Textile exports is expected to grow at 6 per cent to $40 billion in 2016-17, mainly driven by the expectations of growth in the apparel segment and higher fibre prices, according to ICRA research. The sector has witnessed a de-growth of 2 per cent in 2015-16, ICRA said in an update on the Indian textile industry.
“Despite volume growth in most of the segments, de-growth in the value of textile exports during 2015-16 was driven by lower fibre prices (cotton as well as polyester).” “For 2016-17, while raw-cotton export is expected to decline, other segments, especially apparels, will see positive volume growth, especially due to improved export competitiveness supported by the recent financial package for the textile industry,” ICRA VP, Corporate Sector Ratings, Anil Gupta said.
ICRA has estimated that apart from the apparel segment, volume growth in textile exports is also expected in other segments like textile made-ups and home furnishings.