India witnessed growth in its apparel exports in May to $1.49 billion a rise by 24.96 percent, despite sluggish shipment to established partners in countries like U.S. and Europe. The growth in apparel exports is mainly attributed to the strong demand from non-traditional markets like Latin America, East and West Asia and Southern Africa.

India’s apparel exports which accounts 80 percent from U.S. and European market due to its solid footing. But with industry shifting its focus to new markets including Japan and Latin America, it is likely to touch $17 billion this year, a growth of 15 percent.

According to the Apparel Export Promotion Council (AEPC), the spike in apparel exports is the result of labor and regulatory problems in major competitor markets including Bangladesh, China and Myanmar.

Looking forward, industry leaders remain buoyant. If the upward trend continues next month, commerce secretary Rajeev Kher said that it would confirm “a revival in global demand” for India-made products. The increase in total exports as “an encouraging sign” and noted that the appreciating rupee was not a factor.

However, the knitwear exporters are appealing for the Reserve Bank of India’s intervention to “limit” the rupee’s rise against the dollar so as to obtain better unit value from the exports.

While, Clothing Manufacturer’s Association of India (CMAI) sees India’s apparel exports set to cross $17 billion mark in fiscal year 2015, up from $15 billion in 2014.

The value of apparel exports in the first two months of the current fiscal year stand at $2.81 billion, a 20 percent increase from the corresponding period of last fiscal year. While, India’s total textile exports stood at $32 billion of which apparel exports were $15 billion in fiscal year 2014.