The Indian ethnicwear market is undergoing a dynamic transformation. Consumers are increasingly drawn to outfits that bridge the gap between traditional and contemporary design. Leading brands like Biba and Manyavar are at the forefront of this movement. They are taking classic silhouettes like the kurta and lehenga and revamping them with modern fabrics and cuts. This creates a wider appeal, attracting a new generation who appreciates both style and comfort.
But it is not just established names that are shaping the industry. A wave of fresh design talent is making its mark. These designers are reinterpreting traditional embellishments and embroidery techniques, offering unique and trendy pieces. This approach breathes new life into age-old traditions, resulting in a diverse range of options that cater to today’s customers. Ultimately, this fusion of heritage and modernity allows people to express their style while staying connected to their cultural roots.
This article delves into the intricate world of ethnic wear in India, exploring its multifaceted nature. We will get an overview into the market and notable investments that are shaping the industry. We will also help identify different drivers and trends encouraging the growth of ethnicwear in India.
Market Sizing
In FY 2022, the ethnicwear market accounted for 30% of the total apparel market, amounting to US$ 15.47 billion. According to Aditya Birla Fashion’s MD Ashish Dikshit, “Ethnicwear is the largest apparel category in India at 30% (Rs 1.84 trillion) of the Rs 6.15-trillion domestic apparel market.”
The unorganised sector dominated the ethnicwear market, comprising 77% of it. Ethnicwear represented 6% of the total menswear market, valued at approximately US$ 21.27 billion.
In women’s fashion, ethnicwear held a significant share of 67% in the total womenswear market, valued at around US$ 19.14 billion.
Growth Drivers
The Indian ethnicwear market is a vibrant tapestry where tradition and modern sensibilities intertwine. This ethnic retail market thrives on many different factors that come together to shape it.
One key driver is the growing middle class. With increased disposable income, consumers can now invest in quality ethnic wear for various occasions, making it a desirable choice not just for festivals and weddings but for everyday wear as well.
People want to feel more connected to their heritage thus they feel more proud of their culture, which makes them want to buy ethnic clothing. Especially younger generations look for ways to show their cultural identity through their clothing.
The increasing participation of women in the workforce is also contributing to this market’s growth. It demands comfortable yet stylish ethnicwear that combines traditional with modern styles. Working women require outfits that can be used in the office as well as evening gatherings while retaining elegance and cultural essence.
Designers are meeting this changing demand by giving classic styles a modern update. The result is a fusion style, that appeals to a wider audience, particularly younger generations. Fusion wear refers to an amalgamated apparel or lifestyle product that incorporates both international and Indian design sensibilities. This can involve using globally trendy prints or color combinations on traditional Indian garments like kurtas. For example, palazzos from the Indian wear segment have become versatile pieces that women pair with both Indian and Western tops.
Technology also plays a crucial role in the market’s growth. The convenience and vast selection offered by online retail platforms have increased online sales. Consumers across the country, and even the globe, can now access a diverse range of ethnic wear options from the comfort of their homes. Additionally, omnichannel retail strategies, which integrate online and in-store shopping experiences, and virtual trial rooms that allow customers to try on clothes virtually, have made shopping even easier and more appealing.
Impact of the Indian Diaspora
The Indian diaspora, particularly Non-Resident Indians (NRIs), play a vital role in shaping the demand and trends for ethnic wear in India. Their strong cultural ties fuel their interest in traditional clothing like sarees, salwar kameez, lehengas, and sherwanis. NRIs like Indra Nooyi, Mira Nair, and Anita Desai, though distant in physical geography, have remained close to their roots, proudly wearing stunning pieces of Indian clothing.
Beyond NRIs, Bollywood and its celebrities wield immense influence over ethnicwear trends. Movies and celebrity appearances set the bar for style, often creating widespread trends. Celebrity endorsements for specific styles or designers, red-carpet appearances showcasing elaborate ethnicwear and designer collaborations featuring popular celebrities all contribute significantly. For example, movie star Ranveer Singh donned a dazzling Sabhyasachi sherwani at a prestigious event in Morocco, while Alia Bhatt stole the show in a breathtaking Sabyasachi saree. Social media further amplifies this influence, with celebrities sharing their ethnic wear looks with millions of followers, driving consumer demand and propelling the ethnicwear market forward. Social media influencer like Ankush Bahuguna making his Cannes debut showcased the blend of traditional Indian elements with modern fashion.
Challenges
The vibrant tapestry of India’s ethnicwear market, while thriving, faces challenges that threaten to unravel its threads. One major hurdle is the ever-shifting sands of fashion trends. Bollywood’s immense influence, for example, can create unrealistic expectations. The heavily embellished and stylised ethnicwear showcased on screen can be a far cry from everyday wear or the budget of the average consumer. This disconnects between aspirational celebrity styles and the reality of affordability and practicality can leave many feeling disillusioned.
Another challenge lies in balancing affordability with quality. The market’s growth attracts new players, making it crucial to maintain consistent quality standards across fabrics, embellishments, and stitching. Upholding the heritage and value proposition of ethnicwear necessitates a focus on quality control, especially as the market strives to balance affordability with keeping up with trends.
Finally, the industry grapples with sustainability concerns. The growing demand for ethnicwear can lead to increased production and potential environmental consequences. Sustainable practices, such as using eco-friendly fabrics and dyes, and ethical sourcing of materials are becoming increasingly important considerations for the industry’s future. Finding a harmonious balance between tradition, contemporary trends, and responsible production is crucial for the ethnicwear market’s sustained growth and global appeal.
Trends
The global push towards eco-friendly practices is being implemented ethnicwear market. As sustainability becomes more critical, designers are expected to use eco-friendly fabrics, organic dyes, and ethical production methods. Companies like Fabindia have launched new sustainable collections. They use organic cotton and natural dyes, supporting local artisans.
A major trend in ethnicwear is the blending of diverse cultural elements, leading to unique and eclectic designs. Traditional motifs and embroidery from different regions will be combined into single garments, appealing to a global audience. Brands like Biba and Global Desi offer a wide range of traditional clothing options where designs blend traditional craftsmanship with modern elements.
Traditional silhouettes will always hold their charm. Designers will introduce new cuts, asymmetrical patterns, and innovative draping styles, alongside traditional embellishments and embroidery. This blend will offer a fresh perspective on ethnicwear, making it suitable for both conventional and contemporary settings.
The influence of technology on ethnicwear is growing, with designs increasingly incorporating digital embroidery. These modern techniques add a new dimension to traditional garments. Labels like Sabhyasachi and Manish Malhotra have imbibed digital embroidery on their couture.
Nostalgia is bringing back vintage styles from different eras. Designers will reinterpret historical garments with a modern twist. The incorporation of vintage textiles, embroidery techniques, and silhouettes will bring a timeless elegance to contemporary ethnic fashion.
Future Outlook
The men’s ethnicwear market is projected to reach US$ 6.8 billion in FY 2032, with a Compound Annual Growth Rate (CAGR) of 18%. The women’s ethnicwear market is expected to reach US$ 61.5 billion in FY 2032, with a CAGR of 17%.
The dominance of ethnicwear in women’s fashion can be attributed to its versatility as both daily wear and occasion wear. On the other hand, men primarily wear ethnic attire for special occasions like weddings and festivals.
Thus, the Indian ethnic wear market is expected to boom, driven by factors like rising disposable incomes, a growing taste for customisation, and the increasing popularity of Indian fashion globally. Look for online sales to surge as consumers seek convenience, while customisation options like personalised stitching and virtual try-on technology will cater to individual preferences.
