India’s textile and apparel exports declined by 2.22% in FY26 compared to the previous fiscal year, according to data released by the Ministry of Commerce. The downturn comes a year after the United States imposed higher tariffs, which have continued to impact export performance.
In March 2026, exports fell sharply by 14.02% year-on-year, reflecting weakening demand and ongoing trade pressures.
A detailed analysis by the Confederation of Indian Textile Industries shows that textile exports dropped by 2.86% during FY26, while apparel exports declined by 1.36%. The slowdown was even more pronounced in March, with textile exports decreasing by 9.91% and apparel exports contracting significantly by 18.99% compared to the same period last year.
Overall, the combined textile and apparel exports for March 2026 recorded a year-on-year decline of 14.02%.
Meanwhile, raw cotton imports surged by nearly 55% during FY26. This increase followed the government’s decision to ease import duties for a limited period, from August 28, 2025, to December 31, 2025.
