India-UK FTA to Boost Apparel Trade: AEPC Chairman

The Apparel Export Promotion Council (AEPC) has hailed the signing of the historic India–UK Free Trade Agreement (FTA), calling it a transformative step for the Indian garment sector. The agreement was signed during Hon’ble Prime Minister Shri Narendra Modi’s visit to the United Kingdom.

Shri Sudhir Sekhri, Chairman AEPC, expressed deep appreciation for the Government of India’s efforts, saying,

“The signing of the landmark India-UK Bilateral Trade Agreement marks a significant milestone in strengthening the strategic and economic ties between the two nations. This deal will usher a new era of garment trade with the UK. This agreement will enhance market access, spur investment and job creation in the garment sector, besides creating new opportunities for businesses and consumers on both sides.”

He further added,

“India-UK FTA will not only give competitive market access to the Indian apparel products in the UK market, but also increase the trust and reliability factor by streamlining customs procedures and mutual recognition of standards, thereby, reducing the compliance burdens for the Indian apparel exporters. With duty-free access, the apparel exports to the UK will witness a renewed thrust and momentum in coming years. The deal is a testimony of a shared commitment of deepening cooperation between two great nations.”

The UK, a global fashion hub and the 5th largest garment importer in the world, imported apparel worth USD 19.7 billion in 2024. India, with its strong textile base, exported USD 1.2 billion worth of garments to the UK in the same year, ranking among the top four suppliers.

Currently, Indian garment exports to the UK face a 9.6% duty. The FTA is expected to eliminate or reduce these tariffs, boosting the competitiveness of Indian exports—especially in cotton-based garments like t-shirts, ladies’ dresses, and babywear. However, India continues to face challenges in winter wear and MMF-based garments.

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