Strong demand in India quite supportive for future growth of denim industry

– By Manjula Gandhi Leading mills are confident that denim will continue to grow in the years to come, at a rate higher than the current one, and if projections are

any indication, its growth will reach 10-12 per cent on a CAGR basis. This optimism is largely due to the expanding denim market, both domestically and internationally. According

to a recent forecast by Research and Markets, a reputable market research firm, the global market for jeans will reach US$87.4 billion by 2027 after being revised from US$63.5

billion in 2020, growing at a CAGR of 4.7 per cent from 2020 to 2027. Denim is the market segment that has recovered the quickest from the pandemic outbreak. India has long been a

leader in denim fabrics, and more recently, the domestic jeans market has been expanding steadily, in fact more quickly than the rate of global expansion. According to various

market studies, the Indian domestic denim market has been maintaining an average CAGR of 8 to 9 per cent for a few years and is expected to reach Rs 91,894 crore by 2028.

India is developing its denim industry… With an annual capacity of over 1600 million meters, India has the second-largest installed capacity for denim fabrics in the

world, behind China. The estimated total number of denim fabric mills currently in operation in the nation is over 50 in the organized segment, which is around 60 per cent greater

than it was ten years ago. About 850–900 million meters of the total capacity of Indian denim fabric are consumed domestically, including production of local jeans for export. The

remaining fabric is exported to nations like Bangladesh, Colombia, Venezuela, Egypt, and Sri Lanka, among others.