Domestic Garment Market before Covid-19 crisis stood at Rs.6.5 lakh crores: CMAI Study

11 September 2020: As per the CMAI Apparel Consumption Study, the size of the Domestic Apparel Market before Covid-19 crisis was stood at Rs.6.5 lakh crores. The study was conducted with the assistance of A.C.Nielson, India’s premier Market Research Agencies, involving a sample survey of over 80,000 households.

According to Rahul Mehta, Chief Mentor of CMAI, CMAI estimates that the consumption will go down by approximately 30% in the year 2020-2021. Various surveys conducted by CMAI over the last few months also indicate at least 20% of respondents shutting business unless markets improve substantially. It is estimated that most manufacturers have also planned a reduction in employee strength by 20% to 25%. Considering that the Garment Industry employs around 12 million people, this reduction amounts to an alarming figure.

The biggest issue confronting the Domestic Apparel Market is the slow recovery of consumer sentiment, and hence the strong decline in domestic sales. The market is expected to revive to around 70% of previous year’s levels by the 3rd Quarter, with the festive season setting in.