India–EU FTA Seen As Major Export Opportunity For Tiruppur Apparel Hub
The recently concluded India–European Union Free Trade Agreement (FTA) is being viewed as a significant boost for Tiruppur’s apparel and textile export industry, with exporters expecting a sharp rise in shipments to the European market once the pact comes into force.
The landmark agreement is set to provide zero-duty access for Indian textiles and apparel to the EU, one of the world’s largest import markets, removing long-standing tariff disadvantages faced by Indian exporters in comparison with competing sourcing destinations.
Industry sources said European brands and retailers are already reassessing their sourcing strategies, with Tiruppur emerging as a key beneficiary due to its strong capabilities in knitwear and ready-made garments. Exporters anticipate increased orders from major EU markets such as Germany, Italy and France, where demand for Indian knit products remains steady.
Tiruppur, one of India’s largest apparel manufacturing clusters, plays a critical role in the country’s export ecosystem and provides employment to millions across the value chain. The FTA’s preferential market access is expected to enhance global competitiveness, support capacity expansion among small and medium enterprises and attract fresh investments into manufacturing, processing and finishing infrastructure.
However, industry stakeholders cautioned that the full impact of the agreement will depend on its timely ratification and smooth implementation, which is expected from 2027. Exporters have also emphasised the need for improved logistics, compliance support and quality upgradation to fully leverage the expanded opportunities in the European Union market.
