India’s Textile Sector is Shaping the Global Market

The India textile market is picking up serious momentum, supported by smarter tech and changing user preferences. As more buyers look for eco-friendly, premium-quality products, manufacturers are stepping up with automation, digital tools, and flexible production systems. These shifts aren’t just making things faster but also opening the door to more creative, customized designs. Sustainability is now a crucial focus, influencing everything from how products are made to how they are sold. With agile operations and a sharper focus on innovation, Indian textile companies are making their mark on the global stage. The pace of growth is strong, and digital adoption is only accelerating it. As of 2024, the India textile market reached USD 146.55 Billion, according to IMARC Group, highlighting the sector’s rising growth.

Stitching the Next Chapter: Industry Trends to Watch

The Green Loom: The Rise of Sustainable Textiles

Sustainability is becoming a key focus in India's textile sector, as producers are progressively adopting organic cotton, natural dyes, and water-saving methods. Rising interest in eco-friendly products is encouraging brands to enhance transparency, leading to wider adoption of sustainability certifications. In 2025, the Clothing Manufacturers Association of India (CMAI) introduced the SU.RE website and Sustainable Supply Chain Directory, connecting brands with 600+ verified eco-friendly suppliers. This program promotes ethical sourcing and strengthens India's increasing role in the worldwide sustainable fashion industry.

Data Meets Dye: How Tech is Transforming Textiles

Textile manufacturing in India is becoming quicker and more intelligent owing to automation and data-centric systems. Artificial intelligence (AI) and Internet of Things (IoT) technologies are enhancing efficiency, ranging from predictive maintenance to quality assessments. Digitally connected looms and automated dyeing systems improve accuracy while reducing waste, assisting manufacturers in meeting strict deadlines with reliable production and decreased expenses. These advancements are playing a key role in expanding the textile industry market share in India by driving competitiveness and operational excellence.

Stitching the Economy: Incentives for a Brighter Future

Government-led textile policies are playing a significant role in accelerating market growth by fostering capital investment, modernizing infrastructure, and generating employment opportunities. These initiatives focus on enhancing the textile value chain, improving workforce skills, and attracting private sector participation to build strong regional ecosystems. A notable example is the Gujarat Textile Policy 2024, which aimed to attract INR 30,000 crore in investment and create substantial employment, thereby reinforcing Gujarat’s leadership in the textile sector and contributing to India's overall textile manufacturing and export capacity.

From Loom to Login: The Digital Transformation of Textile Trade

The transition towards digital wholesale platforms is enhancing market growth by making it easier for international buyers to access Indian textile products. These platforms facilitate instantaneous communication, adaptable order sizes, and quicker sourcing, simplifying the connection between international retailers and Indian manufacturers while enhancing sourcing options effectively. In 2025, the Ethnic World.com launched a B2B online store, connecting global bulk buyers with Indian ethnic wear manufacturers. It offers flexible MOQs and streamlines wholesale textile sourcing through a user-friendly digital platform.

The Textile Lineup: Segments Weaving India’s Growth Story

Top Textile Product Categories to Watch:

• Natural Fibers: Natural fibers continue to be an essential part of the textile market in India, appreciated for their comfort, environmental friendliness, and cultural importance. Fabrics like cotton, wool, and silk are commonly utilized in fashion, home, and traditional uses.
• Polyesters: Polyesters represent the largest segment, accounting 61.8% market share because of its durability, cost-effectiveness, and versatility in various end-use industries. It is greatly preferred in athletic apparel, trendy fashion, household textiles, and specialized fabrics owing to its robustness and low upkeep.
• Nylon: Nylon offers high elasticity, abrasion resistance, and lightweight strength, making it ideal for demanding applications. Its smooth texture and durability enhance performance, supporting its use in various specialized textile products.
• Others: Others encompass unique and specialty fibers like acrylic, viscose, modal, and blends designed to meet particular market needs. These items provide benefits like gentleness, moisture control, and design versatility.

Key Raw Materials Driving the Loom:

• Cotton: Cotton holds the biggest market share with 54.7% owing to its significant role in both conventional and contemporary uses. Its adaptability, airflow, and inherent comfort make it the favored option in fashion, home decor, and industrial applications.
• Chemical: Chemical fibers, including synthetics and blends, are gaining traction due to strength, adaptability, and domestic capacity. Innovations in fiber engineering support rising demand across apparel, industrial, and technical textile applications.
• Wool: Wool is valued for its warmth, coziness, and luxurious quality, especially in winterwear. Enhanced processing and blending improve versatility, while its biodegradable nature strengthens appeal in environmentally aware and premium textile markets.
• Silk: Silk remains a prized textile material known for its sheen, softness, and elegance. Its premium appeal benefits both handloom and power loom sectors, with rising demand for artisanal craftsmanship.
• Others: Others include innovative and specialty fibers like acrylic, viscose, modal, and blends that cater to specific market demands. These products offer advantages, such as softness, moisture management, and design flexibility.

Textile Applications: Where the Fabric Ends Up

• Household: Household textile is expanding alongside urban development and improved lifestyles. There is a rise in the demand for practical, fashionable items like curtains and bed linens. Emphasis is placed on comfort, longevity, and sustainable materials throughout design and manufacturing.
• Technical: This segment is becoming popular, driven by industrial demands in healthcare, agriculture, and construction. Support from the government and advancements in materials are supporting performance-oriented growth in high-demand specialized textile applications.
• Fashion and Clothing: Fashion and Clothing lead the market because of fast-moving trends, rising brand consciousness, and the growing popularity of domestic and international apparel labels. The segment benefits from a large talent pool in design and production, a robust supply chain, and continuous innovation in fabric quality and styles.
• Others: Others cover niche and emerging applications that are gradually gaining traction in the market. This includes textiles used in packaging, filtration, sports, and defense.

India's Textile Tapestry: Regional Threads Unraveled

North India: Powering Growth with Cotton, Connectivity & Capital

North India has a robust standing in the industry, backed by abundant raw materials like cotton and wool, a compact network of mills, and reliable transportation infrastructure. Strategic governmental initiatives persist in propelling regional development. For example, in 2025, the Chief Minister of Uttar Pradesh declared the establishment of a Mega Textile and Apparel Park in Lucknow under the PM MITRA Scheme, with the goal of generating 50,000 jobs. Supported by INR 3,800 crore in investment interest and INR 700 crore in MoUs, the park will include combined weaving, dyeing, and processing facilities to enhance output.

West and Central India: Industrial Strength Meets Sustainable Vision

West and Central India are crucial in the textile sector because of their solid industrial framework and significant production of synthetic fibers. Steady access to raw materials, preparedness for exports, and favorable government policies enhance the region’s competitiveness. This segment is continuously striving for sustainable development by encouraging renewable energy and implementing policy changes. In 2025, Chief Minister Devendra Fadnavis of Maharashtra promoted the incorporation of solar energy in textile processes. A collaborative committee will investigate renewable options and infrastructure enhancements to effectively assist spinning mills and power loom industries.

South India: A Global Hub of Tech & Sustainability

South India dominates the industry, propelled by a robust manufacturing foundation, advanced spinning capabilities, and thorough involvement in global supply networks. The area is recognized for its well-structured groups, high-tech manufacturing plants, and forward-thinking attitude toward sustainability and regulatory standards. In 202, the Good Fashion Fund invested $2 million in K.K.P Fine Linen to set up a sustainable unit in Tamil Nadu, including an Effluent Treatment Plant, promoting environment-friendly practices and supporting greener home textile production. With its extensive production capacity, skilled workforce, and strong export infrastructure, South India continues to play a central part in shaping India's biggest textile market.

East and Northeast India: Weaving Tradition into Ethical Innovation

Eastern and Northeastern India are becoming prominent textile centers, bolstered by focused governmental efforts to encourage regional growth and job creation. These areas take advantage of plentiful natural fibers and vibrant handloom customs, which are now being incorporated into contemporary production. Emphasizing ethical manufacturing, they are utilizing worldwide certifications to enhance trust in global markets. In 2024, Assam’s Eri Silk, the only vegan silk globally, earned Germany’s Oeko-Tex certification for sustainable production. This recognition enhanced its global export potential and reflected the rising international demand for ethical, eco-friendly textiles.

The Road Ahead: Predictions for the India Textile Market

According to IMARC Group’s projections, the India textile market is projected to grow at a CAGR of 3.85% from 2025 to 2033, reaching USD 213.51 Billion by 2033. The growth will be support by the following factors:

• Textile Parks Sparking Change: The creation of textile parks in semi-urban and rural regions is fostering growth by increasing production, creating jobs, and enhancing local infrastructure. These parks draw investment, boost skills development, and fortify supply chains, fostering equitable industry growth. In 2025, Karnataka’s Chikkamagaluru district plans two textile parks under a public-private partnership, aiming to create 8,000+ direct jobs, empower local women, boost regional development, and generate indirect employment through improved infrastructure and investment.
• Fabricating a Cleaner Tomorrow: Initiatives aimed at lowering carbon emissions and saving water are greatly aiding the sustainable change in industry. Producers are progressively embracing energy-saving technologies, cleaner manufacturing methods, and eco-friendly infrastructure to achieve international sustainability standards. In 2025, Fashion for Good and Arvind Ltd. initiated Future Forward Factories India, a significant project aimed at creating a near net-zero textile production plant in Gujarat. Aiming for a 93% decrease in greenhouse gas emissions and significant water conservation.
• The AI Wardrobe: AI is revolutionizing the textile sector by providing exceptionally tailored shopping experiences. Through the examination of preferences, body shapes, and lifestyle information, AI improves styling precision, boosts user contentment, and minimizes returns. This data-informed strategy enhances user interaction, promotes brand loyalty, and fosters sustainable decisions. In 2025, Slayrobe introduced India's first AI-driven styling platform for women, providing personalized outfit recommendations, wardrobe organization, and a sustainable fashion marketplace, while cultivating a supportive, harassment-free community for self-expression and fashion confidence.

Threads of Change: Navigating India's Evolving Textile Market

The rising emphasis on sustainability, and evolving user demands, and adoption of advanced technologies is significantly boosting the textile industry size in India, positioning it as a crucial manufacturing leader. With increasing competition, Indian textile companies are adjusting to international trends, enhancing efficiency, and providing tailored products. Progress in production and sustainability is transforming the industry. Creativity and customization are altering product approaches, while changes in regulations and market trends require strategic anticipation. Businesses utilizing prompt insights secure a competitive advantage. With significant growth prospects, the Indian textile industry continues to be a major focus for investment, development, and sustained economic impact.

How IMARC Group Drives Innovation in the India Textile Market:

IMARC Group supports stakeholders in the India textile market by providing strategic intelligence to navigate the dynamic and growing sector. Our services help clients identify new opportunities, mitigate risks, and foster innovation in textile solutions through:

• Market Insights: Examine emerging trends such as sustainable materials, environmentally friendly textiles, intelligent and technical fabrics, alongside the swift transition to online textile sales propelling innovation throughout the Indian textile industry.
• Strategic Forecasting: Prepare for future textile expansion by emphasizing production automation, digital integration, and the increasing demand for customized, on-demand textile solutions driven by evolving user and production trends.
• Competitive Intelligence: Track innovative textile technologies like smart materials, sophisticated weaving techniques, automated dyeing processes, and AI-driven supply chains, all transforming efficiency, design, and competitiveness within India's textile sector.
• Policy and Regulatory Analysis: Monitor the impact of national policies, labor legislation, sustainability standards, and trade rules on India's textile industry, influencing production, access to global markets, and long-term sector growth.
• Tailored Consulting Solutions: We offer customized strategies aligned with your business goals, helping you address specific challenges within the textile industry in India, ranging from supply chain optimization to the adoption of new technology and market penetration strategies.