India Closing on Bangladesh in Apparel Export to US
US Primes Political Stability in India for Rising Apparel Imports
By Raisina Correspondent
New Delhi, November 11: India is now narrowly behind Bangladesh in the US apparel import share. India now commands 5.8 per cent share against 6.2 per cent of Bangladesh in the US imports of apparel.
The US International Trade Commission (USITC) in its report has flagged political instability in Bangladesh as a key challenge for the Islamic country to maintain its share in the import of apparel by the US. The USITC has also stated in the report that Bangladesh is not able to tap the high value apparel export segment to the US.
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“India’s growing appeal as a global apparel sourcing hub has been reinforced by a recent report from the U.S. International Trade Commission (USITC), which cites political stability as a key factor driving U.S. buyers to source more apparel from India,” said the Ministry of Commerce in a media statement.
The Ministry also stated that “as the global garment supply chain becomes more complex, the ability to guarantee production timelines and mitigate risks associated with political instability has made India an increasingly attractive option for U.S. buyers”.
“The report highlights that India, with its stable political climate, offers a reliable and scalable solution for high-value fashion items, positioning it as a strong competitor in the global apparel market,” added the Ministry in the statement.
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India’s apparel market share in the US has grown steadily over the past decade. “In 2013, India held a modest four per cent share of US apparel imports. By 2023, this figure had increased to 5.8 per cent,” added the Ministry.
This growth reflects India’s increasing competitiveness, particularly in the high-value apparel sector, said the Ministry. “As the US continues to diversify its sourcing away from China, India is emerging as are liable and strategic partner for apparel sourcing,” added the Ministry.
The Ministry quoted the report, saying: “Political stability is critical in ensuring the smooth functioning of supply chains, especially in industries like apparel where timely deliveries are crucial”. “According to the USITC report, political unrest in countries like Bangladesh can lead to disruptions, strikes, and delays, making them less reliable for high-value and time-sensitive garment orders,” added the Ministry.
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It stated that “India’s relatively stable political environment has positioned it as a dependable alternative for apparel sourcing, especially in like US market”. “As a result, American buyers are shifting more of their sourcing to India, where they feel confident in the reliability of both production and delivery schedules. This shift is particularly evident in high-value, fashion-focused apparel, where quality, timely production, and dependable logistics are paramount,” added the Ministry.
According to the USITC report, Vietnam has the highest share with 17.8 per cent in the apparel imports. Indonesia also commands 8.5 per cent followed by Bangladesh at 6.2 per cent. India has a share of 5.8 per cent followed by 4.5 per cent by Pakistan.
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