Business

Indian Exporters Eye UK Market to Counterbalance US Trade Losses Amid New Agreement

New Opportunities for Indian Garment Makers in the UK

Thanks to a recent trade deal between India and the UK, Indian garment makers are now hopeful to secure more shelf space in London stores. The agreement includes a 10% duty cut, leveling the playing field against competitors like Bangladesh and Vietnam.

Exporters hope to offset US losses

Apparel Export Promotion Council secretary general Mithileshwar Thakur stated, "It will create infinite possibilities for the labour-intensive apparel sector by reducing trade barriers, fostering greater market access and boosting employment generation."

Expanding Beyond Apparel: Gems, Jewellery, and More

The UK, being the second largest market for Indian apparel valued at $1.4 billion in 2024-25, also opens doors for other sectors. Indian frozen prawns and gems & jewellery are set to benefit, potentially offsetting losses from US trade uncertainties.

Kirit Bhansali, chairman of the Gems & Jewellery Export Promotion Council, mentioned, "With zero tariffs, we can hope to increase our exports to around $2.5 billion over the next one-and-a-half or two years."

Addressing Non-Tariff Barriers for a Brighter Future

The agreement also promises zero duty access for wood and wood products, furniture, and several farm products, providing a much-needed boost against Chinese rivals in both domestic and export markets.