Amid global economic turbulence, the newly signed India-UK Free Trade Agreement (FTA) is being hailed as a breakthrough for India’s ready-made garments (RMG) sector. Chairman of the Apparel Export Promotion Council (AEPC), Shri Sudhir Sekhri, emphasized that this strategic deal eliminates a 9.6% tariff disadvantage, immediately making Indian apparel more competitive in the UK market.
Calling it a turning point, Shri Sekhri stated that the agreement will not only uplift exports but also generate substantial employment, offering relief amidst challenges like the Russia-Ukraine war, trade barriers from the US, and volatile global conditions. He extended gratitude to Prime Minister Narendra Modi and Commerce Minister Shri Piyush Goyal for their leadership in bringing this deal to fruition.
India currently ranks as the 4th largest apparel supplier to the UK with a 6.1% market share. RMG exports reached $1.4 billion in FY 2024–25, marking a 7.8% YoY growth. With the FTA in place, AEPC projects this figure to double within the next three years.
The UK’s top imports from India include cotton t-shirts, women’s dresses, and baby garments. Meanwhile, China (25.4%), Bangladesh (19.9%), and Turkey (7.9%) continue to lead the RMG supply to the UK. However, this agreement now puts “Made in India” apparel on equal footing, enhancing its visibility and market share.
With deep sectoral synergies and complementary trade opportunities, the India-UK FTA is set to unlock rapid expansion for Indian apparel exporters — aligning with the national vision for global leadership in textiles.
