Policy shifts create new reality for India's polyester industry

India's polyester industry faces a pivotal moment as policy shifts create both opportunities and challenges. GST reforms reduce tax rates on man-made fibres from 18% to 5%, boosting polyester competitiveness against cotton in domestic markets. However, 50% US tariffs threaten India's largest textile export market, forcing strategic diversification. This analysis examines how India can leverage domestic policy changes to build an integrated polyester value chain whilst navigating trade disruptions. We explore India's path to PTA self-sufficiency through 5.4 million tonnes of new capacity by 2030 and MEG import dependency challenges. With per capita fibre consumption at just 6.3 kg versus the global average of 14.5 kg, India's domestic market presents significant growth potential for polyester substitution.