Raymond Lifestyle, the Indian apparel maker behind brands such as Park Avenue and ColorPlus, has told Reuters it expects Europe to make up roughly 20–25% of its exports within two years as it seeks to reduce dependence on the United States.
What the shift involves
The move comes as exporters in India reassess their exposure to the US market following recent US tariff developments. Raymond’s chief executive, Satyaki Ghosh, said the company’s share of shipments to the US — which had previously been substantially higher — will fall, while sales to Europe will rise.
"Europe will grow faster for us," Ghosh told Reuters.
Senior management reported an increase in enquiries from European buyers since the announcement of trade deals between India, Britain and the European Union. According to the company, around 30% of recent European inquiries have converted into orders, with notable demand coming from the United Kingdom.
Production and markets
To meet growing European demand, Raymond is boosting capacity at its plant in Ethiopia and significantly expanding production lines at its Andhra Pradesh facility in southern India. The company said the Andhra Pradesh site will increase to 10 production lines over the next two years.
Raymond also already supplies international retail names including JCPenney and Charles Tyrwhitt, and has recently added customers in Poland, Germany and France. Management anticipates that Europe’s contribution to exports will climb to roughly a quarter within two years, while the US share is expected to reduce to between 55% and 60%.
Context for the industry
India’s textile and apparel exporters have been adjusting their market strategies after the introduction of US reciprocal tariffs. Government data cited by Reuters indicates that exports to the 10 largest European markets rose by 9% to ₹69,445 crore (around $7.29bn) in 2025–26, the year after the US tariff announcements, while shipments to the US fell by 7%.
This wider trend helps explain Raymond’s strategy: seeking to spread risk across more regions and capture demand created by new trade agreements. For British retailers and consumers, the shift could mean more sourcing from Indian suppliers, supported by smoother tariff arrangements under recent trade accords.
What shoppers and retailers should note
- Supply diversification: Brands may increasingly source garments from India for European markets, potentially stabilising prices and supply timelines that were affected by tariff disruptions.
- Growth in European relationships: Raymond’s new customers in Poland, Germany and France — and stronger UK inquiries — suggest broader continental demand rather than reliance on a single large market.
- Manufacturing changes: Increased capacity in Ethiopia and Andhra Pradesh shows how firms are reconfiguring production to meet shifting order patterns.
| Region | Recent share (approx.) | Expected share (in ~2 years) |
|---|---|---|
| United States | ~65% (historical peak); currently higher than Europe | 55%–60% |
| Europe (including UK) | ~17% historically for Raymond | 20%–25% |
For British lifestyle and retail readers, the practical takeaway is straightforward: as trade patterns shift and suppliers diversify, UK high-street labels and online retailers may see an expanded pool of competitively priced garments sourced from India. However, the speed of change will depend on factory expansions, order conversion rates and how trade deals are implemented in practice.
Raymond’s approach reflects a wider recalibration across the textile sector: companies are looking to spread market risk and seize opportunities created by fresh trade relationships. For shoppers, that could translate into steadier availability of certain ranges and styles; for industry watchers, it underlines the continuing importance of trade policy in shaping where and how everyday fashion is made.
