India: Currency Hurts Apparel Exports

Avatar for Matt Hopkins By Scott C. Lucas|27 December 2007

To help soften the effect of currency, the Indian government has elected to offer support to the domestic industry. While some small and medium companies may be harmed by the fall in their margins, U.S. and E.U. data foretell a rebound in knitwear imports from India this summer, which could bolster the industry.

Large companies are reacting to the market changes through several different measures, including relocating their capacities and considering acquisitions of international clothing brands.