Shein, Reliance Plan Sale Of India-Made Clothes Globally

Shein Plans To Sell Indian Made Clothes To Overseas Market

SUMMARY

Shein is looking to uptick the number of Indian suppliers to 1,000, from the current count of 150

The Relianced-owned platform in India sells its offering via 7,000 chinese suppliers to over 150 countries it operates in

The move comes amid the tariff concerns and the conditions agreed upon with the Indian government while making a return to India this year

Shein and its partner Reliance Retail are reportedly planning to expand their Indian manufacturing network and start overseas sales of India-made Shein-branded clothes within six to 12 months.

A Reuters report said that Shein is looking to increase the number of Indian suppliers to 1,000, from the current count of 150.

The report further said that currently Shein sells its offering through 7,000 Chinese suppliers to over 150 countries, and the US is one of their biggest markets.

The move comes amid the tariff concerns imposed by the US on China. Earlier, the US tariffs on low-value e-commerce packages from China were imported duty free, Reuters reported.

Founded in 2012, Shein is known for its extensive range of affordable western fashion. It entered the Indian market in 2018 but two years later the Indian government banned the ecommerce application due to the border dispute that strained Indo-Chinese relations.

Earlier this year, Reliance relaunched the Shein app in the country. As per the partnership, the app will operate as a wholly owned subsidiary of Reliance Retail and the data will be hosted on local servers for security purposes.

Inc42 has reached out to Shein and Reliance, the story will be updated after receiving responses.

Shein’s growth in India reflects a broader trend, with international retailers like Walmart showing increased interest in the Indian market. This shift is particularly notable among businesses seeking alternative supply chains outside China due to ongoing US-China trade tensions.

Shien’s Covenant With The Indian Government

Apart from the global tariff tensions which looms around the world, another reason for Shien to build India backed supply chain networks stems from the conditions it has signed with the Indian government.

Shein’s return to the Indian market hinges on the agreement that it would source all its products only from India and make sure that all consumer data remains in India.

Besides, Reliance is trying to capitalise on the growing fast fashion market in India which is poised to become a $112 Bn opportunity by 2030.

Shein’s mobile app has been launched across India.