India's textiles and garment exports experienced a 2.2% decline, totaling $35.8 billion in the fiscal year 2025-26, according to the Global Trade Research Initiative (GTRI). This downturn is attributed to reduced shipments in major segments, including cotton textiles, which fell by 3.9%, and ready-made garments, which saw a 1.4% drop. In contrast, handicrafts recorded a modest growth of 1.5%. GTRI's founder, Ajay Srivastava, noted that while exports in rupee terms showed some increases, the dollar value declined, indicating that currency depreciation rather than true competitiveness is affecting the export landscape. He emphasized the need for the Indian government to investigate why ongoing reforms, such as production-linked incentives and logistics improvements, have not translated into significant export growth, particularly in labor-intensive sectors where India should be gaining market share.