September 2, 2025

India’s love for trendy, affordable clothes from Bangladesh is hitting a rocky patch! The government banned road imports of readymade garments from Bangladesh on May 17, allowing only seaport imports via Kolkata and Nhava Sheva. This new rule is causing big delays — 2 to 3 weeks — in getting fresh clothes to stores across India. Retail giants like Marks & Spencer, H&M, Zudio, and Lifestyle are feeling the pinch. A senior global apparel executive confessed, "The shortfall is more visible now." Why? Because the fresh collections are arriving late just as shoppers hunt for end-of-season bargains. Bangladesh, known as the world’s second-largest garment exporter after China, has been a lifeline for India’s affordable fashion brands. But now, with land border imports halted, many retailers find their shelves less stocked. Devarajan Iyer, CEO of Lifestyle International, India’s biggest departmental chain, revealed, "While we have shifted some of our sourcing within the country, there are a few categories which we import from Bangladesh and have been delayed due to the policy change. We will have to plan ahead to ensure steady supplies of fresh merchandise to minimise its impact on sales." On the cost front, Rahul Mehta, chief mentor of the Clothing Manufacturers Association of India and MD of garment sourcing firm Creative Garments, warned that prices might rise by 3-5% thanks to increased shipping expenses. However, he noted, "The impact will not be immediate as many Indian buyers had secured contracts few months in advance. However, smaller traders and grey market operators, who depend heavily on quick and low-cost supplies from Bangladesh, are expected to get impacted due to the policy shift." Sanjay Jain, managing director of TT Industries and chairman of the Indian Chamber of Commerce textile expert panel, painted a worrying picture: "Imports of readymade garments from Bangladesh have dwindled by 25% year-on-year. These are garments which are priced lower than ₹1,000 and are sold by local retailers and brands." Despite the challenges, India imported apparel worth $254.44 million from Bangladesh in January-June 2025, a small increase of 3.5% from $245.84 million the year before, according to the International Trade Centre and Confederation of Indian Textile Industry. The big question is — can Indian retailers keep their customers happy during this supply hiccup? Many are betting on local production to fill the gap. One thing’s clear: the fashion supply chain’s new rhythm is set to dance differently for now!

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Tags: India bangladesh trade, Clothing retailers, Readymade garments, Import delays, Domestic production, Fashion industry,