Reasons To Invest

Invest in Man-made fibres
2nd largest producer of both polyester and viscose globally
Invest in Man-made fibres
India produces almost all the types of synthetic fibres, be it polyester, viscose, nylon or acrylic
Invest in Man-made fibres
MMF textile industry in India is self-reliant across the value chain right from raw materials to the garmenting.

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FDI Norms

100% FDI (automatic route) in the textile and apparel sector in India. FDI in the textiles and apparel industry has reached up to $3.4 bn during 2020.
FDI
100%

FDI Allowed

Did you Know?

By 2040, it is expected that consumption of polyester globally will be approximately three times to that of the cotton fibre. Hence, the manmade fabrics form one of the most attractive segments for future investments. Focus of the Indian manufacturers on cotton, their lack of technical know-how, domestic unavailability of select raw materials for high end products, and their low willingness to invest in innovation and product development make this segment a large untapped opportunity.

Government Support

Abolition of anti-dumping duty

India has removed the anti-dumping duty on Purified Terephthalic Acid (PTA), a key raw material for the manufacture of manmade fiber and yarn. GST on cotton is five per cent across the entire textile value chain whereas GST rates on manmade fibers and textiles are 18 per cent, 12 per cent and five per cent on fiber, filament yarn/spun yarn and fabrics respectively. This inversion in the duty structure was corrected. So rationalization of GST on the manmade fiber value chain will help to boost growth of the manmade fiber sector.

National Technical Textile Mission

Technical textiles is one of the fastest growing sub-segments in India and has been recognised as a champion sub-segment under textiles. With a view to position the country as a global leader in technical textiles, the Prime Minister and his Cabinet Committee on Economic Affairs (CCEA) have given the approval to set up a National Technical Textiles Mission with a total outlay of USD 194 Mn in February, 2020. 
The Mission shall be set up for a four-year implementation period from FY 2020-24

Remission of Duties and Taxes on Exported Products (RoDTEP) Scheme

In order to enhance exports to international markets, CCEA chaired by Prime Minister Narendra Modi, has given its approval for introducing the Scheme for Remission of Duties and Taxes on Exported Products (RoDTEP). This would lead to cost competitiveness of exported products in international markets and better employment opportunities in export-oriented manufacturing industries.

RoDTEP scheme will take under its ambit refund of GST taxes and import/customs duties for inputs along with VAT on fuel used in transportation, mandi tax, duty on electricity used during manufacturing.

Trade Scenario

India’s export of man-made textile and apparel stood at $ 16 Bn in 2017-18

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Within the imported knitted fabrics, the major fabric types include 100% Polyester, Polyester-Spandex, Nylon and Nylon-Spandex based fabrics primarily used in sportswear & fashion wear.
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Major export markets for man-made filament fibres are: USA, Belgium, Nepal, Bangladesh, Indonesia etc. India's major markets for man-made filament yarn are: Turkey, Brazil, Bangladesh, Egypt, USA etc. India's major markets for man-made fabric are: UAE, Bangladesh, Pakistan, Afghanistan, Sri Lanka etc.
Man-made fibres

Major Investors

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Infrastructure Map

Product Profiles

Amongst the top 15 traded MMF based categories, India has a comparatively higher share in categories like polyester filament yarn, carpets, dresses, blouses and t-shirts.

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Purified Terephthalic Acid (PTA) is a key raw material component in the polyester value chain and reacts with Mono Ethylene Glycol (MEG) in the process of continuous polymerisation for producing polyester.
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The PTA industry is a highly organised industry, with Reliance Industries, Mitsubishi and IOCL being the only PTA manufacturers in India. Likewise, the MEG industry is highly organized as Reliance Industries, India Glycols and IOCL being the only MEG manufacturers in India.
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The polyester stable fiber production as of 2017-18 stands at 852 million kg
Polyester

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2021
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