India’s textile exports rise 2.1% to ₹3.16 lakh crore in FY26

India’s textile exports grew 2.1% in the fiscal year ending March 2026, government data showed on Wednesday, as steady demand for garments and policy support helped the sector navigate a challenging global trade environment.

Total exports, including handicrafts, increased from ₹3,09,859.3 crore in FY25 to ₹3,16,334.9 crore in FY26, according to official data released by the Ministry of Textiles.

Ready-made garments (RMG) continued to dominate the export basket, registering a 2.9% rise to ₹1,39,349.6 crore during the fiscal, up from ₹1,35,427.6 crore a year earlier.

Shipments of cotton yarn, fabrics and handloom products were largely flat, inching up 0.4%, while man-made yarn and fabrics posted a stronger 3.6% increase.

Among value-added segments, handicrafts excluding handmade carpets posted the highest growth of 6.1%, increasing to ₹15,855.1 crore from ₹14,945.5 crore in FY25.

The ministry said export growth was recorded in more than 120 destinations during April 2025 to February 2026, with particularly strong growth in the United Arab Emirates, Japan, Spain and several African countries, the ministry said.

The government has continued to support the sector through the extension of the Rebate of State and Central Taxes and Levies (RoSCTL) Scheme and the RoDTEP Scheme beyond March 31, 2026, the ministry said.

It also highlighted progress on free trade agreements (FTAs), including pacts with EFTA, the UK, Oman and New Zealand, as well as the conclusion of negotiations for an agreement with the European Union.

“Collectively, these FTA developments are expected to improve preferential market access, reduce tariff disadvantages, support supply-chain integration, and open new opportunities for textiles, apparel, handicrafts and technical textiles, thereby aiding market diversification, export growth, investment, technology partnerships, and India’s deeper integration into global value chains,” it added.