In the fiscal year 2023-24, the country saw a 6.71 percent increase in exports of cotton yarn, fabrics/made-ups, and handlooms, reaching a total of $11.7 bn. This rise occurred despite an overall 3 percent decrease in total exports for the same period. Data from the Commerce Ministry indicates that in March alone, exports in this category grew by 6.78 percent, amounting to $1 bn. Comparatively, in the preceding fiscal year 2022-23, these exports totaled $10.95 bn. This product category is considered one of the key sectors monitored closely by the Ministry, underscoring its importance in the export landscape.
The top five export markets for the sector during the last fiscal year were the US, Bangladesh, China, Sri Lanka, and the UAE. The US accounts for over 25 percent of India’s total cotton yarn, fabrics/made-ups and handlooms exports, followed by Bangladesh (16 percent), China (6.6 percent), Sri Lanka (4.4 percent), and UAE (2.35 percent). In 2023-24, the outbound shipments also entered new geographies like Anguilla, a British Overseas Territory in the Eastern Caribbean; Serbia; Georgia; Sweden; Cyprus; Azerbaijan; and Iran.
The other new markets explored by domestic exporters from the sector include Zambia, Cote D’Ivore, Sierra Leone, and Russia. An industry expert said that Brazil and Vietnam are promising markets where these shipments can be potted. On average, India exports of these products worth $ 01 bn every month.
As per estimates, India is the largest producer of cotton globally, accounting for 23 percent of the total global cotton production. This category of exports is contributing to pushing up the country’s labour-intensive textiles exports. Exporters are looking at increasing textiles shipments to $100 bn by 2030.
India’s total merchandise exports dipped by 3.11 per cent to $437 bn in 2023-24. Imports too dipped to $677.24 bn in the last fiscal.
