Run-through
Indian clothes merchants are experiencing supply lacks. This is because of the restriction on roadway imports from Bangladesh. The brand-new policy enables imports just through seaports. This modification has actually triggered hold-ups of 2-3 weeks. Sellers are now equipping fresh collections. The effect shows up as they handle end-of-season sales.
Mumbai|Kolkata: Several clothes merchants from Marks & & Spencer and H&M to Zudio and Lifestyle are dealing with brief materials in their shops almost 3 months after India prohibited roadway imports of readymade garments from Bangladesh, market executives stated.
Readymade garments from the neighbouring nation are now permitted just through seaports of Kolkata and Nhava Sheva in Mumbai. While the policy modification has actually caused hold-ups of 2-3 weeks in product sourcing, particularly in lower-priced style, the effect is felt now as merchants begin equipping fresh collections along with end-of-season sales.
“The shortfall is more visible now,” a senior executive at an international clothing brand name stated on condition of privacy.
Bangladesh, the world’s second-largest exporter of garments after China, is an essential provider for Indian brand names, particularly in the budget-friendly sector.
The Directorate General of Foreign Trade (DGFT), in an instruction provided on May 17, restricted imports of all type of readymade garments from Bangladesh through land ports.
Many merchants consisting of Lifestyle, Reliance and Aditya Birla have actually been slowly moving a few of their production locally after the policy shift.
“While we have shifted some of our sourcing within the country, there are a few categories which we import from Bangladesh and have been delayed due to the policy change,” stated Devarajan Iyer, president of Lifestyle International, India’s most significant department chain. “We will have to plan ahead to ensure steady supplies of fresh merchandise to minimise its impact on sales.”
Rahul Mehta, primary coach of Clothing Manufacturers Association of India (CMAI) and handling director of garment sourcing company Creative Garments, cautioned that while expense will increase by 3-5% due to greater shipping expenses, the effect will not be instant as lots of Indian purchasers had actually protected agreements couple of months ahead of time.
“However, smaller traders and grey market operators, who depend heavily on quick and low-cost supplies from Bangladesh, are expected to get impacted due to the policy shift,” Mehta stated.
The relocation has actually caused substantial hold-ups in stock replenishment, particularly in the cost effective style sector.
“Imports of readymade garments from Bangladesh have dwindled by 25% year-on-year,” stated Sanjay Jain, handling director of fabric and clothing company TT Industries and chairman of the fabric professional panel of the Indian Chamber of Commerce. “These are garments which are priced lower than ₹1,000 and are sold by local retailers and brands.”
India imported clothing worth $254.44 million from Bangladesh throughout January-June 2025, up 3.5% from $245.84 million a year previously, according to information from International Trade Centre (ITC) and Confederation of Indian Textile Industry (CITI).
