Latest news with #CMAI
Time of India
a day ago
- Business
- Time of India
ET MSME Awards 2025: How CMAI became the backbone of India's garment revolution
Live Events Each week, the ET MSME Awards will feature an industry association that has played a critical role in India 's growth story. This week, we celebrate CMAI If you own or manage a clothing and apparel enterprise, nominate your business for the ET MSME Awards 2025 before August 31, the bustling bylanes of Prabhadevi, in what was once Mumbai's mill hub, the hum of sewing machines never quite dies down. Here stands an organisation that has quietly shaped India's apparel destiny since 1963: the Clothing Manufacturers Association of India (CMAI).The CMAI may not grab headlines in the micro, small, and medium enterprise (MSME) space the way electronics or healthcare suppliers do, but its influence runs through every thread of India's $176 billion textile industry. From its humble beginnings to becoming the voice of over 20,000 companies, from micro units to international juggernauts such as Levi's, its story is essentially the story of how India's textile sector evolved from post-independence protectionism to global most transformative contribution came in 1978, when the organisation took the lead in the creation of the Apparel Export Promotion Council (AEPC). At a time when India's garment exports were nascent and fragmented, this initiative laid the foundation for what would become a multi-billion dollar export timing couldn't have been more crucial. The late 1970s marked India's gradual opening to global trade, and the garment sector needed institutional support to navigate international markets. Born from CMAI's vision, AEPC became the regulatory body that would eventually oversee the promotion of India's garment when Indian apparel flies off international retail shelves from New York to Tokyo, that success traces back to CMAI's institutional foresight nearly half a century ago. When an Indian garment shipment reaches international ports with CMAI's certification, it carries the credibility of an institution that has vetted industry players for small exporters, such institutional backing can be the difference between smooth customs clearance and costly you a top exporter? Nominate yourself for the ET MSME Awards 2025 CMAI's real genius lies in understanding that India's clothing and apparel industry would be built not by industrial behemoths, but by thousands of small manufacturers scattered across the country. Long before 'MSME' became a policy buzzword, CMAI recognised that the sector's strength lay in its distributed network of small insight shaped everything from CMAI's advocacy positions to service offerings. When it established a network of affiliate testing associations and facilities, it wasn't just about meeting international quality standards, but about making those standards accessible to small enterprises who couldn't afford their own facilities. For a manufacturer in Odisha, Tamil Nadu, or Punjab, this means the difference between accessing global markets and remaining trapped in domestic price approach to supporting MSMEs goes beyond advocacy — it creates markets. The association's trade fairs have become crucial business platforms where small manufacturers meet retailers, forge partnerships, and showcase North India Garment Fair (NIGF), scheduled for November 25-27 this year, exemplifies this philosophy. More than 95% of exhibitors are MSMEs from across India, including Mumbai, the National Capital Region , Bengaluru, Punjab, Rajasthan, Gujarat, and Madhya Pradesh . Retailers, wholesalers, agents, e-commerce representatives, distributors, and international buyers alike throng the NIGF , making it an economic lifeline for clothing and apparel also doubles as an interface between government policy and ground-level business reality. When policymakers design schemes for the textile sector, they often rely on CMAI's insights to understand how regulations on market access, credit, and ease of doing business will play out in association also plays a proactive role in voluntary commitments to sustainability. In 2019, it partnered with India's Ministry of Textiles, UN in India, and Reliance Brands Limited to launch (short for Sustainable Resolution), an initiative that creates a pathway to move towards more sustainable fashion. signatory brands include the likes of Shoppers Stop, Lifestyle, Biba, AND, the Aditya Birla Group, and Being through apparel training centres in multiple states, CMAI has trained over 43,000 people and placed nearly 33,500 trainees under the Ministry of Textiles' Integrated Skill Development many traditional industries, garment manufacturing has had to navigate the digital transformation. CMAI has positioned itself as a bridge between old-economy manufacturers and new-economy embrace of e-commerce platforms and digital marketing reflects this evolution. By helping traditional manufacturers understand online retail dynamics, CMAI has enabled countless small businesses to expand their reach beyond physical trade fairs and regional digital push became particularly crucial during the Covid-19 pandemic, when traditional business models faced unprecedented disruption. Companies that had embraced digital platforms through CMAI's guidance found themselves better positioned to weather the India aims to become a $5 trillion economy by 2027, the garment sector's role becomes even more critical. With textiles and apparel going through rapid evolution, from fast fashion to sustainable clothing and from offline to omnichannel, CMAI's challenge is to help members navigate these association's recent focus on sustainability and technological upgradation suggests it understands these challenges. But its real test will be helping traditional manufacturers adapt to changing consumer preferences while maintaining the cost competitiveness that has been their historic five-decade journey offers a masterclass in industry institution-building. It didn't just represent existing interests, but helped create the very ecosystem that allowed those interests to flourish. From a handful of Mumbai-based manufacturers to a pan-Indian network of 20,000 companies, CMAI's evolution mirrors the transformation of Indian manufacturing boardrooms where billion dollar deals are discussed, CMAI's influence might seem modest. But in the workshops and factories where India's garment story is stitched together, its role as facilitator, advocate, and enabler continues to define possibilities for countless the quiet power of institutional leadership: not the dramatic disruption that makes headlines, but the patient building of systems that allow entire sectors to ET MSME Awards 2025 , which has IDBI Bank as banking and lending partner, is open for nominations. Put yourself up for consideration before August 31, 2025.
Economic Times
a day ago
- Business
- Economic Times
ET MSME Awards 2025: How CMAI became the backbone of India's garment revolution
ET Online Royalty-free image of printed fabric. | Photo by maadhuri g on Pexels Each week, the ET MSME Awards will feature an industry association that has played a critical role in India's growth story. This week, we celebrate CMAI. If you own or manage a clothing and apparel enterprise, nominate your business for the ET MSME Awards 2025 before August 31, 2025. Off the bustling bylanes of Prabhadevi, in what was once Mumbai's mill hub, the hum of sewing machines never quite dies down. Here stands an organisation that has quietly shaped India's apparel destiny since 1963: the Clothing Manufacturers Association of India (CMAI). The CMAI may not grab headlines in the micro, small, and medium enterprise (MSME) space the way electronics or healthcare suppliers do, but its influence runs through every thread of India's $176 billion textile industry. From its humble beginnings to becoming the voice of over 20,000 companies, from micro units to international juggernauts such as Levi's, its story is essentially the story of how India's textile sector evolved from post-independence protectionism to global competitiveness. The architect of export success CMAI's most transformative contribution came in 1978, when the organisation took the lead in the creation of the Apparel Export Promotion Council (AEPC). At a time when India's garment exports were nascent and fragmented, this initiative laid the foundation for what would become a multi-billion dollar export engine. The timing couldn't have been more crucial. The late 1970s marked India's gradual opening to global trade, and the garment sector needed institutional support to navigate international markets. Born from CMAI's vision, AEPC became the regulatory body that would eventually oversee the promotion of India's garment exports. Today, when Indian apparel flies off international retail shelves from New York to Tokyo, that success traces back to CMAI's institutional foresight nearly half a century ago. When an Indian garment shipment reaches international ports with CMAI's certification, it carries the credibility of an institution that has vetted industry players for decades. For small exporters, such institutional backing can be the difference between smooth customs clearance and costly delays. Are you a top exporter? Nominate yourself for the ET MSME Awards 2025 The MSME champion CMAI's real genius lies in understanding that India's clothing and apparel industry would be built not by industrial behemoths, but by thousands of small manufacturers scattered across the country. Long before 'MSME' became a policy buzzword, CMAI recognised that the sector's strength lay in its distributed network of small entrepreneurs. This insight shaped everything from CMAI's advocacy positions to service offerings. When it established a network of affiliate testing associations and facilities, it wasn't just about meeting international quality standards, but about making those standards accessible to small enterprises who couldn't afford their own facilities. For a manufacturer in Odisha, Tamil Nadu, or Punjab, this means the difference between accessing global markets and remaining trapped in domestic price wars. CMAI's approach to supporting MSMEs goes beyond advocacy — it creates markets. The association's trade fairs have become crucial business platforms where small manufacturers meet retailers, forge partnerships, and showcase innovations. The North India Garment Fair (NIGF), scheduled for November 25-27 this year, exemplifies this philosophy. More than 95% of exhibitors are MSMEs from across India, including Mumbai, the National Capital Region, Bengaluru, Punjab, Rajasthan, Gujarat, and Madhya Pradesh. Retailers, wholesalers, agents, e-commerce representatives, distributors, and international buyers alike throng the NIGF, making it an economic lifeline for clothing and apparel enterprises. Interfacing with government and society CMAI also doubles as an interface between government policy and ground-level business reality. When policymakers design schemes for the textile sector, they often rely on CMAI's insights to understand how regulations on market access, credit, and ease of doing business will play out in practice. The association also plays a proactive role in voluntary commitments to sustainability. In 2019, it partnered with India's Ministry of Textiles, UN in India, and Reliance Brands Limited to launch (short for Sustainable Resolution), an initiative that creates a pathway to move towards more sustainable fashion. signatory brands include the likes of Shoppers Stop, Lifestyle, Biba, AND, the Aditya Birla Group, and Being Human. Lastly, through apparel training centres in multiple states, CMAI has trained over 43,000 people and placed nearly 33,500 trainees under the Ministry of Textiles' Integrated Skill Development Scheme. The digital transition Like many traditional industries, garment manufacturing has had to navigate the digital transformation. CMAI has positioned itself as a bridge between old-economy manufacturers and new-economy opportunities. Its embrace of e-commerce platforms and digital marketing reflects this evolution. By helping traditional manufacturers understand online retail dynamics, CMAI has enabled countless small businesses to expand their reach beyond physical trade fairs and regional markets. This digital push became particularly crucial during the Covid-19 pandemic, when traditional business models faced unprecedented disruption. Companies that had embraced digital platforms through CMAI's guidance found themselves better positioned to weather the crisis. To sum up As India aims to become a $5 trillion economy by 2027, the garment sector's role becomes even more critical. With textiles and apparel going through rapid evolution, from fast fashion to sustainable clothing and from offline to omnichannel, CMAI's challenge is to help members navigate these transitions. The association's recent focus on sustainability and technological upgradation suggests it understands these challenges. But its real test will be helping traditional manufacturers adapt to changing consumer preferences while maintaining the cost competitiveness that has been their historic strength. CMAI's five-decade journey offers a masterclass in industry institution-building. It didn't just represent existing interests, but helped create the very ecosystem that allowed those interests to flourish. From a handful of Mumbai-based manufacturers to a pan-Indian network of 20,000 companies, CMAI's evolution mirrors the transformation of Indian manufacturing itself. In boardrooms where billion dollar deals are discussed, CMAI's influence might seem modest. But in the workshops and factories where India's garment story is stitched together, its role as facilitator, advocate, and enabler continues to define possibilities for countless entrepreneurs. That's the quiet power of institutional leadership: not the dramatic disruption that makes headlines, but the patient building of systems that allow entire sectors to thrive. The ET MSME Awards 2025 , which has IDBI Bank as banking and lending partner, is open for nominations. Put yourself up for consideration before August 31, 2025.
Fibre2Fashion
4 days ago
- Business
- Fibre2Fashion
Will evolving sustainability dynamics impact India's CETA gains in UK?
The recently signed Comprehensive Economic and Trade Agreement (CETA) between India and the United Kingdom has opened a major window of opportunity for Indian textile and apparel exporters by granting 99 per cent of Indian exports—including over 1,143 key textile and clothing items—duty-free access to the British market. This unprecedented level of market access has been hailed as a landmark in bilateral trade relations and is expected to significantly boost Indian exports, solidify India's presence in the UK market, and help realise the ambitious target of increasing bilateral trade by $34 billion by 2040, as per reports. Experts caution about UK buyers' stringent compliance and sustainability requirements. The UK's proposed CBAM, to be initially applied only to carbon-intensive sectors, when it takes effect from January 1, 2027, is widely expected to bring the textile industry under its purview eventually. If CBAM impacts Indian exports in the future, India will retain the right to formally take up the issue. Until now, Indian exporters faced a duty disadvantage of 10–12 per cent when competing in the UK, which not only reduced their profit margins but also made it difficult to maintain consistent order flows, forcing them to contend with competitors in an already aggressive global marketplace. This trade agreement is a win-win for both countries, especially for India's textile sector, which is heavily export-oriented and a major contributor to employment and foreign exchange earnings. However, stakeholders underlined that to make the most of this new opportunity, Indian exporters will need to carefully navigate the UK's evolving sustainability and compliance landscape. 'UK buyers have stringent compliance and sustainability requirements,' cautioned Rahul Mehta, chief mentor of the Clothing Manufacturers Association of India (CMAI), in a conversation with Fibre2Fashion . He emphasised that Indian exporters would have to substantially upgrade their processes to meet evolving expectations, particularly in environmental sustainability, which includes improving operational efficiency and aligning with international standards on carbon emissions, ethical sourcing, water consumption, and waste disposal. One of the long-term concerns in this direction is the UK's proposed Carbon Border Adjustment Mechanism (CBAM), felt some. 'Even with FTA tariff cuts, exports could face effective protectionist barriers. Indian exports in textiles, ceramics along with engineering goods, steel etc may be disproportionately hit due to sustainability compliance costs,' opined an industry player. CBAM is a carbon tax intended to prevent what is known as 'carbon leakage'—the migration of production to countries with less stringent environmental regulations. Although CBAM will be initially applied only to carbon-intensive sectors like cement, steel, and aluminium when it takes effect from January 1, 2027, it is widely believed that the labour intensive textile industry could eventually be brought under its purview. 'While the India-UK FTA offers tariff concessions, the CBAM essentially introduces an indirect cost through carbon pricing—it is a case of 'giving with one hand and taking with the other,' typical of trade regulation,' said Akhil Sivanandan, CEO and Co-founder of Green Story, speaking to Fibre2Fashion . He also highlighted the disproportionate impact that CBAM would have on small and medium enterprises (SMEs) within India's textile sector. According to him, 'Currently, most of India's textile exporters (particularly SMEs) are not well-prepared. There is a significant knowledge gap about carbon foot printing and emissions reporting. This lack of preparedness increases the risk of non-compliance, penalties, or exclusion from future procurement opportunities with UK buyers.' However, Sivanandan was quick to add that the necessary investment in carbon accounting tools and digital infrastructure should not be viewed merely as a financial burden but rather as a strategic investment in future competitiveness. He suggested that by adopting practices such as conducting Product Carbon Footprint (PCF) and Life Cycle Assessment (LCA) studies and sharing this verified data through Digital Product Passports (DPPs), Indian exporters could avoid the pitfalls of inflated emissions estimates. 'At Green Story, we have seen that having verified carbon data upfront gives exporters a stronger position when engaging with buyers in regulated markets,' claimed Sivanandan, who went on to explain that CBAM is essentially a non-tariff barrier, and for SMEs that often lack the capital, technical know-how, or human resources to implement carbon tracking systems or cleaner technologies, this creates a considerable disadvantage. Larger firms with vertically integrated operations may have the capacity to comply, but smaller players could find themselves squeezed out of vital markets. To address these challenges, Green Story has reportedly collaborated with several UK and EU-based brands to deliver training and subsidised access to decarbonisation tools and systems for their Indian supplier networks. If and when the textile industry is brought under the ambit of CBAM, Indian exporters could face higher compliance costs and in such a scenario, the hard-won advantage of duty-free access under the CETA could be somewhat eroded, felt some industry players. Meanwhile, India is said to have raised concerns about CBAM during trade negotiations, to which the UK reportedly responded that, since the mechanism is not yet in effect, it cannot be included in the formal text of the trade agreement. However, according to media reports, there was a clear mutual understanding that if CBAM impacts Indian exports in the future, India will retain the right to formally take up the issue. While the CETA may seem to offer substantial short-term advantages, experts like Sivanandan caution that the focus must also be on the long-term dynamics introduced by policies such as CBAM. 'It is vital that the narrative around CBAM shifts from punitive to preparatory,' he said, arguing that rather than seeing CBAM solely as an obstacle, Indian exporters should approach it as an opportunity to position themselves as global leaders in low-carbon manufacturing. Sivanandan stressed that timely action from India's textile sector could transform CBAM compliance into a competitive edge. However, he also warned that this transition cannot be undertaken in isolation—it will require coordinated efforts and collaboration between manufacturers, technology providers, industry associations, and international buyers to build the necessary infrastructure and capacity. Fibre2Fashion News Desk (DR)
Yahoo
6 days ago
- Business
- Yahoo
Tariffs Could Deliver ‘Crippling Blow' to India's Fashion Producers
As President Donald Trump's 'reciprocal' tariff scheme roared to life this week, the fallout is already becoming apparent. Among the most swiftly and acutely impacted targets of tariff terror is India, which, in addition to being hit with 25-percent duties on Thursday, will face an additional tariff burden of 25 percent beginning Aug. 28. More from Sourcing Journal Green Eagle Railroad Aims to Decongest Trade at US-Mexico Border China's Exports Surge as Global Trump Tariffs Take Effect Maersk Lifts 2025 Outlook as Global Container Market Defies Tariff Turbulence While all United States trading partners now face double-digit duties, even the hardest hit apparel sourcing destinations pale in comparison to India's hefty 50-percent duty rate. Nearby neighbors like Pakistan (19 percent) and Bangladesh (20 percent) will also face hardships, along with Asian sourcing locales like Laos and Myanmar (40 percent), Vietnam (20 percent) and Cambodia and Indonesia (19 percent), but the adverse effects of Trump's new duties to India's burgeoning apparel and textile industry could prove devastating. Ratings agency Moody's said as much on Friday, commenting that the duties could stymie the growth of the country's manufacturing sector. Moody's predicted that should the weight of the full, 50-percent duties be thrust upon the country's producers, India's gross domestic product (GDP) growth could slow, contracting by 0.3 percent from its 6.3-percent forecast for fiscal 2025-2026. 'Beyond 2025, the much wider tariff gap compared with other Asia-Pacific countries would severely curtail India's ambitions to develop its manufacturing sector…and may even reverse some of the gains made in recent years in attracting related investments,' Moody's said Friday. Clothing Manufacturers Association of India (CMAI) president Santosh Katariya was more to the point, saying the imposition of the additional 25-percent tariffs 'will deliver a crippling blow to the Indian apparel industry.' A 50-percent duty increase will up the cost of India-made apparel by 30 to 35 percent compared with analogous goods from countries like Vietnam and Bangladesh, 'making Indian exports uncompetitive in the global market,' Katariya said. 'Buyers are unlikely to bear such a substantial pricing gap, which could lead to a sharp decline in export orders,' he added, with multiple outlets reporting that he denounced the tariffs as 'unjustified, unfair, and arbitrary.' According to the U.S. Fashion Industry's 2025 benchmarking study released in July, which relied on input from 25 leading U.S. apparel executives at the nation's largest brands and retailers, India earned a four-out-of-five score in terms of price competitiveness as a sourcing destination—a distinction that stands to be threatened massively should this reality take hold. The CMAI's sense of alarm is far from premature, according to recent reports. Indian publication NDTV Profit wrote Friday that the biggest American apparel purchasers, from Walmart and Target to Amazon and Gap, have pulled back on orders from India-based suppliers. Sources told the news outlet that exporters have received notice from U.S. brands and retailers demanding a pause on shipments. NDTV, which spoke to some of India's most prominent exporters, reported that the heightened duties could drive down U.S. orders by 40 to 50 percent—a loss of $4 billion to $5 billion. This comes just as India was gaining on apparel production stalwarts in the region. Total apparel exports grew 11.3 percent year-over-year in May, and industry insiders had been targeting double-digit growth again this year. In fiscal year 2025, India's textile and apparel exports rose by 6.3 percent to reach $36.6 billion. Apparel exports alone saw a 10-percent increase, while textile exports grew by 3.61 percent. USFIA's study said 'it has become more common for respondents this year to allocate more than 10 percent of their apparel sourcing orders to India, Cambodia, and Indonesia, signaling improved production capacity and a larger role for these countries as apparel suppliers for U.S. fashion companies'—while orders from China have, on the whole, decreased. Indonesia, India and Cambodia were the three most popular emerging sourcing destinations, the data showed, with more than 60 percent of executives saying they plan to increase sourcing from these countries over the next two years. But that progress could be thwarted by tariffs, with global investment bank UBS estimating that $8 billion worth of exports—clothing and textiles among them—are now at risk. The tariff ramp-up has prompted hand-wringing and contingency planning, with Indian Prime Minister Narendra Modi seeking an audience with Chinese President Xi Jinping later this month. The country is also deepening its ties with the United Kingdom, having announced a landmark trade deal earlier this year. But Trump appears undeterred by the shifting of allegiances and deepening of trade ties beyond U.S. borders. The president took to Truth Social on Friday to tout the 'huge positive impact' tariffs have had on the American stock market and the hundreds of billions of dollars in revenue that are 'pouring into our Country's coffers.' Still, the president's tariff agenda continues to face legal challenges, with a Court of Appeals for the Federal Circuit in Washington expected to deliver a ruling on whether Trump overstepped his authority as Commander in Chief by imposing sweeping duties without the approval of Congress. The panel of 11 judges largely expressed skepticism about the president's leveraging of the International Emergency Economic Powers Act (IEEPA) for such a purpose. 'If a Radical Left Court ruled against us at this late date, in an attempt to bring down or disturb the largest amount of money, wealth creation and influence the U.S.A. has ever seen, it would be impossible to ever recover, or pay back, these massive sums of money and honor,' Trump wrote Friday, clearly mulling the forthcoming decision. 'There is no way America could recover from such a judicial tragedy, but I know our Court System better than anyone, there is no one in history that has gone through the trials, tribulations and uncertainties such as I, and absolutely terrible, but also amazingly beautiful, things can happen,' he added. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Fashion Value Chain
18-07-2025
- Business
- Fashion Value Chain
81st National Garment Fair Sees INR 2500 Cr Turnover
The 81st National Garment Fair (NGF), organised by the Clothing Manufacturers Association of India (CMAI), concluded its Women's and Men's Wear edition on a high note, registering a record business turnover of INR 2500 Crores. With over 50,000 buyers participating across both Kidswear (held earlier) and Women's & Men's segments, the NGF reaffirmed its position as India's largest apparel trade show. More than 800 menswear and womenswear brands, alongside 40+ accessories labels and 590 kidswear brands, showcased collections catering to India's evolving fashion landscape. Exhibitors reported strong pre-festive order bookings, signalling continued demand and buyer confidence. Santosh Katariya, President, CMAI, stated, 'The Indian apparel landscape is undergoing a significant transformation, shaped by a young, aspirational, and trendsetter consumer base… opening new opportunities for brands, designers, manufacturers and retailers.' Rohit Munjal, Vice President and Fair Sub-Committee Chairman, CMAI, commented, 'This edition reflected how trade events are helping brands to shape the Indian apparel market… the overall response has been very encouraging and satisfying.' Anand Chokshi, Joint Chairman, Fair Sub-Committee, CMAI, added, 'Tier-2 and Tier-3 cities are driving real growth beyond metros… Women's wear is embracing modern reinterpretations, while men's fashion is blending casual and traditional styles.' Top national retailers such as Sohum Shoppe (Guwahati), GV Mall (Khammam), Asopalav (Ahmedabad), Pakiza Retails (Indore), and B S Channabasappa & Sons (Karnataka) were among key attendees, underlining the fair's pan-India appeal. Exhibitor Testimonials: Radhika Jalan , Tandhan Fashion, Kolkata: 'This is our first time participating… really happy with the footfall and visibility.' Purvi Agarwal , Linen and Linens, Mumbai: 'Overwhelmed by the response… confident of a great experience.' Raghushree Poddar , REME Lifestyle, Jaipur: 'CMAI helped shape me into the 'REME lady' that I am today.' Naman Singhal , VANAM by SBS, Kolkata: 'Infrastructure, team, setup—brilliant. Outstanding customer walk-ins.' Vishesh Dadu , Dadu Apparels, Delhi: 'Phenomenal response… buyers here have a distinct taste.' Shriniwas Choudhary, Aditya Shirts, Mumbai: '21 years of growth at NGF… seeing buyers from new markets.' The NGF's biannual format continues to serve as a high-impact sourcing and networking platform, seamlessly connecting manufacturers, regional and national brands, and retailers with emerging digital-first and traditional buyers. As fashion becomes more conscious, hyper-local, and seasonless, CMAI's flagship trade fair remains pivotal in reflecting industry evolution, regional aspiration, and changing consumer narratives.
