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India plans aggressive textile outreach in 40 nations as US slaps 50% tariff

| @indiablooms | Aug 27, 2025, at 09:28 pm

New Delhi: India is gearing up for an aggressive global push to safeguard its textile exports after the United States imposed a steep 50 percent tariff on Indian goods, impacting shipments worth more than USD 48 billion, PTI reported, citing official sources.

Targeted outreach in key markets

The government is preparing dedicated outreach programmes in 40 countries, including the UK, Japan, South Korea, Germany, France, Italy, Spain, the Netherlands, Poland, Canada, Mexico, Russia, Belgium, Turkiye, the UAE, and Australia.

“In each of these 40 markets, India plans to adopt a targeted approach, positioning itself as a reliable supplier of quality, sustainable, and innovative textile products,” an official was quoted as saying by PTI, adding that Indian Missions abroad and industry bodies will take the lead.

Although India exports to over 220 countries, these 40 markets are seen as crucial for diversification.

Together, they account for more than USD 590 billion in textile and apparel imports, while India’s current share remains at just 5-6 percent.

EPCs at the forefront

Export Promotion Councils (EPCs) will anchor this diversification strategy by mapping markets, identifying high-demand products, and linking production hubs such as Surat, Panipat, Tirupur, and Bhadohi to export opportunities.

They will spearhead India’s participation in international trade fairs, exhibitions, and buyer-seller meets under a unified ‘Brand India’ campaign.

Officials also stressed that free trade agreements (FTAs) and negotiations with several of these countries would be pivotal in boosting competitiveness, helping exporters comply with sustainability standards and obtain essential certifications.

Industry impact and response

The sudden escalation of tariffs by Washington has jolted multiple sectors, including textiles, gems and jewellery, shrimp, leather, animal products, chemicals, and machinery.

Mithileshwar Thakur, Secretary General of the Apparel Export Promotion Council (AEPC), said the textile sector, with exports of USD 10.3 billion, has been among the hardest hit after gems and jewellery.

He noted that the industry had braced for the earlier 25 percent reciprocal tariff but the additional 25 percent duty has “effectively driven the Indian apparel industry out of the US market,” leaving it at a 30-31 percent disadvantage compared to competitors like Bangladesh, Vietnam, and Sri Lanka.

He added that exporters urgently expect fiscal support to stay afloat until a bilateral trade agreement with Washington restores favourable terms. “This is extremely critical as it is not easy to recover lost ground once buyers shift to other cost-competitive locations. Meanwhile, we are also stepping up efforts to diversify, exploring opportunities through trade deals with the UK and EFTA countries,” he said.

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