India 4th largest garment supplier to UK; FTA to gain momentum

During a telephonic conversation last Saturday, Starmer and Modi expressed interest for early completion of a mutually beneficial FTA to boost bilateral trade. However, Starmer may even give a call to reopen the already concluded negotiations for the FTA. Several rounds of negotiations have already taken place between the two countries.

According to Fibre2Fashion’s market insight tool TexPro, UK imported apparel worth $282.929 million from India in January-March 2024. It was 6.54 per cent of UK’s total apparel imports of $4.326 billion in the same period. UK’s apparel imports from China were noted at $997.775 million, Bangladesh $892.216 million and Turkiye $365.770 million, with respective market share of 22.50 per cent, 20.64 per cent and 8.45 per cent.

UK’s imports from India dipped 26.75 per cent from the shipment of $385.827 million in the same period of last year. Therefore, India’s share also decreased from 7.36 per cent to 6.54 per cent in the first quarter of the current year.

Though there has been a gradual increase in India’s apparel supplies in the previous years, its share has remained in single digit. The UK had imported apparel from India worth $1,095.049 million in 2021 which was 5.24 per cent of its total apparel imports of $20.888 billion. It was the fifth largest supplier after China, Bangladesh, Turkiye and Italy.

India improved its position to fourth largest supplier in 2022 when UK’s apparel imports from the partner country were valued at $1,437.297 million. The inbound shipment was 5.96 per cent of its total apparel imports of $24.121 billion in the same period, as per TexPro.

In 2023, UK’s apparel imports from India were $1,241.654 million, i.e., 6.12 per cent of its total imports of $20.278 billion.

It will be interesting to see whether India will be able to compete with larger apparel suppliers like China, Bangladesh and Turkiye when it clinches FTA with the UK.

ALCHEMPro News Desk (KUL)