Spain is the 10th largest exporter of textile and apparel products globally. Its textile and apparel exports witnessed a substantial increase of 5% over the last five years to reach $16 billion in 2016. Its imports increased by 6% CAGR during the last 5 years, and it remained the 8th largest importer of T&A products globally. Spain’s textile and apparel trade balance recorded a deficit of $5 billion in 2016.
Apparel is the largest imported category by Spain, representing 78% of total textile and apparel imports (2016). This is followed by man-made textile, cotton textiles and others with a share of 10%, 8% and 3% respectively. Top 10 suppliers accounted for ~80% of textile and apparel imports by Spain. China is the largest supplier accounting for 21% share, followed by Bangladesh and Turkey with a share of 11% each. In terms of y-o-y exports to Spain, all countries’ exports have grown, excluding China and Italy. India’s exports to Spain grew at 3% y-o-y.
India’s share in Spain’s textile and apparel imports remained stagnant over the past years. India was the 7th largest supplier of textile and apparel products to Spain in 2016. Its exports of T&A to Spain stood at $1 billion in 2016. However, its exports witnessed a growth of 8% over the last five years, with its share remaining stagnant at ~5%. Apparel is the largest category with a share of 77% in India’s T&A exports to Spain. This is followed by cotton textiles and manmade textiles having share of 13% and 6% respectively.
The Spanish apparel industry is expanding fast with the growth of fast fashion brands like Zara and other clothing retailers like Desigual and Mango. Being the world’s 6th largest apparel importer, Spain offers huge potential for India to increase its market share in apparel exports to the country.
Countries like Bangladesh and Turkey have increased their share in Spain’s textile and apparel imports in the past years, owing to their market access arrangements with the European Union. However, India’s share has remained stagnant. India may focus on increasing its export competitiveness by enhancing product quality and service.
By Wazir Advisors