe current policies support industry growth, with home textiles and apparel manufacturers among the most optimistic. Schemes such as the Production Linked Incentive (PLI) scheme and PM MITRA textile parks are being viewed alongside improved global market access as components of a broader manufacturing ecosystem.

The challenge is to ensure that announced investment becomes productive capacity rather than merely incremental capacity. India needs stronger textile clusters, integrated supply chains, reliable logistics, faster customs processes, skilled labour and deeper capabilities in man-made fibres and value-added products if investments are to translate into export competitiveness.

Sustainability becomes the next test

The industry's weak confidence on sustainability readiness is the most notable counterpoint to the otherwise positive sentiment. European regulatory requirements are moving from voluntary sustainability positioning towards increasingly enforceable market-access conditions. The European Union's Ecodesign for Sustainable Products Regulation and Digital Product Passport framework are expected to become increasingly important during 2027-28.

For Indian exporters, this means competition will depend not only on price, quality and delivery but also on traceability, material disclosure, product-level data and environmental compliance. This could become a bottleneck precisely when India's export opportunity is growing. Small manufacturers, which form a substantial part of the textile system, may face higher relative costs in building digital traceability and compliance systems.

Optimism needs execution

The Wazir survey therefore gives a clear industry-confidence story. India's textile sector appears quite convinced that global sourcing is undergoing realignment in its favour. FTAs, diversification by international buyers and government-backed manufacturing initiatives are strengthening the opportunity.

But opportunity and export growth are not synonymous. The $100-billion target requires India to sustain export growth of about 23 per cent a year from a $36.1-billion FY26 base. That makes infrastructure, scale, productivity and ecosystem depth as important as tariff access.

The industry's 92 per cent optimism suggests that businesses believe the opportunity exists. The fact that only 42 per cent believe the export target is achievable suggests they are less convinced about the country's ability to execute at the necessary speed.

For policymakers, that gap is the central message from the sentiment barometer. The next phase of India's textile strategy cannot rely only on incentives or trade agreements. It must convert market access into globally competitive manufacturing capacity while ensuring that sustainability compliance does not become the next barrier to exports.

Textile firms raise investment bets, but export ambition faces a reality check: Wazir Advisors

Bhilwara women strengthen textile industry with rising workforce

Bhilwara, known as Vastranagari, is witnessing a remarkable shift as women step into the textile industry in large numbers. Once a male-dominated sector, the city’s textile industry now employs around 10,000 women, strengthening both their families finances and their independence.

With over 1,000 industrial units in Bhilwara, women are proving their dedication and resilience. Rising inflation has made dual incomes essential, and women are actively contributing. According to Bhilwara Textile Trade Federation President Prem Swaroop Garg, out of 80,000 workers, 10,000 are women, with an 80 per cent female workforce in the garment industry.

Industry leaders like Sanjay Tripathi acknowledge this transformation, emphasizing women's hard work and commitment. Inspirational figures like Radha Kanwar, who supports her daughters after losing her husband, and Manju Kanwar Rathore, breaking societal norms, highlight this change. Their stories prove that when determined, women can overcome any challenge.

Bhilwara’s women are not just earning livelihoods, they are reshaping societal perceptions, proving that they can stand shoulder to shoulder with men in every field.

Bhilwara women strengthen textile industry with rising workforce

Ramraj Cotton taps Meenakshi Chaudhary as new brand ambassador for Mrithu Towels

Ramraj Cotton has tapped actress Meenakshi Chaudhary as the new brand ambassador for their newly launched premium towel line, Mrithu Towels. This move marks Ramraj Cotton's entry into the high-end home textile market, combining luxury, comfort, and sustainability through a range of products made from 100 per cent cotton and bamboo fibers.

The Mrithu Towels collection features four thoughtfully designed categories, catering to the changing lifestyles of today's consumers. This strategic partnership also marks a new chapter for Ramraj Cotton, as Meenakshi Chaudhary becomes the first-ever female face of the long-standing brand, bringing a graceful, contemporary charm to its timeless identity.

A comprehensive marketing campaign featuring Meenakshi Chaudhary will soon roll out across television, digital platforms, print, and retail locations, highlighting the brand’s core values of quality, comfort, and cultural pride.

BR Arun Eashwar, Managing Director, Ramraj Cotton, says, the launch of Mrithu Towels demonstrates Ramraj Cotton’s unwavering commitment to delivering exceptional quality, innovative designs, and sustainable options for our customers.

The Mrithu Towels range offers four distinct collections including Signature Collection which is inspired by Italian and German aesthetics and features 32 premium cotton weave patterns known for high absorbency, vibrant color retention, and minimal shrinkage.

The Bamboo Towels range is made entirely from 100 per cent bamboo pulp and provides a silky-soft touch, superior water absorption, and quick-drying properties. A plush blend of cotton and bamboo, the Terry Towels range is available in bath, hand, washcloth, face, and junior towel sizes. The last Striped & Checked Towels range is durable and offers colorfastness, and consistent softness.

Ramraj Cotton taps Meenakshi Chaudhary as new brand ambassador  for Mrithu Towels

India Handloom Brand promotes quality, authenticity and sustainability in weaving sector

The India Handloom Brand (IHB) was launched on August 7, 2015, by Prime Minister Narendra Modi during the celebration of the first National Handloom Day. This initiative was designed to create a unique identity for hand-woven textiles and promote their value in both domestic and international markets. The brand ensures high-quality standards, discourages the use of child labour, and complies with environmental norms to build customer trust. With a focus on promoting ‘zero defect and zero effect’ products, IHB aims to empower the handloom sector and benefit both producers and consumers.

Digital certification and traceable labels

The Textiles Committee (TC) has been entrusted with implementing the IHB by handling registrations, certifications, and sample testing for conformity assessment. A fully digital platform through the dedicated website www.indiahandloombrand.gov.in enables applicants to register and receive certification seamlessly.

To enhance traceability and authenticity, IHB products carry a specially designed label that includes a logo and a QR code. This QR code features a unique 13-digit code that reflects specific aspects of registration, allowing registered users to easily verify and market their certified products. This traceable labeling system helps consumers confidently identify genuine handloom items, safeguarding the traditional textile industry from imitation and ensuring transparency across the supply chain.

Boosting consumer confidence and weaver welfare

The India Handloom Brand offers a wide array of benefits to stakeholders across the value chain. Products registered under IHB are distinguished by superior quality, eco-friendliness, and adherence to social accountability standards. They are produced using azo-free dyes, ensuring consumer safety and environmental protection. Consumers purchasing IHB-labelled products are assured of authenticity and high quality.

The scheme includes products covered under the Handloom Reservation Act, those registered under the Geographical Indications (GI) Act of 1999, and other handloom goods approved by the certification committee. IHB also aims to boost the demand for traditional handloom products among the youth and tap into export markets with high growth potential. By doing so, it increases weavers' earnings and encourages the continuation of age-old weaving traditions using high-quality yarns and non-toxic dyes.

Expanding market access and visibility

The India Handloom Brand opens new opportunities for bulk buyers and exporters to procure high-quality, certified handloom fabrics tailored to specific designs. Weavers benefit by gaining access to orders at better prices, thus enhancing their livelihoods. The government’s active promotion of the IHB label further supports both manufacturers and consumers by expanding awareness and generating demand for genuine handloom products.

The brand acts as a hallmark of excellence, offering sustainable and ethical textile choices for customers while ensuring that the artisans behind these creations receive the recognition and compensation they deserve. Consumers are encouraged to look for the IHB label while purchasing handloom products, ensuring their support for traditional craftsmanship and ethical production.

Handloom

Ramraj Cotton redefines festive wear with new Ugadi collection

India's leading traditional and ethnic wear brand, Ramraj Cotton has launched a special festive collection for Ugadi, featuring three distinct dhoti and shirt sets: Sankalpam Grand, Swayamvara, and the Culture Club Fusion Set. These meticulously crafted ensembles blend traditional elegance with contemporary sophistication, making them ideal for the festive season.

The Sankalpam Grand collection showcases luxurious Jacquard weaving with detailed patterns, providing a regal aesthetic. It has a shiny tissue finish and metallic jari thread that create a shimmering, attention-grabbing effect, perfect for special occasions. Made from lightweight, breathable fabric, the collection ensures comfort throughout the day and is available in elegant shades of gold, copper, green, and orange.

Exclusively designed for grooms, the Swayamvara Collection features premium art silk fabric with a smooth, lustrous finish for a rich and elegant look. Available in vibrant colors, it offers lightweight comfort, making it perfect for weddings and other special events. This sophisticated ensemble ensures a regal and stylish appearance for the modern groom.

The Culture Club Fusion Set includes a stylish printed cotton shirt with trendy designs for a modern ethnic look. The matching border dhoti adds a touch of sophistication, making it suitable for both festive and casual wear. This versatile set blends tradition with contemporary fashion, ideal for all celebrations.

 KR Nagarajan, Founder & Chairman, Ramraj Cotton, states, aiming to transform the dhoti from a traditional garment into a style statement, the brand through its  Sankalpam and Swayamvara ranges offer premium options for all types of celebrations. The company is committed to preserving the cultural essence of the dhoti while giving it a festive and fashionable update. Each set in this collection is designed to reflect the evolving preferences of today’s man—rooted in culture, refined in finish, and ready for celebration, he adds.

The collection is available at all Ramraj outlets, with prices starting from Rs 1,995.

Ramraj Cotton redefines festive wear with new Ugadi collection

Euratex leads textile alliance to promote social dialogue in Europe

A new initiative, Stitch Together, aims to strengthen cooperation between employers and workers in the European textile and clothing industry. Backed by the European Commission, Euratex and industriAll Europe launched the two-year project to address challenges facing the industry.
Stitch Together recognizes the need to balance global competition, eco-friendly practices, and technological advancements with fair working conditions and effective communication. The project focuses on seven European countries with rich textile traditions: Belgium, France, Italy, Poland, Portugal, Spain, and Turkiye.
Through workshops and seminars, Stitch Together will enhance the skills of social partners, empowering them to engage in constructive dialogue at national and European levels. The project also seeks to increase their participation in shaping EU policies, particularly regarding sustainable and circular practices within the textile industry.
Both Euratex and industriAll Europe welcome this initiative. Dirk Vantyghem, Director General of Euratex, emphasizes the importance of social dialogue in the upcoming EU Industrial Deal.
Judith Kirton-Darling, Secretary General of industriAll Europe, highlights the role of quality communication in achieving a successful green and digital transition for the industry, ensuring a fair outcome for workers. Stitch Together seeks to deliver tangible improvements for the European textile industry.

Euratex leads textile alliance to promote social dialogue in Europe

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