Govt will protect textile sector in US trade deal: Goyal tells export body

Commerce and Industry Minister Piyush Goyal has assured industry bodies that the government will protect the interests of the textiles and apparel sector in the proposed trade agreement with the US, AEPC said on Friday.

Apparel Export Promotion Council (AEPC) Chairman Sudhir Sekhri said he, along with TEXPROCIL (Cotton Textiles Export Promotion Council) Chairman Vijay Agarwal, met the minister to apprise him of key concerns related to the proposed agreement.

"The minister gave a patient hearing to the concerns raised and assured the delegation that the government is committed to protecting labour-intensive sectors during the ongoing negotiations under the India-US Bilateral Trade Agreement," the council said in a statement.

 

The minister also reiterated that all necessary steps would be taken to ensure that India's interests, especially those of vulnerable sectors like textiles and apparel, are safeguarded.

It further said that if the US will go ahead with the additional 26 per cent reciprocal tariffs on India then it would have serious implications for the sector's exports to America.

Both the heads of the two councils expressed deep concern over the potential ramifications for the labour-intensive textile and clothing sector, which is a major contributor to India's export economy and employment, AEPC said.

They highlighted that apparel and home textiles are among the leading export categories to the US, and would be disproportionately affected by any tariff hike.

"They also drew attention to the likely consequences in terms of decline in exports and job losses, particularly in MSME segments and rural employment clusters," it added.

The Trump administration has suspended the 26 per cent tariff on Indian goods till July 9.

India's apparel exports to the US stood at USD 5 billion in 2024-25.

Indian official team is in Washington for the next round of trade talks.