Budget 2025: A Defining Moment for India’s Apparel and Fashion Industry

The article "Budget 2025: Expectations from India's Apparel and Fashion Sector", (indianretailer.com), ?got me thinking about the immense potential of this industry. In my opinion, if the upcoming budget focuses on sustainability, modern infrastructure, skill development, and export incentives, it could open up incredible opportunities for entrepreneurs and transform the future of Indian fashion.

?The fashion industry in India is vibrant, dynamic, and a significant contributor to the country’s economy. Yet, as we approach Budget 2025, it’s clear that this sector still holds immense untapped potential. While it’s a space that thrives on creativity, innovation, and craftsmanship, the challenges holding it back cannot be ignored. This budget presents an opportunity to address these issues and empower the industry to scale new heights.

Sustainability, for instance, is no longer just a buzzword; it’s a necessity. Globally, the fashion industry is responsible for 10% of carbon emissions, surpassing international flights and maritime shipping combined. In India, while many brands are taking steps toward eco-friendly practices—using organic fabrics, recycled materials, and zero-waste production methods—the cost of sustainability remains a barrier. Countries like Sweden have introduced tax incentives for brands adopting green practices, and India could benefit immensely by following suit. Imagine the possibilities for small-scale entrepreneurs who want to innovate in sustainable fashion but are held back by financial constraints.

?Another pressing need is the modernization of infrastructure. India’s apparel production is often slowed down by outdated technology and inefficient supply chains. This is a stark contrast to countries like China, where advanced manufacturing hubs have made them a global leader in apparel exports. If Budget 2025 includes provisions for upgrading textile infrastructure—be it through automation, AI-driven processes, or better logistics—it would not only reduce production costs but also significantly enhance India’s competitiveness. For entrepreneurs, this would mean shorter production cycles and better profit margins, opening doors to bigger opportunities.

?Then there’s the question of skills. India boasts one of the largest youth populations in the world, but many lack the specialized skills required by today’s fashion industry. While traditional craftsmanship like tailoring remains vital, the industry also demands expertise in emerging areas like digital fashion design, sustainable production, and fashion tech. Bangladesh, for instance, has risen to become the second-largest apparel exporter globally by focusing heavily on workforce training. India could replicate this success by introducing training programs that combine traditional techniques with modern innovation. For entrepreneurs, this underscores the importance of upskilling—whether it’s learning about 3D fashion design or understanding the nuances of digital marketing.

?India’s export potential is another area where change could bring significant rewards. Despite being a treasure trove of unique textiles and craftsmanship, India contributes only 3% to the global textile export market, while China dominates with over 30%. With the right government policies—such as export incentives, easier trade regulations, and marketing support—India could carve a much larger slice of the global market. Imagine Indian handlooms making waves in Paris or intricate chikankari embroidery shining on the runways of Milan. For entrepreneurs, the message is clear: think global from day one. Start by leveraging platforms like Etsy, Amazon, or even Instagram to showcase your creations to a worldwide audience.

As an entrepreneur and author of 10 Threads to Fortune: A Guide for Fashion Entrepreneurs, I believe that the time for transformation is now. While the government’s role is crucial, it’s equally important for us, the stakeholders of this industry, to take proactive steps. Whether it’s adopting sustainable practices, investing in technology, or upskilling ourselves and our teams, the opportunities are endless.

The upcoming budget could be a turning point for the Indian fashion industry, but the real power to drive change lies in the hands of entrepreneurs who are willing to innovate and lead.

?"Fashion isn’t just about creating trends; it’s about solving problems, telling stories, and making an impact. The time for change is now."