India’s next phase of textile growth hinges on winning global buyers’ confidence: Messe Frankfurt

India’s textile sector is poised for a major change with the India-UK free trade agreement (FTA) coming into effect and many other proposed FTAs on the anvil. Moreover, India’s prowess in the sector is increasingly positioning it as a strategic sourcing partner, rather than simply an alternative manufacturing destination.

As India seeks to strengthen its position as a global textile hub, fairs and exhibitions are expected to play a central role by bringing the entire business ecosystem under one roof. The upcoming Gartex Texprocess India, jointly organised by Messe Frankfurt Trade Fairs India Pvt Ltd and MEX Exhibitions Pvt Ltd, will be held in Delhi from August 6 to 8 and will feature more than 250 exhibitors, providing a platform for stakeholders to connect and explore business opportunities.

In a freewheeling chat with The Economic Times Digital, Raj Manek, Executive Director & Board Member, Messe Frankfurt Asia Holdings Ltd and Himani Gulati, Director of MEX Exhibitions Pvt. Ltd, tell more on how such forums can help the industry. Edited excerpts:


The Economic Times (ET): Global sourcing patterns have been shifting over the past few years. Where do you see India fitting into the global textile value chain over the next five years?
Raj Manek (RM): India is entering a very important phase in its textile journey. For a long time, the conversation around India has centred on scale and cost competitiveness. Today global buyers are evaluating markets on a much broader set of parameters—manufacturing capability, reliability, sustainability, innovation, and supply chain resilience. India’s integrated textile ecosystem positions it well for that role. That changes the opportunity for India. India is increasingly being viewed as a strategic sourcing partner rather than simply an alternative manufacturing destination.

The country has a unique advantage because it has a diversified textile ecosystem—from fibre and yarn to fabric, garment manufacturing and technical textiles. Across our textile trade fairs globally, one shift is very evident: Buyers are no longer evaluating sourcing destinations only on costs. Increasingly, conversations are revolving around sustainability, circularity, traceability, and the ability to respond quickly to changing consumer demands.

Success, however, will depend less on favourable market conditions and more on how effectively the industry invests in technology, productivity, a skilled workforce, sustainability, and faster execution. India is already an important supplier to the global market. In the coming five years, the opportunity extends beyond supplying more business or scale. It involves taking the lead in higher-value manufacturing through recognition in innovation, sustainability, and execution excellence for global brands and markets, thereby creating greater value across the textile value chain.

ET: With global buyers increasingly looking at China+1 and supply chain diversification, has India been able to translate interest into actual business? What more needs to be done?
Himani Gulati (HG): There is no doubt that China+1 has created genuine opportunities for India. We have seen growing interest from international buyers who are actively looking to diversify sourcing and build stronger supply chains. However, interest alone doesn’t automatically translate into sustained business.

Global buyers today expect consistency, speed, and reliability. Their decisions are influenced by factors such as production scale, lead times, quality standards, compliance, digital capabilities, and supply chain transparency. India has made meaningful progress, but there is still work to be done in building larger manufacturing capacities, improving operational efficiency, and stronger supply chain networks. One encouraging trend is that Indian manufacturers are increasingly investing in automation, digital manufacturing, and sustainable production practices. These investments are important because competitiveness today is determined as much by productivity and execution as by cost.

The opportunity before India is significant, but the next phase will depend on how quickly the industry can convert capability into confidence for global buyers. Once that is established, relationships tend to become long-term rather than transaction based.

ET: Which textile segment is likely to emerge as the industry’s next growth driver: technical textiles, man-made fibres, home textiles or apparel?
RM: I don’t think the future belongs to one segment alone. Different segments are evolving for different reasons, and collectively they will shape India’s next growth phase.

Technical textiles are becoming increasingly important as demand expands across sectors, such as healthcare, mobility, infrastructure, defence and industrial applications. It is one of the fastest-evolving areas globally because innovation is driving entirely new applications. Similarly, the global market has steadily shifted towards man-made fibres and performance textiles. This is an area where India has considerable potential, supported by policy initiatives and growing investments across the value chain.

At the same time, apparel and home textiles remain fundamental strengths for India. The country enjoys strong design capabilities, manufacturing experience, and established relationships with international buyers. Going forward, greater value addition, sustainable manufacturing, and faster product development will become key differentiators. What is particularly encouraging is that these segments increasingly intersect with technology. Whether it is smart manufacturing, digital printing, automation or sustainable processing, innovation is becoming central across every part of the textile value chain rather than being limited to a single category.

ET: With the India-UK FTA and other trade agreements in place, are textile businesses more optimistic about export prospects? How do you see these FTAs reshaping India’s position in the global textiles market?
RM: Well, there is certainly a sense of optimism across the industry around the FTAs. I believe that the India-UK FTA puts Indian exporters on a much stronger footing in the international market and creates fresh opportunities to deepen relationships with global buyers. Equally important is the proposed India-EU FTA, which has the potential to open preferential access to one of the world’s largest textile markets across 27 member countries. What I see as a larger significance of this agreement is that it goes beyond tariff reductions. It raises the benchmarks for Indian manufacturers to compete at a higher level.

In my view, FTAs are enablers, rather than a guarantee of growth. Better market access opens the door, but sustained business depends on quality, compliance, traceability, sustainability, and consistent execution. Those are increasingly the factors global buyers evaluate alongside the tariffs. As India expands its network of trade agreements, manufacturers who invest in these capabilities will be best placed to strengthen India’s position in global textile sourcing and build long-term partnerships with international brands.

ET: With Bangladesh and Vietnam dominating apparel exports, how can India compete more effectively, or should it prioritise higher-value textile segments instead?
RM: I believe India can certainly strengthen its position in apparel export and challenge Bangladesh and Vietnam over time, but not by trying to replicate their model. Bangladesh and Vietnam have built their position in apparel export ecosystems over many years, and that experience has given them a competitive edge. What India should focus on is building its own strengths rather than competing on cost alone.

For me, India’s biggest advantage is the depth and diversity of its textile ecosystem. Very few countries can match our capabilities across the entire value chain—from natural fibres like cotton, silk, and jute to man-made fibres, spinning, weaving, processing, garment manufacturing, home textiles, denims, technical textiles, and a rich handloom and artisanal heritage that gives Indian textiles a unique identity in global markets.

Global brands today are looking for dependable sourcing partners who can offer scale, quality, and a complete textile ecosystem. India already has that foundation. If we continue investing in manufacturing excellence, innovation, and sustainability, I believe we can strengthen our position in apparel, leading to the forefront as one of the world’s most trusted and preferred textile sourcing destinations.

The future of global sourcing won’t be solely based on who is the cheapest; it will be combined with who is the most dependable. I believe India has every ingredient to earn that position. This has been very evident in our conversations with companies associated with our trade fairs.

ET: In recent times, the textile industry has faced volatile cotton prices, geopolitical disruptions, and changing consumer demand. Which of these do you believe will have the biggest long-term impact?
HG: Ask any textile manufacturer what keeps them awake today, and the answer may be cotton prices or geopolitical uncertainty. Ask what will define their business five years from now. And I strongly believe the answer is consumer demand. Consumers are becoming more informed and far more conscious about how products are made, the materials they use, and their environmental impact. Those changing expectations are pushing brands to rethink sourcing strategies, accelerate the adoption of sustainable materials, and embrace greater transparency across the value chain. Price fluctuations and geopolitical events will come and go, but expectations will only rise. The manufacturers who evolve with them will lead the industry. Ultimately the companies that remain closest to evolving market demands are likely to emerge as the most competitive in the long run.

ET: How can exhibitions better support first-time exporters and smaller manufacturers looking to enter international markets?
RM: For many first-time exporters and micro, small, and medium enterprises (MSMEs), the biggest challenge isn’t manufacturing capability; it is access to the right people. Reaching national or international buyers, understanding their requirements, and building credibility often takes years if attempted independently. That’s where industry exhibitions make a real difference.

Trade fairs have shaped global commerce for centuries. More than 800 years ago, merchants travelled to Frankfurt from across the world, not just to trade goods but to build relationships and enter new markets. While the world of business has transformed dramatically since then, the purpose of exhibitions remains fundamentally the same: bringing the right people together to create opportunities that drive international trade and business growth.

A well-curated B2B exhibition brings together the entire business ecosystem under one roof. Through hosted buyer programmes, buyer-seller meetings, association engagements, and knowledge sessions, businesses gain access to meaningful conversations that can lead to partnerships, market insights and new opportunities.

ET: India’s textile industry has ambitious export targets. How important are exhibitions in helping MSMEs connect with new buyers and markets?
HG: One thing we consistently see is that Indian MSMEs have the capability to compete. Whether they are making yarn, fibre, fabrics or garments, the manufacturing strength is there. Across the textile value chain, thousands of MSMEs are producing world-class products. The real opportunity is to help more of these businesses reach the right audience and expand their markets.

In my experience, exhibitors don’t participate in trade fairs simply to display their products. They come to meet qualified buyers, reconnect with existing customers, start conversations with new prospects, and understand how market requirements are evolving. In just a few days, they can accomplish what might otherwise take months of business travel and outreach. In a relationship-driven industry like textiles, those face-to-face conversations often become the starting point for long-term business partnerships.