Textiles and apparel exports from India are estimated to increase to US$ 65 billion by 2016-17 from US$ 40 billion in 2013-14.

Indian Textiles and Apparel Industry Analysis

Latest update: September, 2016

Rising production of man-made fabric

  • Production of man-made fibre has been on an upward trend.
  • Production stood at 1.34 million tonnes in FY15 with the figure reinforcing a recovery from 2009 levels.
  • During the period of FY07-15, production increased at a CAGR of 2.0 per cent.
  • During FY16 (April-October 2015), production stood at 0.77 million tonnes.

Cotton is the main segment in yarn and fabric

  • Production of yarn grew to 673.60 Lakh Kgs in FY15 from 626.30 Lakh Kgs in FY11, implying a CAGR of 1.8 per cent.
  • Production of yarn between April to October’15 stood at 399.30 Lakh Kg.
  • Cotton yarn accounts for the largest share in total yarn production; in FY15, the segment’s share amounted to 61 percent.


Last Updated: October, 2016

The textile and apparel industry can be broadly divided into two segments - yarn and fibre, and processed fabrics and apparel. India accounts for ~14 per cent of the world's production of textile fibres and yarns (largest producer of jute, second largest producer of silk and cotton, and third largest in cellulosic fibre). India has the highest loom capacity (including hand looms) with 63 per cent of the world's market share. 

The domestic textile and apparel industry in India is estimated to reach US$ 141 billion by 2021 from US$ 67 billion in 2014. Increased penetration of organised retail, favourable demographics, and rising income levels are likely to drive demand for textiles.India is the world's second largest exporter of textiles and clothing. 

Textile and apparel exports from India are expected to increase to US$ 82 billion by 2021 from US$ 40 billion in 2014. Readymade garments remain the largest contributor to total textile and apparel exports from India. In FY15 the segment had a share of 40 per cent of all textile and apparel exports. Cotton and man-made textiles were the other major contributors with shares of 31 per cent and 16 per cent, respectively.

Rising government focus and favourable policies is leading to growth in the textiles and clothing industry. Foreign direct investment (FDI) in textile sector increased to US$ 1,587.8 million in FY15 from US$ 1,424.9 million in FY14. The Ministry of Textiles is encouraging investments through increasing focus on schemes such as Technology Up-gradation Fund Scheme (TUFS). To promote apparel exports, 12 locations have been approved by the government to set up apparel parks for exports. As per the 12th Five Year Plan, the Government plans to provide a budgetary support of US$ 4.25 billion to textiles. Free trade with ASEAN countries and proposed agreement with European Union will also help boost exports. 

Sectoral Presentation (October, 2016)

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Textiles India

Textiles and Apparel Zones
Textiles and Apparel Zones in India


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The technical textile industry in india worth US$ 17 billion is expected to grow at a rate of 20 per cent annually to reach US$ 36 billion by 2016-17.

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