India-UK Trade Pact Spurs Surge in Textile Orders Ahead of July 15 Rollout
Indian textile and garment exporters are reporting a significant increase in orders from the United Kingdom ahead of the implementation of the India-UK Comprehensive Economic and Trade Agreement (CETA) on July 15.
Industry estimates indicate that textile and apparel orders from the UK have risen by nearly 12% compared to the same period last year, as British buyers move early to capitalize on the tariff benefits offered under the new trade agreement.
Sharad Kumar Saraf, Chairman of Technocraft Industries, said the agreement is already creating positive momentum for the sector, particularly in apparel and made-ups, with exporters witnessing a notable rise in order bookings.
Under the India-UK CETA, import duties of up to 12% on textiles and clothing will be eliminated, enhancing the competitiveness of Indian apparel, home textiles and related products in the UK market. The agreement will also remove tariffs of up to 16% on leather and footwear products and up to 8% on several other categories.
The tariff concessions are expected to strengthen India’s export potential by improving pricing advantages and expanding access to the UK market.
The leather sector is also seeing strong demand. Ramesh Juneja, promoter of JC Group, stated that orders for products such as ladies’ handbags and shoes have increased by around 20% year-on-year.
To ensure a seamless transition when the agreement takes effect, the Ministry of Commerce and Industry has asked export promotion bodies to share details of consignments scheduled for shipment on July 15, enabling exporters to immediately benefit from the revised tariff structure.