NEW DELHI: India's garment exports slipped by 10.5% to $1.1 billion during June this year due to the poor demand in the US and European markets. The exports was at $2 billion during the corresponding period in FY12, said Apparel Export Promotion Council (AEPC).
AEPC Acting Secretary General Vijay Mathur said, “The demand is sluggish in the US and European markets as buyers are placing few orders and not keeping inventories.”
It is expected that the demand will gain momentum in the US in the next few months. Reports suggest that US and Europe together account for close to 65% of the country's overall garment exports.
In the June quarter this year, apparel exports fell 12% to $3.2 billion.
With the aim to lower the dependence on the foreign markets, exporters are foraying into new markets such as Israel, Russia and South Africa.
In 2011-12, apparel exports rose close to 18% year-on-year to $13.6 billion.