India Textile Market Research Report and Industry Forecast

India Textile Market Overview:

The India textile market size was valued at USD 146.55 Billion in 2024. The market is projected to reach USD 213.51 Billion by 2033, exhibiting a CAGR of 3.85% from 2025-2033. The market is fueled by amplifying consumer demand, increasing penetration of e-commerce, and a growing preference for sustainable fabrics. Innovation in textile production technologies, combined with changing fashion trends, is transforming the industry scenario. The rising middle class and urbanization are also continuing to drive demand across various segments of textiles. These cumulative factors are driving the development of the industry and reinforcing its position at home and abroad, propelling the India textile market share.

The heightening demand for value-added and specialty textile products is one of the prime movers of the India textile market. This trend is influenced by the rising complexity of consumer tastes, which increasingly go beyond the fundamental apparel needs to encompass a vast array of functional, aesthetic, and occasion-driven textile products. With consumers demanding more specialized experiences, producers are expanding ranges to incorporate mixes, finishes, and patterns that serve particular end-uses like sportswear, formal wear, home textiles, and ceremonial wear. As per the sources, in April 2025, Techtextil India featured the launch of 'Sporttech Pavilion' to highlight India's sports textiles industry, seeking to increase innovation and international exposure in performance and sustainable textiles. Moreover, the emphasis has been on comfort, performance, and design innovation, which is leading textile manufacturers to invest in product differentiation and quality improvement. Also, the growth of organized retailing and private labels is creating a competitive market that rewards innovation and responsiveness in textile manufacture. The industry's capacity to evolve with changing tastes and provide niche, value-added textile segments continue to drive the India textile market demand in domestic as well as export markets.

An alternative key growth driver for India's textile sector is integration of supply chain capabilities in spinning, weaving, processing, and garmenting. The nation's capacity to undertake mass-scale, end-to-end textile manufacturing has turned into a strategic value driver, facilitating efficiency, consistency, and agility in coping with diverse buyer demands. Textile cluster development, facilitated by infrastructural advancements, reduced lead times in production and simplified logistics, especially for export-oriented initiatives. According to the reports, in February 2025, RSWM launched its Panchtatva-themed textile range at Bharat Tex 2025 in New Delhi, showcasing element-based fabrics—fire, moisture-wicking, breathable, green, and graphene-treated—showcasing a sustainable innovation trend. Furthermore, the ease of backward and forward integration makes it possible for companies to exercise greater quality control and cost savings while coping with tight schedules. Such operational synergy not only enhances profitability but also enables Indian textiles to be more competitive in global markets. In addition, government-supported infrastructure developments and industrial parks have facilitated the growth of textile clusters, improving access to skilled labor and raw materials. The strength of this integrated system is a vital driver of scale, speed, and supply chain resilience, making it a core force in driving the market's long-term momentum.

India Textile Market Trends:

Demographic Growth and Evolving Consumer Preferences

India’s growing population and rising disposable incomes are central to the expansion of its textile market. With projections estimating the national population to reach 1.52 billion by 2036, the consumer base is poised for significant growth. This demographic surge directly translates into greater demand for apparel, home textiles, and fashion-related products. Simultaneously, evolving consumer preferences are reshaping India textile market trends. Consumers are being attracted to sustainable and environmentally friendly textile products, echoing the wider environmental thinking. As awareness of being "green" grows, manufacturers are embracing green production practices, organic cotton, natural colorants, and biodegradable materials. These trends illustrate how demographic and lifestyle considerations combine to fuel demand. The combined forces of a growing population and increased sustainability consciousness set the textile industry up for robust, long-term growth. This is a trend that highlights how consumer-driven evolution is not merely transforming product choices but also driving innovation in design, production, and marketing approaches across India's dynamic textile environment.

Technological Innovation and Smart Manufacturing

Technological innovation is taking on a growing central role in the definition of the Indian textile industry. From digital printing and automation to the development of smart textiles, technology is transforming the design, production, and delivery of textiles. These technologies improve production efficiency, minimize environmental footprint, and allow for the production of high-performance fabrics with extended functionalities. For instance, moisture-wicking, UV-blocking, and sensor-embedded textiles are picking up pace in fashion as well as industrial segments. Also, automated machines and AI-driven quality control systems are optimizing consistency and throughput in manufacturing facilities. India's adoption of cutting-edge textile technologies places the nation in a position to address not just mass-market needs but also niche, high-value niches on a global scale. With Industry 4.0 integration going deeper, Indian textile companies are making R&D investments to remain competitive. Ultimately, this technological thrust aids India's general textile market analysis in its shift from traditional to modern, innovation-based sector status.

Digital Commerce and Fashion-Driven Consumption

The fast growth of India's e-commerce market is strongly attributed to impacting the fabric consumption behavior. Online channels provide easy access to a range of fabric goods, ranging from ready-to-wear apparels to ethnic wear and home textiles. As India's e-commerce market is expected to expand from USD 123 billion in FY24 to USD 292.3 billion in FY28, online channels are becoming more and more prime distribution and engagement touchpoints. This online transformation has democratized access, particularly in Tier 2 and Tier 3 cities, allowing customers to browse trends and buy from various domestic and international brands. Simultaneously, the textile industry remains closely linked with changing fashion trends. The continually shifting nature of consumer preferences necessitates ongoing adjustments in design and manufacture. From seasonal collections and influencer-led styles, fashion cycles drive recurring market activity and innovation. This trend supports India's textile market demand and emphasizes how digital and aesthetic drivers collectively drive market dynamism in an interconnected retail environment.

India Textile Industry Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the India textile market, along with forecasts at the country and regional levels from 2025-2033. The market has been categorized based on product, raw material, and application.

Analysis by Product:

• Natural Fibers
• Polyesters
• Nylon
• Others

Polyester has an undisputed dominance in the Indian textile market with a share of around 61.8% in the product category. Its supremacy is due to its favorable characteristics, such as stability, resistance to wrinkles, and affordability, which endear it for both clothing and industrial uses. Polyester is widely applied in fashion, sportswear, home, and technical textiles because of its versatility and ease of blending with other fibers like cotton and viscose. Also, the rise in demand for performance and easy-care fabrics from consumers has increased the use of polyester in fast fashion and ready-to-wear applications. Easy mass production and ease of handling in automated processes further increase its popularity among producers. With the market changing, new technologies like recycled polyester and bio-based solutions will likely take center stage, mirroring the amplified focus on sustainability. Therefore, polyester remains at the top of the product range, backed by both demand in volume and shifting technological advances.

Analysis by Raw Material:

• Cotton
• Chemical
• Wool
• Silk
• Others

As per the India textile market analysis, cotton dominates the raw material category of the Indian textile industry at 54.7%, testifying to its long-established role in the country's textile tradition and contemporary industry. Cotton's inherent characteristics of breathability, softness, and comfort render it extremely popular in a range of end-use sectors, most notably fashion and home textiles. India's large local cotton production guarantees easy availability, stabilizing raw material prices and supply. The fiber is central to traditional industries like handloom and khadi, as well as big-sized spinning and weaving. Cotton's versatility also sees it being utilized across a broad range, from ethnic and casual wear to towels and bedsheets. Additionally, as demand for natural and biodegradable fibers increases globally, cotton remains the choice of environmentally friendly consumers and brands too. Its compatibility with synthetic and cellulosic fibers further enhances its use in varied textile blends. This makes cotton a raw material of prime importance in India's textile economy.

Analysis by Application:

• Household
• Technical
• Fashion and Clothing
• Others

The fashion and clothing application area is a key driver of the Indian textile industry, operating as one of the most vibrant and demand-intensive application segments. The segment covers a wide spectrum, ranging from ethnic clothing, western clothes, activewear, and formal wear, indicating the diversity of India's consumer and cultural landscape. Seasonal fashion, changing lifestyles, and the follow-through of global fashion trends consistently redefine demand, prompting textile players to continually upgrade in terms of design of the fabric, texture, and finish. With urbanization and rising incomes, consumers highly look for branded and fashion-led clothes, boosting the market further. In addition, the expansion of online retail platforms has facilitated increased availability of fashion fabrics, particularly in tier II and tier III cities. Sustained style cycles of preference also guarantee market movement consistent with the passage of time, supported by fast fashion and designer collaborations. Consequently, fashion and apparel continue to be an integral application space within India's growing textile value chain.

Regional Analysis:

• North India
• West and Central India
• South India
• East and Northeast India

South India is one of the key centers in the Indian textile industry, acting as a support for traditional and industrial-scale textile manufacturing. South India is characterized by many textile clusters, especially in Tamil Nadu, Karnataka, and Andhra Pradesh, which provide a wide range of spinning, weaving, and garment manufacturing activity. The prevailing favorable climate, availability of skilled labor, and established infrastructure allow South India to be a favorable location for textile operations. It is also aided by the existence of cotton-producing regions and port access, both for domestic supply and export logistics. The region is also a leader in incorporating high-end technologies and automation in textile processes, leading to higher productivity and quality output. Training centers and educational institutions also provide further support to a skilled human resource, leading to the region being self-sufficient and innovation-based. As India consolidates its role in international textile exports, South India remains a key to the determination of the industry's competitiveness and regional economic contribution.

Competitive Landscape:

The competitive forces in the India textile market outlook show a scenario characterized by strategic investments, innovation, and vertical integration. Many regional and national players are consolidating their position through upgrading production facilities, automation of processes, and ecofriendly initiatives with the focus to minimize the environment footprint and maximize efficiency. Businesses are taking end-to-end solutions from raw material supply to finished products, so that there is greater control over cost, quality, and lead times. The power to respond quickly to shifting consumer tastes and seasonal patterns has emerged as a key differentiator, especially with shrinking fashion cycles and increased demand for made-to-order products. Further, the India textile market forecast highlights the role of design innovation and value-added services to tap new consumer groups nationally and globally. Players are also venturing into niche segments like performance textiles and recycled fibers to meet changing needs. Generally, competitiveness will be significantly defined by technological responsiveness, supply chain resilience, and sustainability commitments over the forecast period.

The report provides a comprehensive analysis of the competitive landscape in the India textile market with detailed profiles of all major companies.

Latest News and Developments:

• June 2025: Uniqlo has announced the opening of its first store in Bengaluru, which is to open, at Orion Mall. This will be its 16th store in India and the first in southern India, increasing its offline presence after witnessing robust e-commerce demand, and selling LifeWear for men, women, children, and infants.
• February 2025: Ranbir Kapoor introduced his lifestyle label 'ARKS', featuring high-end clothing, accessories, and footwear with a minimalist, contemporary look. The brand included functional, high-quality men's and women's wear with a mix of functionality and fashion. ARKS was inspired by Kapoor's vision in terms of design, which resonated with India's growing need for premium casual wear and subtle fashion.
• February 2025: Citrus Clothing added to its Odisha presence by opening three experiential stores in Bhubaneswar, Puri, and Angul. The stores featured personalized styling, technology-led fashion experiences, influencer collaborations, and eco-friendly practices.
• January 2025: Kate Spade New York grew its footprint in India with the opening of a new store at Phoenix Mall of Asia in Bengaluru. In partnership with Reliance Brands Limited, the store featured handbags, apparel, shoes, jewelry, and accessories that embodied the brand's signature feminine spirit and complemented the luxury shopping experience of Indian consumers.

India Textile Market Report Scope:

Key Benefits for Stakeholders:

• IMARC’s report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the India textile market from 2019-2033.
• The research study provides the latest information on the market drivers, challenges, and opportunities in the India textile market.
• Porter's Five Forces analysis assists stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the textile industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.