West Asia truce seen reviving India textile exports as Hormuz reopens, input costs ease

CITI projects FY26 textile exports at Rs 3.16 lakh crore as a West Asia peace deal restores Strait of Hormuz shipping and softens polyester (+25%) and cotton costs. Apparel shipments fell 11.66% YoY in April; Tiruppur, holding 90% of cotton knitwear exports, stands to gain alongside FTA-led diversification beyond UAE.

— Source publishedMon, 15 Jun, 2026, 16:04 IST·First seen Mon, 15 Jun, 2026, 16:23 IST·Source ET Small Business

What happened

Confederation of Indian Textile Industries · West Asia peace deal expected to revive India's textile and apparel exports, easing polyester and cotton input

Key facts

  • Rs 3.16 lakh crore FY26 exports
  • polyester +25%
  • apparel -11.66% YoY April
  • Tiruppur 90% cotton knitwear share

Why this matters

Pursue FTA-led buyer diversification beyond UAE and evaluate bolt-on acquisitions in Tiruppur knitwear to consolidate the 90% cotton export base ahead of the projected volume recovery.