Sourcing Products from India for your Brand
As e-commerce platforms become increasingly competitive, sourcing from India has emerged as a game-changer for businesses looking to stand out with unique and exclusive products.
While sourcing from China remains a common choice due to its streamlined processes, familiarity with Amazon FBA requirements, and ease of drop-shipping, the landscape has grown increasingly challenging. High tariffs on Chinese imports in the US, rising labor costs have made sourcing from China less cost-effective for many businesses. This is where India emerges as a promising alternative.
India has rapidly positioned itself as a key sourcing destination for e-commerce entrepreneurs looking to diversify their supply chains. With overall Foreign trade figure reaching $770 billion in FY 2023-24, India offers several unique product categories and materials that are often more cost-effective compared to China.
While India doesnโt produce everything, it excels in certain niches such as textiles, handcrafted goods, eco-friendly products, and organic materials. The countryโs diverse regions specialize in specific productsโfor instance, Gujarat leads in Jewellery, while Rajasthan is known for its handicrafts. Businesses willing to invest time in finding a stand-out product and the right suppliers can get significant benefits, including lower costs, unique offerings, and access to products with cultural and artisanal value.
In this guide, weโll show you why sourcing from India could be a great decision for your business. Weโll cover everything from the KEY benefits of Sourcing from India, to product categories you can source from India to step-by-step process for importing products from India effectively and profitably.ย
Ready to explore the potential of โMade in Indiaโ? Letโs dive in!
Table of Contents
List of Top products Exported from India
India is a global hub for diverse exports, contributing significantly to the international market with its wide range of high-demand products. Among its top exports are petroleum products, gems and jewellery, pharmaceuticals, textiles and apparel, engineering goods, organic chemicals, and leather products, Agricultural products, including spices, tea, and rice, Handcrafted items such as handicrafts and carpets,ย electronic goods and automobiles.
As per India Brand Equity Foundation (IBEF),ย Below is a breakdown and overview of total export figures across major categories for FY 2023-2024
โขGems and Jewellery: US$ 32 billion
โขReadymade Garments:ย US$ 14.51 billion
โขCotton:ย US$ 6.78 billion
โขCarpets: US$ 1.36 billion
โขCoir and Coir Products: US$ 0.41 billion
โขHandicrafts: US$ 4 billion
โขHandloom Products:ย US$ 0.180 billion
โขJute Products:ย US$ 0.4217 billion
โขLeather Products: US$ 4.68 billion
โขSilk Products:ย US$ 0.265 billion
โขSynthetic and Rayon textiles:ย US$ 4.69 billion
โขWool and Woollen Products: US$ 1.7 billion
โขSpices:ย US$ 4.46 billion
โขTea:ย US$ 0.776 billion
โขSporting Goods:ย US$ 0.52 billion
โขPharmaceuticals:ย US$ 27.8 billion
โขElectronic and IT Goods: US$ 200 billion
Why Source products from India?
Interesting Facts about Amazing Manufacturing Hub- India, Made in India Products
- India’s textile industry holds the title for being the top global producer of cotton and second-largest exporter. India also leads the world in organic cotton production.
- India is the largest global producer of Jute, a highly biodegradable fibre accounting for about 75% of estimated world production.ย
- India exports about 85-90% of the total carpets it produces and is the largest exporter in the world. India is responsible for around 40% of worldwide exports of handmade carpets.
- India is the sixth largest exporter of textiles and apparel products in the world with a massive raw material and manufacturing base.
The Indian leather industry ranks as the Second-largest producer of leather footwear and garments, Third-largest exporter of saddlery and harness, Fourth-largest exporter of leather goods on a global scale.Out of the total leather and leather products exported out of India, the footwear segment accounts for the majority of exports.
- India’s production of hand-woven fabric accounts for 95% of the global production. Infrastructure that includes 2.4 million looms, this industry boasts significant production capacity. This sector is the second-largest employment provider in rural regions.
Indiaโs gems and jewellery exports contribute approximately 4.3% to global exports, positioning the country as the sixth-largest exporter worldwide. India leads in the export of cut and polished diamonds (26.5%), silver jewellery (29.8%), and synthetic diamonds/stones (29%), holding the top rank in these categories. Additionally, India ranks fourth in the export of coloured gemstones, accounting for 5.1% of the global market share.
- India is the world’s second-largest producer of silk, exporting raw silk, natural silk yarn, fabrics and made-ups, readymade garments, silk waste, and handloom products made of silk.
India is among the top exporters of handicrafts globally, with the sectorย employs over seven million people. The country produces a wide range of handcrafted items and the handicraft industry in India is predominantly led by women, who make up more than 56% of the artisan workforce.
- India is the second-largest producer of both polyester and viscose globally, Ranks sixth in the export of Manmade Fibre (MMF) textiles. India is World’s third-largest producer of synthetic fiber and ranks second in the production of cellulose fiber/yarn. The MMF( Man Made Fibre) industry accounts for 17% of India’s textile exports.
- Indiaโs wool and woollen industry is the seventh largest in the world and one of the important sectors of Indiaโs rural economy.ย The woollen yarn and articles of apparel & clothing accessories, both knitted and non-knitted, are among Indiaโs largest exported woollen products.ย
- Banana fibre is incredibly durable, biodegradable and eco-friendly and increasingly used for a variety of home products. India contributes to 22% of global banana production.
- India is the worldโs largest spice producer. It is also the largest consumer and exporter of spices.
- India is the second-largest producer of tea globally andย is among the top 5 tea exporters in the world making about 10% of the total exports.
- Indiaโs share of pharmaceuticals and drugs in the global market is 5.71%. It is the largest provider of generic medicines globally. The country has a share of 20% in the global supply volume and contributes to around 60% of the global vaccines. India majorly exports drug formulations & biologicals, and these products contribute to about 75% of the total pharmaceutical exports out of India.
Source: India Brand Equity Foundation, Ministry of Commerce and Industry, Government of India (www.ibef.org)
Benefits of Sourcing Products from India
1. Hub of Artisans and Handcrafted Products
India is renowned for its handmade artisanal goods, which are unique, culturally rich, and sustainable. Products like handicrafts, natural fiber-based goods, and sustainable items not only have a higher perceived value due to the labor-intensive process but also stand out in the market. Additionally, sourcing from India supports underprivileged artisan communities and preserves traditional crafts.
2. Cultural Storytelling
Many products from India come with a rich cultural heritage that can enhance your marketing strategy. Artisanal goods often have unique stories behind their creation, adding a layer of authenticity that resonates with customers looking for meaningful purchases.
3. Wide Variety of Product Categories and skilled artisans and workforce
Indiaโs manufacturing sector spans diverse categories beyond handicrafts and textiles, including gemstones,ย jewellery, organic products, leather goods, home decor, and wellness items among many others. This diversity allows businesses to source a wide range of products from one country. With millions of artisans and skilled workers, youโll find top-notch craftsmanship at competitive prices.
4. Lower Minimum Order Quantities (MOQs)
Indian suppliers, especially those offering handmade goods, allow for small trial orders, often starting at 50 units per item ( with an exception to textiles, clothing products). This flexibility is ideal for entrepreneurs launching their first product, unlike Chinaโs large-scale production requirements.
5. Cost Benefits
Indiaโs strong production base for natural materials like cotton, jute, and metals, coupled with abundant cheap labor, keeps costs competitive. There are also no tariffs on Indian imports to the US, unlike Chinese products, further reducing costs for American businesses and With FTA Agreements with some other countries like Australia you can import products with low or no import duties.
6. Flexible MOQs: Many Indian suppliers, especially those specializing in handmade goods, offer low minimum order quantities (MOQs). You can start with as fewer units ( with exception to apparel/ textile products) making it ideal for small businesses and Amazon sellers.
7. English proficiency: With English as a widely spoken language, communicating with Indian suppliers is seamless. Most manufacturers are proficient in English, making it easier to convey requirements and avoid misunderstandings.
8. Protection from IP Infringement
Indian suppliers prioritize intellectual property protection. Unlike in China, Indian manufacturers are less likely to copy designs or compete directly by selling on platforms like Amazon.
9. Constant Innovation and Design
Indian factories invest heavily in research and development. Their design teams continuously create new collections, giving you access to fresh ideas and trends tailored to global markets.
10. Sustainability and Eco-Friendly Practices, Ethical production
India has a strong focus on eco-friendly and sustainable production methods. From using natural dyes in textiles to crafting products from renewable resources like bamboo, jute, and rattan, Indian manufacturers align with the growing global demand for environmentally conscious products.
This focus on ethical production helps businesses align with socially responsible practices, which are increasingly important to todayโs consumers.
Key Product Categories to Source from India
Made in India Product List
Buyers interested in sourcing products from India and expanding their offerings need a clear understanding of the countryโs diverse manufacturing capabilities. India provides endless opportunities across a wide range of product categories, making it a valuable destination for e-commerce businesses. Below is a comprehensive list of popular product categories exported from India, perfect for exploring new opportunities:
Textiles and Clothing
โขWide range of fabrics and garments for men, women, and kids, including basic, value-added, and outerwear.
Home Furnishings and Made-Ups
โขProducts like bed linen, duvet covers, bathmats, towels, curtains, blankets, cushions, throws, and kitchen textiles.
Home Dรฉcor
โขDecorative items crafted from metal, stone, brass, aluminum, jute, natural fibers, and wood.
Furniture
โขHandmade furniture using materials like wood, metal, vintage leather, velvet, bone inlay, terrazzo, and agate.
Carpets and Floor Coverings
โขHandwoven and machine-made carpets and rugs made from wool, cotton, PET, and jute.
Leather Products
โขHigh-quality leather bags, rugs, ottomans, wallets, belts, and cow hides.
Natural Fiber and Eco-Friendly Products
โขOrganic cotton, stainless steel kitchen products, bamboo furniture, sea grass, banana fiber, and jute items.
Tableware, Kitchenware, and Bathroom Accessories
โขItems made from marble, wood, glass, natural fibers, and stainless steel.
Fashion Accessories
โขShawls, stoles, scarves, and bags with various materials and intricate value additions.
Jewelry and Gemstones
โขJewelry crafted from silver, gold, metals, and gemstones, including certified stones like emeralds, rubies, and sapphires.
Garden Products
โขTools, ornaments, planters, and accessories for outdoor living.
Christmas and Festive Dรฉcor
โขSeasonal decorative items for holidays and festivals.
Stationery
โขPaper-based products, eco-friendly notebooks, and accessories.
Candles and Aromatics
โขScented candles, incense, and essential oils.
Ethnic Arts and Crafts
โขTraditional handicrafts reflecting Indiaโs rich cultural heritage.
Lamps and Lighting Accessories
โขHandmade lighting products, including lamps and decorative fixtures.
Sporting Equipment
โขFitness and sports gear like yoga mats, cricket bats, and footballs.
Health and Wellness Products
โขHerbal oils, Ayurvedic remedies, and holistic wellness products.
Nutraceuticals and Pharmaceuticals
โขHigh-quality dietary supplements, functional foods, and medicines.
Organic Food
โขProducts like spices, grains, tea, coffee, moringa, and turmeric, aligning with global organic trends.
Hair Products
โขHuman hair extensions, wigs, and salon essentials sourced ethically.
Metaphysical and Spiritual Products
โขCrystals, meditation tools, and chakra healing kits for wellness and spirituality.
Step-by-Step How to Source products from India
RESEARCH IT: Product Research
Start by identifying the product you wish to source and evaluate if India is the right destination for your product. Research market trends, product demand, validate your product and determine if Indian suppliers specialize in manufacturing the specific items you want and confirm if you can source your product profitably from India.
India doesn’t produce everything like China, but it shines in offering unique, one-of-a-kind products that stand out worldwide like natural fiber items, handmade goods, and value-added creations can be sourced from India in exceptional quality at highly competitive prices.
Also, Many buyers overlook the importance of understanding the sourcing landscape, but taking this step can save you significant time and money. Research Indiaโs manufacturing hubs and supplier locations to ensure youโre sourcing from a region that specializes in your product, with skilled labor and easy access to raw materials to get the best price and quality. Additionally, understanding where shipping ports are located in India, their proximity to suppliers/ factories allows for better planning and cost savings through consolidated shipments.
Want to learn about the Best products to Source from India, Top product Categories, Manufacturing hubs and Shipping ports. Check out ‘India’s Manufacturing Marvels’ that provides you all this information in one place.
India's Manufacturing Marvels
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SPECIFY IT: Prepare detailed Product Specifications for your product
Create a product specifications document with all product details, including product dimensions, fabrics/materials, colours, pantone nos., embellishment/prints/artwork details, design, branding, packaging, and quality/ compliance standards. Clear product specifications help suppliers understand your requirements, reducing production errors and ensuring consistent quality. It also helps manufacturers provide accurate cost estimates and streamlines the sampling and approval process.
Want to learn how to make a product specification document or a Tech pack, read the blog-ย Creating techpack
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FIND IT: Find Reliable Suppliers
How to Find Best India Manufacturers in India online
Now, on to, exciting step of sourcing products from India – finding the right suppliers! Sure, there are a lot of options out there, but don’t let that overwhelm you. With a little bit of research, you can easily find your ideal supplier.
There are various methods and platforms to Find Suppliers in India online.ย
Attending domestic trade shows and conferences in India offers a valuable opportunity to meet potential suppliers in person, build relationships, and directly evaluate their products. With a little bit of research, you can easily find the perfect supplier who will help take your business to the next level.ย
Attending Overseas Trade shows-
- Canton Fair, Guangzhou, China
- Ambiente, Frankfurt, Germany
- Heimtextil- Frankfurt, Germany
- Autumn and Spring Fair โ Birmingham, UK
- Maison & Objet โ Paris, France
- International sourcing show- Melbourne, Australia
There are also several Buyer Seller Meets, conferences and Trade shows organized by export promotion councils of India globally that see participation of Indian Suppliers. You must regularly check the websites of export promotion councils to stay up-to-date with upcoming events.
India has many export promotion councils that focus on different product categories like The Gems and Jewellery Export Promotion Council (GJEPC) for gems and jewellery and Jute Products Development and Export Promotion Council (JPDEPC) for jute and jute products. Export Promotion Councils (EPCs) support Indian exporters by promoting products internationally, facilitating trade connections etc. They maintain database of exporters for their specific product category and can also be approached to get details.
You can also find suppliers in India through online supplier directories like Global Sources and Alibaba. These are export-focused directories and the location filter ‘India’ can be used to find export-focused Indian suppliers on these platforms.
There are directories like Indiamart, Tradeindiaย as well but you must tread with caution when finding suppliers in India on these platforms as most suppliers listed on these platforms are domestic sellers, may not have export licence, won’t be familiar with export procedures and could be intermediaries and not manufacturers themselves. Infact, most good and top suppliers are not on these platforms.
How to Verify Suppliers in India
Before contacting potential Indian suppliers, verify their legitimacy, confirm they are genuine manufacturers or exporters, assess their infrastructure, and check for accreditations to ensure they meet international quality standards.ย
Watch the video below to learn all about How to Verify Suppliers in India online to determine if they are Legit, Export-focused, Quality Manufacturer.
Also Read: How to Find Reliable Suppliers in India
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COST IT: Request quotes, conduct cost and profit analysis
Approach at least 8-10 suppliers, request quotations by providing them with a detailed Request for Quotation (RFQ) containing your product specifications. This helps you get multiple quotes on the same product, you can compare prices, see where most quotations are sitting and determine the market price.
Then, Evaluate the suppliers based on their quotations and conduct a cost-profit analysis. To calculate costs and profits accurately, focus on four key factors: product cost, packaging cost, shipping cost, and import duty percentage. Ask suppliers for quotes on different order quantities to compare prices and understand how order size affects costs. Check if the product cost includes standard packaging or if extra charges apply for special packaging. For shipping costs, provide details like size, weight, and volume to a freight forwarder for an accurate estimate. The duty percentage is based on the total invoice value and can be confirmed by a customs broker or freight forwarder to determine the total cost of the product. You can also look it up online by finding the HS code for your product.
SAMPLE IT: Request and Evaluate Samples
After evaluating costs, shortlist at least three suppliers and request product samples to review. Assess the samples for fabrics/material, size, colour, quality, workmanship, design, trims, embellishments and finishing. This step ensures youโre selecting the most suitable supplier who is providing costs and product quality closest to your requirements.
Also read: How to check Proto Samples
ORDER IT: Negotiate price and terms with your preferred supplier and Place Official Purchase Order
Once youโve identified your preferred supplier in India, negotiate pricing, payment terms, lead times, and order terms, raise an official purchase order documenting all agreements with your chosen supplier to formally confirm the order.
A purchase order should include the buyerโs and supplierโs names and addresses, order date, and a unique purchase order number. Key details like item codes (SKUs), barcodes, descriptions, sizes, colours, quantities, and prices must be specified. Include delivery terms, shipping method (sea or air), delivery date, payment terms, port details, and product or packaging specifications. Additionally, outline quality & compliance parameters, inspection requirements, and terms and conditions including clauses for delays, quality issues etc. are crucial to include. The supplier must confirm acceptance by returning a proforma invoice (PI). Make the advance payment if required as per the agreed payment terms.
MONITOR IT: Provide all Production related approvals and Monitor Production
Once the order is placed, supplier will provide pre-production sample and various other product materials etc. to get your formal approval before proceeding with bulk procurement and production. You must review all submissions thoroughly and provide all necessary product approvals. You must also monitor the production process closely by being in touch with supplier and ask for updates. Maintaining communication with the supplier ensures timelines and quality standards are adhered to.
INSPECT IT: Create Inspection Plan
Quality inspections are crucial to ensure product compliance and prevent defects, so you must create an inspection plan by either hiring independant quality inspectors or third-party inspection agencies.
Inspections are conducted at three stages: Initial Production Inspection (IPI) at the start to verify materials and processes, During Production Inspection (DPI) midway to catch issues early, and Final Pre-Shipment Inspection (PSI) when 80-90% of goods are ready.
Defects are categorized as minor, major, or critical. Minor defects, like slight scratches or misaligned labels, donโt affect usability but may impact aesthetics. Major defects, such as incorrect dimensions or faulty stitching, can render the product unusable. Critical defects, like broken components or safety hazards, make the product unsafe or non-compliant. A detailed inspection report helps address these issues, ensuring products meet quality standards before shipping.
Pre-shipment inspection is most crucial and goods must never be moved without this step. Review the inspection report thoroughly to avoid receiving defective goods.ย
SHIP IT: Make Payment and Ship your Goods
Finalize the payment, usually with balance payment upon inspection approval. Coordinate with a freight forwarder to organize shipping, by providing shipment details such as weight, dimensions, volume, and destination address. The freight forwarder will assist in booking your shipment, and handle customs clearance. Youโll need to provide essential documents like the commercial invoice, packing list, bill of lading (B/L), and certificate of origin. In some cases, specific documents such as a fumigation certificate, may also be required.
After customs formalities, the goods are transported to the shipping port or airport and shipped to their destination. Freight forwarders track the shipment, manage unforeseen issues, and ensure the goods arrive safely and on time and you must stay in touch with them for updates.
REORDER IT: Check stock, Review Sales and Reorder
Once the goods arrive at your warehouse, conduct a thorough physical inspection to ensure they match the specifications and quality of what was ordered. Check for any damage, discrepancies, or missing items during transit. After confirming everything is in order, proceed to launch your product range. Monitor sales closely, analyzing performance and customer feedback to assess market demand. Based on sales reports, plan and place reorder stock well in advance to avoid stockouts and ensure continuous availability.
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