Surat’s textile traders have expressed strong enthusiasm following the completion of the historic Free Trade Agreement (FTA) between India and the European Union. The deal is being seen as a significant boost for the textile sector in one of India’s major textile hubs.
Traders highlighted that the losses suffered due to tariffs imposed by the United States will now be addressed through this new trade agreement, opening up fresh business opportunities. They also pointed out that the FTA would facilitate the import of advanced European machinery, replacing Chinese equipment, thereby improving production quality.
Expressing gratitude to Prime Minister Narendra Modi, Surat’s textile community said the agreement will chart a new course for the industry’s future.
Kailash Hakim, head of the Federation of Textile and Trade Associations, stated that the India-EU FTA is the result of nearly 18 years of consistent government efforts. He noted that while the US tariff hikes aimed to intimidate Indian traders and the challenges from Bangladesh affected trade, Europe has remained a major hope for India’s textile industry.
Hakim added that the US tariff policy did not significantly impact India, owing to the government’s strategic response. He emphasized that Europe’s technical strength and high-quality textile machinery make this deal highly beneficial for both machinery imports and textile trade.
He further mentioned the strong demand for garments in Europe. Earlier, India exported about nine percent of garments to Europe; the FTA now offers Surat’s traders a golden opportunity to expand this share.
Surat is globally recognized for man-made fibres, and the country’s textile exports attract worldwide business. This agreement is expected to directly benefit Surat and other textile centres across India. Hakim also revealed that Surat’s textile industry is valued at around ₹150 lakh crore and remains the second-largest revenue generator in India after agriculture.
Textile trader Sushil Gupta described the agreement as a milestone for India. He acknowledged the losses caused by the US tariff war but credited Prime Minister Modi’s efforts for enabling this crucial deal with Europe. Gupta expects the FTA to accelerate growth and significantly increase exports in the textile sector.
Another trader, Johnny Rathod, called the FTA extremely advantageous for Indian businessmen. He said the deal provides an excellent opportunity to trade with European countries without taxes, opening up a large market. Rathod noted that high-quality European machinery will now replace Chinese imports, and he thanked Prime Minister Modi for his continuous support of the textile industry.
This Free Trade Agreement is expected to strengthen India’s presence in the global textile market and offer new prospects for growth and innovation.
My name is Ganpat Singh Choughan. I am an experienced content writer with 7 years of expertise in the field. Currently, I contribute to Daily Kiran, creating engaging and informative content across a variety of categories including technology, health, travel, education, and automobiles. My goal is to deliver accurate, insightful, and captivating information through my words to help readers stay informed and empowered.
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