Garment exporters seek duty-free access to the EU

The India–European Union (EU) free trade agreement (FTA) will be a game-changer for the apparel industry, provided there is duty-free access, say the industry heard. 

According to A. Sakthivel, chairman, Apparel Export Promotion Council (AEPC), India currently exports over $4.5 billion-worth apparel to the EU. Indian apparel exporters face significant tariff disadvantages compared with competing countries such as Bangladesh, Vietnam, and Turkey.

The industry is hopeful of zero-duty market access for Indian apparel from the day the FTA becomes effective. This is critical for employment-led growth, strengthening of MSMEs, and promoting women-intensive manufacturing, he said. 

Tiruppur Exporters Association president K.M. Subramanian said that Tiruppur accounts for apparel exports of approximately $ 1.74 billion to the EU, contributing nearly 22.9% of India’s total textile and apparel exports to the EU.

As a highly labour-intensive sector, the industry is a critical driver of employment, providing livelihoods to over one million people, of whom nearly 70% are women. The cluster comprises 2,500 registered exporters, over 20,000 ancillary units, and achieved export turnover of around ₹45,000 crore in the last financial year 2024-25. It is globally recognised as an ESG-compliant cluster. 

Persistent tariff barriers in the EU continue to impact India’s competitiveness. The TEA has consistently advocated for comprehensive zero-duty market access under the India–EU FTA.

With Tiruppur accounting for nearly 30% of India’s apparel exports to the EU, the signing of the India–EU FTA will be a game-changer for the textile and apparel sector.