TEXTILE INDUSTRY

Key Highlights:

• India's textiles and apparel exports, including handicrafts, reached ₹3,25,339.0 crore in 2025–26, marking a 1.8% growth over the previous year.
• Exports grew in over 100 destinations despite global demand fluctuations and trade challenges.
• The Rebate of State and Central Taxes and Levies (RoSCTL) Scheme and Remission of Duties and Taxes on Exported Products (RoDTEP) Scheme have been extended until September 30, 2026.
• The RELIEF (Resilience and Logistics Intervention for Export Facilitation) scheme was launched on March 19, 2026, to support exporters facing disruptions.
• Import of cotton under Customs Tariff Heading 5201 was exempted from June 1 to October 31, 2026, to boost domestic availability.

Detailed Insights:

• The government has implemented various schemes to promote the textile and apparel sector, aiming for sustainable growth and employment generation.
• Key initiatives include the PM Mega Integrated Textile Regions and Apparel (PM MITRA) Parks Scheme and the Production Linked Incentive (PLI) Scheme.
• Other schemes like the National Technical Textiles Mission and SAMARTH—Scheme for Capacity Building in the Textile Sector also support the industry.
• Silk Samagra-2, National Handloom Development Programme, and National Handicrafts Development Programme focus on specific sub-sectors.
• The Export Promotion Mission (EPM), comprising Niryat Protsahan and Niryat Disha, along with the Credit Guarantee Scheme for Exporters (CGSE), aid export efforts.
• India has 16 Free Trade Agreements (FTAs) in force, including the India–United Kingdom Comprehensive Economic and Trade Agreement (CETA).
• Negotiations for an FTA with the European Union have concluded, and an FTA with New Zealand has been signed, opening new market opportunities.
• These measures aim to enhance global competitiveness, strengthen supply-chain resilience, and promote value addition across the textile value chain.

Key Concepts Involved:

• Rebate of State and Central Taxes and Levies (RoSCTL) Scheme: Provides rebate of embedded State and Central taxes and levies on exported garments and made-ups to enhance competitiveness.
• Remission of Duties and Taxes on Exported Products (RoDTEP) Scheme: Reimburses duties and taxes incurred by exporters that are not otherwise refunded, making exports more competitive.
• Free Trade Agreement (FTA): A pact between two or more countries to reduce barriers to imports and exports among them, facilitating trade.