India’s garment exports, once thriving, have faced setbacks, falling to $14.5 billion in 2023-24 from $15 billion in 2013-14, due to high duties and barriers on raw material imports, coupled with cumbersome customs procedures, according to the Global Trade Research Initiative (GTRI). While countries like Vietnam and Bangladesh saw substantial growth in garment exports, India lagged behind.

Vietnam's garment exports surged by 82 per cent to $33.4 billion, and Bangladesh's by 70 per cent to $43.8 billion between 2013 and 2023. China, despite a decline, still exported $114 billion worth of garments in 2023. India’s imports of garments and textiles also grew, reaching $9.2 billion in 2023, with further increases anticipated as companies like Reliance Retail introduce Chinese brands.

The GTRI report highlights that India’s complex import procedures and high costs for raw materials like synthetic fabrics are significant hurdles. Quality Control Orders for fabric imports have exacerbated these issues, raising costs and making Indian garments less competitive globally.

Exporters are forced to use expensive domestic supplies, making their products less appealing. The report urges a comprehensive overhaul of the Directorate General of Foreign Trade and Customs procedures to streamline import processes and reduce costs for exporters.