Textile Stocks Soar Up to 44% in 2 Days: Gokaldas, Indo Count Lead Rally

Shares of textile companies continued their sharp rally for the second straight session on Wednesday. Several stocks surged up to 44% over the last two trading days, even as the broader market remained flat.

The rally was triggered after the US reduced tariffs on Indian exports from 50% to 18%, improving India–US trade relations and export prospects for the sector.

Gokaldas, Indo Count and Others in Focus

Gokaldas Exports hit the upper circuit for the second day in a row, rising nearly 20% to around ₹835. Over 2 days, the stock jumped about 44%.

Other textile stocks also saw strong buying:

• Faze Three rose 20%
• Indo Count Industries gained 20%
• Kitex Garments climbed 17%
• Pearl Global Industries advanced 8%

In contrast, the BSE Sensex was largely flat during the session.

Why Textile Stocks Are Rallying

The sharp cut in US tariffs, along with recent trade agreements with the UK and EU, gives Indian textile exporters a long-term advantage.

Lower tariffs improve profitability and cash flows by making Indian products more competitive in global markets. This also supports capacity expansion and steady export growth.

Read More: Union Budget 2026: Deadline for Revised ITR Filing Extended to March 31!

India Gains Edge Over Asian Peers

India currently holds about 8% share of US textile imports worth around $102 billion. Since the Covid period, India’s market share has improved, while China’s share has declined sharply.

With US tariffs now at 18%, India has a cost advantage over other Asian exporters such as China, Bangladesh, Vietnam, Sri Lanka, and Pakistan, where tariffs range between 19% and 30%.

This opens up access to a much larger export opportunity of about $344 billion across the US, UK, and EU markets.

Conclusion

The sharp rally in textile stocks reflects optimism around lower tariffs, stronger export demand, and India’s growing competitiveness in global textile markets. If these trends continue, earnings growth for textile exporters could remain strong in the coming years.

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