Raymond Lifestyle is looking to expand its presence in Europe as it tries to reduce its dependence on the US market. The apparel company expects Europe to contribute around 20% to 25% of its total exports within the next two years, according to CEO Satyaki Ghosh.
The move comes as changing US tariff policies create uncertainty for Indian garment exporters. The United States has traditionally been Raymond Lifestyle’s biggest export market. Before the latest tariff changes, the US accounted for about 65% of the company’s exports, while Europe contributed around 17%.
Raymond now expects the US share to come down to roughly 55% to 60% over the next two years. At the same time, the company wants Europe’s contribution to rise significantly. Management believes the European market can grow faster as demand increases and new trade opportunities emerge.
The company has already started seeing stronger interest from European buyers. Raymond said inquiries from the region have increased by double digits following trade-deal announcements involving India and European markets. Around 30% of these inquiries are currently converting into orders, with particularly strong interest coming from the United Kingdom.
Raymond has also added new customers in countries including Poland, Germany and France. The company believes that expanding its customer base across Europe will help reduce the risks associated with depending too heavily on a single market.
Trade agreements are another important factor behind the strategy. Better trade access can make Indian-made apparel more competitive in European markets by reducing tariff-related disadvantages. Raymond sees this as an opportunity to increase exports of higher-value clothing and strengthen its position among international fashion and lifestyle brands.
To handle the expected increase in orders, the company is also increasing production capacity. Its manufacturing facility in Andhra Pradesh is expected to more than triple its production lines to 10 over the next two years. Raymond is also expanding operations at its Ethiopia facility to support international demand.
The company’s export business remains an important part of its overall operations. Exports contributed about one-fifth of Raymond Lifestyle’s revenue in fiscal 2026. The company supplies apparel to international customers and owns well-known brands including Park Avenue and ColorPlus.
The shift toward Europe does not mean Raymond is leaving the US market. The US is expected to remain its largest export destination, but the company wants a more balanced geographical mix. This approach could help protect the business from sudden changes in tariffs, trade regulations or demand in any single country.
The broader trend is also important for India’s textile industry. Indian apparel exporters are increasingly looking at markets beyond the US as global trade conditions change. Government data showed that India’s textile and apparel exports to major European markets increased during fiscal 2025-26, while exports to the US declined.
For Raymond Lifestyle, the European expansion could provide a new source of growth while reducing exposure to US-related trade risks. If the company succeeds in converting more European inquiries into long-term orders, Europe could become a significantly larger part of its export business over the next few years.
