India’s apparel retail sector is experiencing rapid growth, driven by factors like rising incomes, urbanisation, and the rise of e-commerce. This surge in demand is evident across the country, with some states leading the way.
As per media reports, Maharashtra at present holds the top spot in apparel consumption. Its strong economy, high concentration of affluent consumers, and thriving fashion industry contribute to this dominance. The national capital, Delhi, follows closely, benefiting from a diverse population and a robust retail infrastructure.
Other leading states include Karnataka, Tamil Nadu, and Gujarat, each boasting unique factors driving apparel consumption. Karnataka’s IT sector fuels a young and affluent workforce, while Tamil Nadu, a major textile hub, benefits from strong local manufacturing and a growing middle class. Gujarat’s economic growth and entrepreneurial spirit also contribute to its high apparel consumption.
Industry reports predict continued growth in the Indian apparel market, with an estimated CAGR of 13-15 per cent over the next five years. This growth will be fueled by increasing demand across various segments, from mass market to premium and luxury.
However, the Indian apparel market also faces challenges, including counterfeiting, sustainability concerns, and supply chain disruptions. The industry is actively addressing these challenges through initiatives such as promoting sustainable fashion practices and strengthening supply chains.
The future of India’s apparel market appears bright, with a young and growing population, rising incomes, and a burgeoning middle class driving demand. As the market evolves, it will be interesting to observe how consumption patterns shift across different states and which new players emerge as leaders.
