Apparel sector seeks enhanced access to Indian market amid challenging export climate

• MAS Holdings Chairman Mahesh Amalean and Brandix CEO Ashroff Omar call for increased garment quota to India

The Sri Lankan apparel industry leaders have recently emphasised the importance of gaining improved access to the Indian market, to boost the local apparel sector exports, particularly in light of the sluggish demand from key markets.
The senior representatives of Sri Lanka’s apparel sector, MAS Holdings Chairman Mahesh Amalean and Brandix Apparel CEO Ashroff Omar, urged the need to increase the quota 
on garments to India.

Such a measure would contribute greatly to promoting bilateral trade and deliver benefits to both countries, they said while expressing their views and concerns at the recently held India-Sri Lanka Business Summit in Colombo. 
The Joint Apparel Association Forum has repeatedly urged the authorities in the recent months to re-examine the garment quota to India. 

At present, Sri Lanka can export eight million pieces of garments duty-free to India, under the free trade agreement. The apparel sector has stressed that Sri Lanka is losing fast its market share in global apparel exports, as competing nations have better market access arrangements. Apparel exports continue to decline, with the performance in September experiencing a sharp drop.
Apparel exports for September amounted to US $ 332 million, resulting in a year-to-date performance of only US $ 3.4 billion for the first nine months. This reflects a 20 percent decline compared to the previous year.
During the period from January to September 2023, exports to the USA decreased by 25.19 percent to US $ 1.36 billion, while exports to the EU saw an 18.15 percent year-on-year drop to US $ 1 billion. 
Likewise, exports to the UK and other countries contracted by 16 percent to US $ 480 million and 15.94 percent to US $ 538 million, respectively.