Home breadcru News breadcru Economics breadcru  | After testing 2025, India's textile sector turns optimistic on 2026

Prime Content | 
After testing 2025, India's textile sector turns optimistic on 2026

01 Jan '26
4 min read
After testing 2025, India's textile sector turns optimistic on 2026
Pic: Shutterstock.com

Insights

  • After a difficult 2025 marked by global tensions, supply-chain disruptions, and elevated US tariffs, India's textile and apparel industry enters 2026 with optimism. Structural reforms, easing input constraints, lower interest rates, labour-code clarity, and expanding FTAs are improving competitiveness. Strong domestic retail momentum and sustainability-led investments are further strengthening confidence.

****: A year of pressure, realignment and resilience

Throughout ****, Indian exporters faced demand uncertainty in key markets, especially the US, where tariff pressures altered sourcing dynamics. The unresolved question around easing the ** per cent tariff burden continued to cloud short-term visibility. However, exporters responded by diversifying markets, strengthening buyer relationships and focusing on operational efficiency, value addition and compliance.

Get Free Weekly Market Insights Newsletter

Receive daily prices and market insights straight to your inbox. Subscribe to AlchemPro Weekly!