Why are Japanese companies showing interest in India's textiles sector?
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Synopsis
Japanese firms are actively exploring opportunities in India’s textiles sector, driven by strong bilateral trade and investment potential. With the government’s robust policies and initiatives like PM MITRA Parks, the future looks bright for this collaboration. Discover how this partnership could reshape the textiles landscape in both countries.
Key Takeaways
- Strong interest from Japanese companies in investing in India's textiles sector.
- India's garment exports to Japan reached $234.5 million in 2024.
- PM MITRA Parks aim to create 12 lakh jobs with significant investments.
- Collaboration between India and Japan can enhance sustainability in textiles.
- The 16th India Tex Trend Fair showcases Indian textiles to Japanese consumers.
New Delhi/Tokyo, July 16 (NationPress) Japanese businesses have expressed a strong desire to invest in India's expanding textiles industry, according to Textiles Minister Giriraj Singh.
In 2024, India's garment exports to Japan totaled $234.5 million, while Tokyo's imports reached around $23 billion last year.
At the inauguration of the 16th edition of the India Tex Trend Fair (ITTF) in Tokyo, the minister highlighted the enduring strength of India-Japan textiles trade relations.
“I have engaged with numerous stakeholders from the apparel and textiles sector, showcasing the Prime Minister Narendra Modi government's comprehensive policy for the industry,” he shared with attendees.
“We have established an ecosystem, including 7 PM Mega Integrated Textile Regions and Apparel (PM MITRA) Parks, each covering 1,000 to 2,000 acres, with an anticipated investment of 1 lakh crore, aiming to generate approximately 12 lakh jobs. Japanese investors will receive comprehensive support, including state government subsidies for labor and electricity,” the minister emphasized.
He also met with the leadership of Asahi KASEI, a $20 billion conglomerate, which is keen on the 'Make in India for the world' initiative.
The 16th India Trend Fair is a premier textiles event organized in partnership with the Embassy of India, Ministry of Textiles, Apparel Export Promotion Council (AEPC), and the Japan India Industry Promotion Association (JIIPA).
“Recently, Japan imported 5,000 cars from India, demonstrating the high quality standards of Indian products, which align with Japanese standards. We possess sustainable fibers and a robust workforce that can enhance exports,” Singh noted.
Sibi George, the Indian Ambassador to Japan, remarked that India is a fast-growing economy with an annual growth rate of 6 percent and significant domestic demand, expected to maintain its strength. “We receive daily updates on the strengthening of India-Japan economic ties, even amidst a global supply chain slowdown,” he stated.
During the event, Rohit Kansal, Additional Secretary in the Ministry of Textiles, pointed out the immense potential of the Indian textile sector. “The sector's comprehensive value chain capabilities, vast domestic market, strong export presence, and ability to produce sustainably at scale make it attractive for any investor,” he noted.
Sudhir Sekhri, Chairman of AEPC, added that the 'India Tex Trend Fair' has become a strategic platform showcasing the breadth, diversity, and innovation of Indian textiles and garments.
“Featuring over 150 exhibitors, this edition presents an impressive collection, ranging from sustainable apparel to high fashion and artisan lifestyle products, tailored to meet Japanese consumer preferences.”
Point of View
The increasing interest of Japanese firms in India's textiles sector indicates a promising future for bilateral trade. This relationship not only strengthens economic ties but also enhances job creation and sustainable practices in India's textile industry. It is crucial for India to leverage this opportunity for long-term growth and innovation.
NationPress
16/07/2025
Frequently Asked Questions
What is the significance of Japanese investment in India’s textiles sector?
Japanese investment can enhance India's textiles industry by providing advanced technology, improving quality standards, and creating job opportunities, ultimately boosting exports.
What initiatives are in place to support textile investment?
The Indian government has established PM MITRA Parks and various subsidies for labor and electricity to attract foreign investment in textiles.
