I can make clothes cheaper in China, but why I get them made in India?

The fashion industry has long been driven by cost-efficiency, speed, and scale — and for decades, China has been the undisputed leader in global garment manufacturing. “I can get it made cheaper in China” has become a mantra among many brands looking to maximize margins. But is that always the best choice?

As brands worldwide shift towards more sustainable and ethical practices, the debate between manufacturing clothes in India vs China has taken on a new dimension. Cost remains important, but transparency, communication, sustainability, and social responsibility are no longer optional — they’re expected.

In this in-depth comparison, we’ll explore the strengths and challenges of both countries, backed by facts and industry insights. We’ll also discuss why India is emerging as a top choice for fashion brands that want more than just low prices — they want reliability, ethical manufacturing, and a partner that shares their values.

Manufacturing Clothes in India vs China

1. Industry Overview:

 

China: The Textile Giant

China is the world’s largest textile and garment producer and exporter. According to the World Bank, China accounts for over 35% of global textile exports, from basic apparel to luxury fashion items. The country's manufacturing ecosystem benefits from:

• Extensive infrastructure

• Massive economies of scale

• Advanced automation and robotics

This scale gives China a distinct advantage in producing high volumes quickly and often at lower unit costs for large orders. However, the average hourly manufacturing wage in China has risen to approximately $6.50 in 2023, up from under $2 a decade ago, impacting cost competitiveness.

India: The Rising Powerhouse

India ranks as the world’s second-largest textile and apparel producer. The Indian textile sector contributes around 2.3% to India’s GDP and employs over 45 million people, making it one of the largest employers globally. While India’s manufacturing base is large, it also boasts:

• Rich textile heritage with expertise in natural fibers like cotton, silk, and jute

• Thriving handloom and artisanal segments

• Growing investments in modern textile parks and infrastructure

India combines traditional craftsmanship with modern technology, catering to diverse market needs, from organic sustainable textiles to fast fashion.

2. Cost Comparison: Making Clothes in India vs China

Cost is often the first consideration for brands deciding between India and China.

Labor Costs

• China: Manufacturing wages increased steadily by roughly 8% annually between 2010 and 2023, resulting in an average of $6.50/hour.

• India: Labor costs remain much lower, averaging around $2.50/hour, offering a significant advantage for labor-intensive apparel manufacturing.

Production Costs and Economies of Scale

• China: Massive production volumes allow Chinese manufacturers to leverage economies of scale, reducing per-unit costs for very large orders.

• India: While India’s production cost is slightly higher for some products, government incentives like the Production Linked Incentive (PLI) Scheme and infrastructure improvements are steadily closing the gap.

Hidden Costs to Consider

Beyond sticker price, brands sourcing from China face challenges such as delays due to port congestion, rising freight costs (which surged over 400% during the pandemic), and communication gaps that lead to costly reworks. These hidden costs often tilt the real value toward Indian manufacturing.

3. Quality and Product Specialization

Manufacturing Clothes in China

China produces a wide range of apparel from basic mass-market garments to high-end, technical fabrics and fast fashion. The country invests heavily in:

• Automated cutting and sewing lines

• Advanced quality control systems

• Rapid product development cycles

This technological edge ensures consistent quality and fast turnaround times for large brands.

Manufacturing Clothes in India

India excels in quality when it comes to:

• Natural fibers like cotton (India is the world’s largest cotton producer), silk, wool, and hemp

• Artisanal and handcrafted garments featuring embroidery, dyeing, and traditional techniques

• Sustainable and organic fabric options

Indian manufacturers are known for their attention to detail and customization abilities, especially for small to medium order quantities, with many certified under GOTS and OEKO-TEX standards.

4. Transparency and Ethical Manufacturing

This is where the manufacturing clothes in India vs China debate takes a decisive turn for many brands.

Transparency Issues in China

Despite efforts to improve, many Chinese factories still struggle with:

• Limited transparency about sourcing and labor conditions

• Lack of independent auditing

• Reports of sweatshop-like environments in some regions

In 2022, a global report revealed that over 60% of apparel supply chains linked to China lacked full transparency, raising red flags for brands with strict ethical standards.

India’s Edge on Ethics and Sustainability

India is making significant strides in:

• Fair labor practices: Many manufacturers adhere to international labor standards, provide fair wages, and promote worker welfare.

• Sustainable textiles: India is a leading producer of organic cotton and natural dyes, offering true sustainable garment options.

• Supply chain transparency: Increasingly, Indian factories embrace traceability from farm to finished product, supported by government initiatives like the Sustainable Textiles for India program.

Brands wanting to position themselves as ethical and responsible find India to be a better aligned manufacturing partner.

5. Communication and Collaboration

China’s Language and Cultural Barriers

Language differences and cultural gaps can make clear communication challenging in China, especially for smaller brands without local offices. This can result in:

• Misunderstandings about specifications

• Delays in production

• Difficulty in quality control

India’s Advantage in Communication

India’s workforce boasts a large English-speaking population, making communication smoother and faster. Many Indian manufacturers prioritize:

• Direct and open communication

• Flexible collaboration for design and quality changes

• Closer alignment with Western business practices

This leads to fewer errors and a more collaborative manufacturing process, which is critical for brands with evolving product lines.

6. Sustainability: A Critical Factor for Modern Brands

Sustainability is no longer optional in fashion. Consumers demand environmentally responsible brands, and this impacts sourcing decisions deeply.

Environmental Impact of Manufacturing Clothes in China

China’s textile industry has faced criticism for:

• High water consumption (China accounts for 20% of global water pollution, with textile dyeing a major contributor)

• Heavy use of synthetic fibers and chemicals

• Waste management challenges

Though regulations are tightening, environmental concerns remain significant.

India’s Sustainable Textile Solutions

India leads in:

• Organic cotton: India produces over 50% of the world’s organic cotton, favored by eco-conscious brands.

• Natural dyes and handloom fabrics: These reduce chemical usage and pollution.

• Eco-friendly certifications: Many Indian manufacturers hold certifications like GOTS and OEKO-TEX.

This makes India a preferred destination for brands serious about sustainability.

7. Infrastructure and Supply Chain Efficiency

China’s Integrated Manufacturing Ecosystem

China benefits from:

• Proximity of raw material suppliers, manufacturers, and ports

• State-of-the-art logistics and transport networks

• Efficient export processes

This integrated system enables China to offer rapid delivery times.

India’s Infrastructure Development

India’s textile infrastructure is growing rapidly with initiatives such as:

• PM Mega Integrated Textile Region and Apparel (PM MITRA) parks: Designed to create clusters with modern facilities.

• Improved port connectivity and logistics

• Government incentives encouraging exports

While India’s supply chain still has some challenges, ongoing improvements are closing the gap.

8. Government Support and Trade Policies

China’s Incentives

• China has long supported its textile industry with a range of government-backed incentives, including subsidies, tax rebates, and low-interest loans. These measures have played a critical role in keeping production costs low and maintaining China's dominance as a global textile hub. 

• However, the landscape is shifting. Increasing geopolitical tensions, trade wars, and punitive tariffs—especially from Western markets—have introduced uncertainty. Many brands now face higher duties and less predictability when sourcing from China, prompting a reevaluation of their manufacturing strategies.

India’s Push for Textile Growth

In contrast, India is proactively positioning itself as a competitive and reliable alternative with strong government support. Key initiatives include:

• Production Linked Incentive (PLI) Scheme: Specifically targeted at enhancing the production of technical textiles and man-made fibers (MMF), this scheme offers financial incentives to boost investment and scale up high-value textile manufacturing.

• Favorable Trade Agreements: India is entering or renegotiating trade deals with several key markets, making apparel exports more cost-effective and tariff-friendly for global brands.

• Support for Sustainable and Organic Textiles: The government encourages the production and export of eco-friendly textiles through subsidies and support schemes, aligning perfectly with global sustainability trends.

These policies are not just incentives—they are strategic enablers that help reduce production costs, open up global markets, and promote ethical practices. For brands seeking long-term stability and growth, India's policy framework offers both economic and environmental advantages, making it a smart destination for garment manufacturing.

9. Scalability and Flexibility: What Works Best?

China for Large Scale

China’s strength lies in handling very large orders efficiently, making it ideal for big brands with massive volume needs.

India for Flexibility and Small to Medium Orders

India shines in:

• Customized production runs

• Small and medium order quantities with attention to detail

• Niche markets requiring artisanal craftsmanship

For emerging brands and those wanting to experiment with sustainable or customized apparel, India offers unmatched flexibility.

Why NoName Is Your Best Clothing Manufacturing Partner in India

When it comes to manufacturing clothes in India vs China, having the right partner makes all the difference.

NoName is a premier clothing manufacturer based in India, known worldwide for:

• Ethical and sustainable production practices

• Expertise in organic and eco-friendly textiles

• Flexibility in order size, from startups to established brands

• Transparent pricing and clear communication

• Commitment to quality and on-time delivery

With NoName, brands get more than just a factory — they get a trusted partner dedicated to building a better, sustainable fashion future.

Why India Is the Better Choice for Manufacturing Clothes

Beyond the numbers and logistics, India offers unique advantages that China cannot match in today’s fashion industry:

• Ethical Manufacturing: India’s commitment to fair labor practices and zero tolerance for sweatshop conditions gives brands peace of mind in a world increasingly scrutinizing supply chains.

• Sustainability Leadership: As a global leader in organic cotton production and natural dyeing, India supports the growing consumer demand for eco-friendly apparel.

• Cultural Affinity & Communication: A large English-speaking workforce eases collaboration, speeding up development cycles and minimizing costly errors.

• Government Support & Incentives: India’s textile policies and infrastructure investments are designed to empower manufacturers and exporters, creating a win-win for brands and producers alike.

• Flexibility & Customization: India’s manufacturing ecosystem is ideal for emerging brands or those looking to innovate with small to medium order quantities and artisanal designs.

With increasing geopolitical uncertainties and rising costs in China, India offers a more resilient, transparent, and sustainable option — helping fashion brands not just survive, but thrive.

Conclusion

While China’s manufacturing prowess is undeniable, the evolving needs of modern fashion brands favor India’s unique combination of cost-effectiveness, ethical standards, communication ease, and sustainable textile expertise.

If you want a manufacturing partner who shares your values, provides flexibility, and supports your brand’s growth in the long term, manufacturing clothes in India is the smarter choice.

If you’re considering making the switch or want to learn more about India’s garment manufacturing landscape, reach out to NoName today — your gateway to ethical, high-quality, and flexible clothing manufacturing in India.

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