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India and Japan Deepen Textile Trade and Investment Collaboration

India and Japan are strengthening their textile trade and investment ties, building on the foundation of the India-Japan Comprehensive Economic Partnership Agreement (CEPA) signed in 2011. As of 2024, India’s textile and apparel exports to Japan reached USD 354 million, while Japan’s total textile and apparel imports stood at USD 30.87 billion, underscoring significant untapped potential for bilateral engagement in the sector.

A recent high-level Indian delegation visit to Japan has catalyzed new momentum in this partnership. The delegation held strategic meetings with leading Japanese textile companies, spanning apparel manufacturing, technical textiles, textile machinery, and fabric processing. Japanese stakeholders were actively invited to explore investment opportunities in India’s emerging PM MITRA Parks—mega textile hubs offering plug-and-play infrastructure and world-class facilities.

Promoting Investment and Sustainability

India is offering a compelling value proposition to international investors through initiatives such as the:

  • PM Mega Integrated Textile Regions and Apparel (PM MITRA) Parks Scheme, which aims to establish state-of-the-art integrated textile parks across the country;
  • Production Linked Incentive (PLI) Scheme, which incentivizes large-scale manufacturing in man-made fiber (MMF) textiles and technical textiles.

These efforts aim to elevate India’s position in the global textile value chain and attract technology and capital from international partners like Japan.

Focus on ESG and Quality Standards

In a move to align with global sustainability goals, India’s Ministry of Textiles has constituted a dedicated Environment, Social and Governance (ESG) Taskforce to guide the industry’s transition toward sustainable and resource-efficient production systems. The taskforce is actively engaging with stakeholders to address structural barriers and foster green growth.

As part of Indo-Japanese cooperation, the Association for Overseas Technical Cooperation and Sustainable Partnerships (AOTS) under Japan’s Ministry of Economy, Trade and Industry (METI) has been conducting specialized training programs for technical officers of the Textiles Committee of India. The focus of these programs is on the Japanese System of Quality Evaluation, and training sessions have been organized across key Indian textile export hubs including Mumbai, Kolkata, Jaipur, and Tirupur.

A Growing Strategic Partnership

With both nations committed to fostering innovation, quality, and sustainability in the textile sector, the India–Japan textile partnership is expected to expand beyond trade to include technology transfer, joint ventures, and capacity building.

The recent interactions reaffirm the shared vision to transform the textile sector into a pillar of the India–Japan strategic economic partnership, unlocking new opportunities for collaboration in smart textiles, sustainable manufacturing, and global value chain integration.

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