India-UK Trade Pact Boosts Garment Exports

New Delhi, Jul 24 (PTI) The India-UK free trade agreement will enhance market access, spur investment and create more jobs in the garment sector, AEPC said on Thursday.

The pact, officially called Comprehensive Economic and Trade Agreement (CETA), was signed in London on Thursday in the presence of Prime Minister Narendra Modi and his British counterpart Keir Starmer.

Apparel Export Promotion Council (AEPC) Chairman Sudhir Sekhri said that the trade pact will give competitive market access to the Indian apparel products in the UK market.

It would also help streamline customs procedures and mutual recognition of standards, thereby reducing the compliance burdens for the Indian apparel exporters, he said.


"With duty-free access, the apparel exports to the UK will witness a renewed thrust and moment in coming years," Sekhri said.

The UK is a global fashion hub and the fifth largest garment importer of the world. It imported garments worth USD 19.7 billion from the world in 2024.

Last year, India exported USD 1.2 billion worth of garments emerging as one among top four suppliers to the UK.

For most of the garment products, the duty to export to the UK is 9.6 per cent. India mainly exports cotton-based garments such as t-shirts, ladies dresses, and babywear but lacks competitiveness in winter wear and man-made fibre (MMF) garments.