Export of Hosiery Items from India

[YAGAY andSUN]

Introduction:

Hosiery items have been an essential part of the global textile trade for years, and India has established itself as a major exporter of high-quality hosiery products. The Indian hosiery industry is renowned for its vast range of products, including socks, stockings, tights, leggings, and other knitted apparel. India's hosiery industry is supported by well-established manufacturing infrastructure, skilled labor, and innovative designs that cater to both domestic and international markets.

The global demand for hosiery items has been growing due to the increasing fashion consciousness and rising need for comfort in daily wear. With competitive pricing and excellent product quality, India has become one of the leading suppliers of hosiery items to markets across the globe.

Types of Hosiery Items Exported from India:

India exports a wide range of hosiery items, designed for various uses and preferences. The major categories of hosiery products exported from India include:

1. Socks and Stockings:
   • Men's Socks: Casual socks, sports socks, dress socks, and ankle-length socks made of cotton, wool, and synthetic fibers.
   • Women's Socks: Fashionable socks, leggings, and knee-highs, often with decorative patterns, available in a variety of colors and materials.
   • Children's Socks: Socks for babies, toddlers, and children, often featuring cartoon characters, colors, and prints.
   • Sports Socks: Specialized socks for athletes, offering moisture-wicking properties, arch support, and extra padding.
   • Stockings: Full-length stockings, often made of nylon or lycra, used for fashion or formal wear.
2. Tights and Leggings:
   • Opaque and Sheer Tights: Commonly worn by women for fashion or to complement dresses and skirts.
   • Leggings: Popular among women for casual wear, activewear, and yoga, available in a variety of fabrics such as cotton, spandex, and lycra.
3. Compression Wear:
   • Compression Socks and Sleeves: Often used in medical and sports sectors to enhance blood circulation and reduce muscle fatigue.
   • Compression Leggings: Popular among athletes and fitness enthusiasts, compression wear helps with muscle recovery and reducing swelling.
4. Thermal Wear:
   • Thermal Socks and Innerwear: Specialized hosiery items designed to retain body heat and provide warmth in cold climates.
5. Fashion Hosiery:
   • Fishnet Stockings: Fashionable stockings often worn as part of trendy outfits or in the entertainment industry.
   • Decorative Tights: Tights with lace patterns, rhinestones, and other embellishments for stylish looks.
6. Footwear:
   • Foot Covers and Shoe Liners: Comfortable foot covers used inside shoes for comfort, support, and hygiene, available in a variety of materials.

Key Features of Hosiery Items:

• Comfort and Fit: Hosiery items are designed to offer a perfect fit, providing comfort for long hours of wear.
• Fabric Variety: They are made from various materials, including cotton, wool, nylon, spandex, and synthetic blends, offering diverse features like breathability, elasticity, and softness.
• Durability: High-quality hosiery products from India are known for their durability, ensuring that they retain their elasticity and appearance even after multiple washes.
• Design and Style: The Indian hosiery industry places a strong emphasis on innovative designs, catering to both traditional and modern fashion preferences. Products range from basic styles to trendy, high-fashion hosiery with patterns, textures, and embellishments.

HSN Code for Hosiery Products:

The Harmonized System (HSN) code for hosiery products typically falls under the following categories:

• HSN Code 6115: Pantyhose, tights, stockings, and other hosiery items.
• HSN Code 6110: Sweaters, pullovers, and other knitted or crocheted garments, which may sometimes include hosiery wear as part of knitwear.
• HSN Code 6406: Parts of footwear, including hosiery worn as footwear like shoe liners and foot covers.

Major Manufacturers of Hosiery in India:

India has numerous well-established hosiery manufacturers that cater to both domestic and international markets. Some of the leading manufacturers include:

1. Bata India Ltd.: Known for producing hosiery products as part of its wide range of footwear and accessories.
2. Jockey India: A leading brand in the hosiery industry, Jockey manufactures a variety of hosiery products, including socks and tights.
3. Adidas India: Besides its sports apparel, Adidas produces a range of sports socks and activewear hosiery.
4. Dollar Industries: A prominent hosiery manufacturer known for its high-quality socks, leggings, and other hosiery products, exported to various countries.
5. Rupa & Co.: A major Indian hosiery company that manufactures and exports a wide range of products, including socks, innerwear, and leggings.
6. Wildcraft India: Known for its performance-oriented sports hosiery items like compression socks, sports socks, and thermals.
7. Lux Hosiery: Specializes in producing socks, stockings, and leggings for both the domestic and export markets.
8. Tata’s Westside: Known for high-quality, stylish hosiery, leggings, and socks, catering to modern fashion trends.

Key Export Destinations:

India exports hosiery items to numerous global markets. Some of the major export destinations include:

1. United States: The US is one of the largest markets for Indian hosiery products, particularly socks and leggings, driven by high demand for comfortable and durable clothing.
2. European Union: Countries like the UK, Germany, and France are significant consumers of hosiery products, with both budget-friendly and high-fashion options being in demand.
3. Middle East: Nations such as the UAE, Saudi Arabia, and Kuwait have a growing market for hosiery products, particularly among the younger population.
4. Africa: Countries such as South Africa, Nigeria, and Egypt are significant importers of hosiery items, due to a growing middle class and a rise in demand for comfort-oriented wear.
5. Asia: India also exports hosiery products to countries in Southeast Asia, including Singapore, Malaysia, and Thailand, where the demand for affordable and high-quality hosiery products is increasing.
6. Australia: Hosiery products from India are widely exported to Australia, driven by the market's demand for both functional and fashionable hosiery items.

Export Performance:

India’s hosiery industry has experienced substantial growth over the past few years, driven by both domestic demand and exports. Some of the factors contributing to this growth include:

• Competitive Pricing: Indian hosiery products are known for their affordability, offering a competitive edge in the global market.
• Product Quality: Indian manufacturers adhere to high-quality standards, ensuring durable and comfortable products that meet international regulations.
• Diverse Range: The wide range of hosiery products, from basic to fashion-forward designs, allows Indian exporters to cater to various market segments across the globe.
• Skilled Labor: The availability of skilled labor in the Indian textile sector contributes to the high production standards and efficiency.

Export Incentives:

The Indian government offers several schemes and incentives to encourage the export of hosiery products, such as:

1. Advance Authorization Scheme: Manufacturers can import raw materials without paying customs duties, provided the finished products are exported.
2. Export Promotion Capital Goods (EPCG): This scheme allows Indian manufacturers to import capital goods at concessional duties, enhancing production capacity for export.
3. Duty Drawback Scheme: Manufacturers can claim refunds for customs duties paid on raw materials used in the production of hosiery products intended for export.
4. The ROSCTL (Rebate of State and Central Taxes and Levies) Scheme is an export incentive initiative announced by the Directorate General of Foreign Trade (DGFT) to support textile exporters in India. It provides rebates on various taxes and levies, such as state and central duties, to make Indian textiles more competitive in global markets. The scheme aims to boost textile exports by reducing the tax burden on exporters.
5. Interest Equalization Scheme: This provides financial support to exporters by reducing the interest burden on export loans.
6. Market Access Initiative (MAI): The government supports exporters by facilitating participation in international trade fairs and exhibitions.

Governing Bodies, Export Promotion Councils, and Trade Organizations:

Several organizations and government bodies play a key role in supporting the hosiery export sector:

• Federation of Indian Export Organizations (FIEO): FIEO works to promote India’s export of hosiery items and provides assistance to manufacturers and exporters in areas such as trade policies, logistics, and market intelligence.
• Textile Export Promotion Council (TEXPROCIL): TEXPROCIL promotes the export of textile products, including hosiery items, and provides market support for exporters.
• Ministry of Commerce and Industry: The government body responsible for formulating policies to enhance India’s textile exports, including hosiery.
• Handloom Export Promotion Council (HEPC): The HEPC works to promote handloom and hosiery exports, helping manufacturers tap into global markets.

Challenges:

1. Price Competition: The hosiery industry faces intense competition from countries like China and Bangladesh, where manufacturing costs are lower.
2. Raw Material Price Volatility: Fluctuations in the prices of raw materials such as cotton and synthetic fibers can impact production costs and export pricing.
3. Changing Global Fashion Trends: Keeping up with rapidly changing global fashion trends can be challenging, requiring manufacturers to stay innovative and responsive.
4. Trade Barriers: Tariffs, non-tariff barriers, and other trade restrictions in certain markets can limit growth opportunities for Indian hosiery exporters.

Way Forward:

1. Innovation and Design: To stay competitive, Indian manufacturers should invest in research and development to create innovative designs and new product lines that appeal to international customers.
2. Sustainability: As global consumers demand more sustainable products, the hosiery industry can focus on using eco-friendly materials and promoting sustainable manufacturing processes.
3. Expanding into Emerging Markets: There are significant growth opportunities in emerging markets in Africa, Southeast Asia, and Latin America, where demand for hosiery is increasing.
4. Branding and Marketing: Indian exporters can focus on building strong brands and expanding their global presence through digital marketing, e-commerce platforms, and participation in international trade fairs.

Conclusion:

The export of hosiery items from India continues to be a growing sector due to the country’s strong manufacturing base, skilled labor, and competitive pricing. By focusing on innovation, quality, and sustainability, Indian manufacturers can capture a larger share of the global hosiery market, benefiting from the increasing demand for comfortable, functional, and fashionable hosiery products worldwide.