India's Textile And Clothing Exports Fell 16.3% In 2020

Market Intelligence

India's Textile And Clothing Exports Fell 16.3% In 2020

India's textile and clothing (T&C) exports in 2020 (Jan to Dec) witnessed a significant drop of 16.3% to US$ 29693.41 million. This is the first time in the last 14 years that textile and apparel exports registered a double-digit fall. T&C exports account for 11% share of the country's total exports for 2020. Knitted apparel is the top commodity and exports totalled to US$ 6,135.81 million. This was a drop of as much as 22.1% in 2020 over the previous year. The commodity stakes 21% share of the country's total T&C exports. Woven apparel exports at US$ 6,132.44 million, registered a decline of 26.7% in 2020. USA remains the largest export market for both commodities. Overall too, USA is the top market for India's T&C products. Knit exports fell despite rising demand of athleisure Men's t-shirt was witnessing a strong growth in the export market, but due the global Covid-19 pandemic the demand dipped from major markets. Knitted t-shirt exports totalled to US$ 1920.02 million with a decline of 26.6% in 2020 over the previous year. Average unit value realisation was US$ 2.50 per piece in 2020. Under this segment, cotton t-shirt is exported the most, with an export of US$ 1444.65 million with a drop of 26.21% in 2020 over the previous year. Cotton t-shirt was sold at an average price of US$ 2.45 per piece. Knitted cotton babies garment is the second highest exported product in the apparel exports. Exports of this product at US$ 626.05 million, was down by 11.65% in 2020. Average UVR was US$ 17.38 per kg. Average UVR of knitted babies garments made of synthetic fibre saw a significant drop in 2020 to US$ 24.18 per kg, compared to US$ 32.25 per kg in 2019. Export of this product dropped by 53.9% in 2020 to US$ 24.41 million. Woven apparel exports fell 26.5% in 2020 In the woven apparel segment, other dresses made from synthetic fibre (HS code: 62044390) were exported the most to the world from India. Exports of this product totalled to US$ 483.71 million with a drop of 26.5% in 2020. On an average the product was sold at US$ 8.06 per unit. Surprisingly, even as MMF is the preferred fibre in global markets, India's exports of weaved other cotton dresses (HS code: 62044290) recorded a growth of 298.5% to US$ 296.23 million. This product fetched an average UVR of US$ 7.98 per unit. Woven men's shirts made of cotton witnessed a major fall of 79.3% to US$ 171.78 million in 2020. Cotton textile exports were down 2.7% Cotton commodity that stakes a share of 20% of the country's total T&C exports, too registered a drop of 2.7% in 2020. India's cotton exports totalled to US$ 5,833.08 million. Bangladesh remains the top market for Indian cotton, with exports totalling to US$ 1708.43 million with growth of 10.5%. Under this commodity, exports of raw cotton witnessed a growth of 38.2% in 2020 to US$ 1559.60 million. More than 10 lakh kgs of cotton were exported to international markets and on an average, per kg of cotton was traded at US$ 1.47 in 2020, while in 2019 it was US$ 1.70 per kg. Indian cotton yarn exports fell by 7.9% to US$ 2681.91 million and was sold at an average price of US$ 2.65 per kg in 2020. Exports of cotton woven fabrics totalled to US$ 1576.77 million with negative growth of 18.91%. Around 17.22 lakh sqm of woven cotton fabric was exported and on an average the product was sold at US$ 0.92 per sqm in 2020. Made-ups exports down 7.5% Other textile made-ups (HS code: 63) too perceived a drop in exports. The export of the commodity fell by 7.5% to US$ 4775.99 million in 2020. Here, exports of curtains and interior blinds grew by 53.1% to US$ 181.09 million. The unit value realisation of this product has gone up by 52.6% with an average price of US$ 13.91 per kg in 2020, while in 2019 it was US$ 9.11 per kg. Exports of bed, table, toilet and kitchen linens fell by 10.23% to US$ 1423.55 million in 2020. On an average, these items were exported at a price of US$ 6.20 per kg. Silk exports fell 2.8% India's silk exports totalled to US$ 81.79 million, a dip of 2.8% in 2020. USA is the top market for Indian silk products, exports to USA totalled to US$ 36.41 million with growth of 36.9% in 2020. Woven fabric of silk or silk waste is the most exported product under this commodity. The exports of this product totalled to US$ 60.03 million, but perceived a negative growth of 10.24% in 2020. The UVR's of the woven fabric was US$ 12.35 per sqm. Wool exports were down 44.30% Wool exports too have dropped in 2020 by 44.30% to US$ 101.20 million. Korea RP is now the top market of Indian wool products, it has taken over UK in 2020 over the previous year. Exports to Korea RP totalled to US$ 20.46 million, but registered a negative growth of 23.4% in 2020. Other vegetable textile fibres; paper yarn and woven fabrics of paper yarn commodity (HS code 53) registered a growth 6.1% to US$ 478.05 million in 2020 and stakes 2% share in the total T&C exports of India. China remains the largest market this commodity and exports of China totalled to US$ 96.11 million with growth of 0.7%. MMF exports were down by 29.8% Man-made filament exports were down by 29.8% to US$ 1,644.30 million in 2020 and stakes 6% share of the total T&C exports of India. Turkey is the largest market for Indian MMF products. MMF exports to Turkey totalled to US$ 199.83 million, but perceived a drop of 34.8% in 2020. Textured polyester yarn is the most exported product under this category. The export of this product totalled to US$ 463.11 million with a drop of 36.9% in 2020. Average UVR was US$ 1.23 per kg in the export market. MMSF exports fell 26.9% Man-made staple fibre too witnessed a drop of 26.9% to US$ 1278.88 million in 2020 in the export market. Here too Turkey remains the top market, exports to turkey totalled to US$ 128.92 million, down 20.2%. Yarns of synthetic staple fibre is the top product under this commodity, with exports of US$ 360.43 million, but dropped by 26.2% in 2020. Yarn of synthetic staple fibre was exported at an average price of US$ 2.18 per kg in 2020. Synthetic staple fibre is second most exported product under man-made staple fibre and the exports totalled to US$ 225.01 million, down 25.8% in 2020 and product was sold at US$ 0.84 per kg, on average. India's top T&C export markets Among the top 20 export markets, only exports to Bangladesh and Vietnam witnessed a rise, both have climbed few positions up on the list. The rest of the top 18 markets registered a drop in the T&C exports in 2020. Exports to No. 1 market USA were down 10.9% Country-wise, USA remains the largest export market for India's textile and clothing goods. In 2020, India's T&C exports to USA totalled to US$ 7517.47 million and perceived a drop of 10.9%. USA stakes a share of 25% of the total T&C exports of India. The drop in the growth was mainly due to the low demand for Indian apparel goods. India's apparel exports to USA totalled to US$ 3,299.25 million with drop of 24%. Knitted fabric exports growth rose to the highest amongst the others i.e. 64.3% to US$ 107.28 million in 2020. Bangladesh's huge demand for cotton fibre makes it India's second largest market Bangladesh is the first country on the list to witness a positive growth and is now the second largest export market for India's T&C goods. Currently Bangladesh stakes 7% share of the total T&C exports of India in 2020 and export value totalled to US$ 2092.81 million with a growth of 1.7%. However, India mainly exports low value commodity inputs to Bangladesh. Cotton is the largest exported commodity to Bangladesh and is the only commodity to witness a positive trend among others. India's cotton exports to Bangladesh grew by 10.5% in 2020 to US$ 1708.46 million. Exports of man-made filament and man-made staple fibre both witnessed a drop in the Bangladesh market. MMF exports dropped by 19.47% to US$ 151.67 million in 2020 to US$ 188.34. And MMSF exports dropped by 21% to US$ 122.95 million in 2020. Exports to UAE continue to fall UAE has lost it rank by one position, now standing as the third largest market for India's T&C goods. Exports to UAE fell by 15.1% to US$ 2073.80 million. India exports sizeable quantity of knitted apparels to UAE, but in 2020, the exports of knitted apparels dropped by 20.8% to US$ 891.05 million over the previous year. Exports of woven apparel to the UAE were down by 14.7% to US$ 626.02 million. Exports to UK were down 25.5% UK is now the fourth largest market for Indian T&C goods, accounting for 5% of India's total T&C exports. Exports to the fell 25.5% to US$ 1603.41 million in 2020. India mainly exports finished apparel to the UK market. In 2020, apparel exports at US$ 1127.95 million were 29.4% lower than in 2019. Exports to China remained stable in 2020 China accounts for a share of 4 % of India's total T&C exports. Exports to China fell 5.9% to US$ 1319.56 million in 2020. Cotton is the major commodity exported to China. India's cotton exports to China at US$ 1014.83 million, witnessed an insignificant drop of 0.2%. Cotton fibre most exported commodity to Vietnam Vietnam is the second country in the top 20 that has perceived a positive growth. Exports to Vietnam rose by 18.2% to US$ 402.53 million in 2020. Here too, India supplies more of cotton fibre. India's cotton exports to Vietnam totalled to US$ 335.86 million, up 45.4% in 2020 over the previous year.