India - Knitting the Future

India is among the world's largest producers of Textiles and Apparel

The domestic apparel & textile industry in India contributes approx. 2.3 % to the country’s GDP, 13% to industrial production and 12% to exports. India has a 4% share of the global trade in textiles and apparel.

India is one of the largest producers of cotton and jute in the world. India is also the 2nd largest producer of silk in the world and 95% of the world’s hand-woven fabric comes from India. Total textile exports are expected to reach $65 Bn by FY26 and is expected to grow at 10% CAGR from 2019-20 to reach $190 Bn by 2025-26.

The textiles and apparel industry in India is the 2nd largest employer in the country providing direct employment to 45 Mn people and 100 Mn people in allied industries. 

India has also become the second-largest manufacturer of PPE in the world. More than 600 companies in India are certified to produce PPEs today, whose global market worth is expected to be over $92.5 Bn by 2025, up from $52.7 Bn in 2019.

  • India is set to achieve $250 Bn textiles production and $100 Bn exports by 2030.
  • The domestic apparel & textile industry in India contributed to 2% to the country’s GDP, 7% of industry output in value terms.
  • India holds 4% share of the global trade in textiles and apparel. The share of Textiles and apparel in overall export basket of India was 10.33% during 2021-22.
  • The production of Eri and Muga silks, increased by 6% and 6.7% respectively during 2021-22.

For further details, please refer FDI Policy

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    cotton producer globally in 2022-23

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    India is the 2nd largest consumer of cotton globally

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    India is the 3rd largest exporter of Textiles & Apparel globally

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One of the largest consumers and producers of cotton in the world.

Second largest manufacturer of PPE and producer of polyester, silk and fibre in the world

Second largest employment provider in India after agriculture

Industry Scenario

India is the 5th largest producer of technical textiles in the whole world with a market size of nearly $22 Bn, which we hope to build up to $300 Bn when we turn 100 by 2047.

The textiles and apparel industry in India has strengths across the entire value chain from fiber, yarn, fabric to apparel. The Indian textile and apparel industry is highly diversified with a wide range of segments ranging from products of traditional handloom, handicrafts, wool, and silk products to the organized textile industry in India. The organized textile industry in India is characterized by the use of capital-intensive technology for the mass production of textile products and includes spinning, weaving, processing, and apparel manufacturing.

Cotton plays a major role in sustaining the livelihood of an estimated 6 Mn cotton farmers and 40-50 Mn people engaged in related activity such as cotton processing & trade.

India’s trade of technical textile products has been growing strongly and the country has been a net exporter. India’s exports of technical textile products grew from $2.21 Bn in 2020-21 to $2.85 Bn in 2021-22, registering a growth rate of 28.4% (YoY).

  • India’s Textiles Exports were highest ever in FY 2021-22, crossing $44 Bn
  • India is a largest cotton producer (23%) in the world and has the highest area under cotton cultivation (39% of world area). Cotton plays a major role in sustaining the livelihood of an estimated 6.5 Mn cotton farmers.
  • India produced 94 Lakh bales of raw jute in FY 2022-23 as per the 3rd Advance Estimate Of Directorate Of Economics And Statistics (DES).
  • The Indian textile and apparel market size is estimated around $165 Bn in 2022, with domestic market constituting $125 Bn and exports contributing $40 Bn.
  • The market size of the industry is projected to grow at a 10% CAGR to reach $350 Bn by 2030.

India scaled its highest ever exports tally at $44.4 Bn in Textiles and Apparel (T&A) including Handicrafts in FY 2021-22, indicating a substantial increase of 41% and 26% over corresponding figures in FY 2020-21 and FY 2019-20, respectively.

India's estimated cotton production is 5.84 MMT during 2022-23 i.e. 23.83% of world cotton production of 24.51 MMT. India is also the 2nd largest consumer of cotton in the world with estimated consumption of 5.29 MMT i.e. 22.24% of world cotton consumption of 23.79 MMT.


  • Presence of world class infrastructure

    India’s production is centered on cotton products, which reduces its chances to take China’s current position as the world leader in textile manufacturing.

  • Increased focus on technical textiles

    Due to growth of end-user industries such as automotive, healthcare, infrastructure and oil and petroleum

  • Abundance of raw material and availability of skilled manpower

  • Presence of entire value chains and large and growing domestic market

  • Competitive manufacturing costs and organized retail landscape & e-Commerce

  • Rising per capita income, higher disposable incomes and preferences for brands


Production Linked Incentive (PLI) Scheme

Government has launched the Production Linked Incentive (PLI) Scheme with an approved outlay of INR 10,683 Cr to promote production of MMF Apparel, MMF Fabrics and Products of Technical Textiles in the country to enable Textiles Industry to achieve size and scale and to become competitive. Achievements: • Centre approves 64 applications under the Production Linked Incentive scheme for Textiles. • In the approved 64 applications, the proposed total investment is INR19,798 Cr and projected turnover of INR 1,93,926 Cr with a proposed employment of 2,45,362. • A total of 12 companies have proposed to set-up projects under the said Scheme in Madhya Pradesh, 7 companies in Uttar Pradesh and 4 companies in Rajasthan.

  • INR 10,683 Cr

    Scheme Outlay

Industrial Land Bank Portal

GIS - based map displaying available infrastructure for setting up business operations in the state.

Investible Projects

Investment Opportunities in Textiles & Apparel

    Major Investors

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    Asked Questions

    What is the time required for customs clearance for imports/exports ?

    ICD (Inland Container Depots) Delhi-Time taken from arrival of cargo to filing of declaration by importer- 10 days 14 hours 11 minutes.

    ICD (Inland Container Depots) Bangalore- 5 days 23 hours 36 minutes

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    Government Plan / Vision for the Textile and Apparel sector. Is there a strategic vision / plan in place for the mid to long term? (i.e., export growth, employment, contribution to GDP, ecosystem development).

    The Indian textile and apparel industry is expected to grow at 12% CAGR to reach US$ 250 Bn by 2030. India has a 4% share of the global trade in textiles and apparel. The industry (including dyed and printed) attracted foreign direct investment (FDI) worth US$ 4 Bn from April 2000-December 2022. The textiles sector has witnessed a spurt in investment during the last five years.

    • Contribution to GDP- 2.3%
    • Employment- 45 Mn, Employed Labor, 2nd Largest Employer after Agriculture
    • 100 percent FDI allowed
    • Market Size: 154 Bn

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    Brief on the FTA (Free Trade Agreements) ?

    India is currently in the process of negotiating FTAs with EU, Australia, UK, Canada, Israel and other countries/ region. Indian firms get an immediate price advantage when such duties become zero due to FTAs (free trade agreements). Indian firms also get a level playing field with firms from Vietnam and Bangladesh, whose products enter the EU and the US at zero duty.

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    Which are some of the foreign companies which have Invested in India in Textiles?

    Some of the foreign companies which have invested in India and have set up their manufacturing facilities in India are Avgol (Israel), Hyosung (Korea), Perennials (USA), Lindstorm (Finland), and Youngone (Korea), Nanliu (Taiwan), Kimberly Clark (USA) amongst others.

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    Details on Brand Sourcing from India at different price levels ?

    Price points are confidential information between the buyers and suppliers, however there are major International brands and retailers present in India who are sourcing on various price points, such as: H&M, Zara, Uniqlo, M&S, PVH, Decathlon, Hugo Boss, Bestseller etc.

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