Tamil Nadu Garment Exporters Gear Up for Growth Surge

Readymade garment exporters in Tamil Nadu anticipate an 8-10% revenue growth in this financial year, reaching Rs 43,000 crore, driven by rising demand and stable yarn prices. The Tirupur region plays a key role, boosted by U.S. and European market demands. Efficiencies and incentives enhance competitiveness.

The readymade garment industry in Tamil Nadu is poised for significant growth, with an expected 8-10% increase in revenue reaching Rs 43,000 crore this financial year. This surge is attributed to robust demand and stable yarn prices, according to a recent report by Crisil Ratings.

Key drivers of growth include the Tirupur region, recognized as India's knitwear hub, and rising demand from the United States and Europe. The sector's recovery is further bolstered by government incentives, including the extension of export incentive schemes and potential expansions of the Production-Linked Incentive (PLI) scheme for textiles.

However, industry observers urge caution due to geopolitical uncertainties and potential fluctuations in raw material prices, which could impact future profitability. Nonetheless, Tamil Nadu's garment exporters remain optimistic as they capitalize on operational efficiencies and increased order volumes.

(With inputs from agencies.)