Apparel exports have shown a dramatic improvement in November.

Figures released by the Apparel Export Promotion Council on Friday showed that the growth in exports over the previous year, which had been negative through most of 2009, falling to an abysmal low of 17.62 per cent in October, hit a positive 6.04 per cent in November.

The upturn is a result of strong festive buying in the United States and Europe — two of India’s biggest overseas markets — during the Christmas season.

“This festive season has definitely been better than last year’s. Orders have improved over the last six months,” said Rajendra Hinduja, managing director of the Rs 1,175-crore Gokaldas Exports, India’s largest apparel export house.

“Some of the growth may look exaggerated due to last year’s low base, but there is no denying a recovery in demand,” said D. K. Nair, secretary general, Confederation of Indian Textile Industries.

August-September to November is the biggest spending season in developed economies and orders for Christmas account for as much as 35-40 per cent of their annual buying.

Another indicator of the revival is big firms expanding capacities again, a trend not witnessed for the last 18 months.

Gokaldas started its 47th factory in Hyderabad in September with a capacity to produce 1.2 million garments a year.

Another big exporter, Gurgaon-based Orient Craft, recently started a new facility in Bhiwadi, Rajasthan, with a capacity to produce 250,000 garments a year.

“Most definitely this has been a better Christmas than last year and nearly all garment manufacturers have seen an upsurge in demand,” said Sudhir Dhingra, chairman and managing director, Orient Craft Ltd. “How sustainable it is, we will only know in a few months from now.”