For centuries, India’s identity was deeply woven into its textiles, from the lasting warmth of Kashmir’s Pashmina and the golden luster of Assam’s Muga silk, to the royal Kanjeevarams of Tamil Nadu, the weaves of Chanderi, and the legendary textile craftsmanship of Surat. Today, this sector remains a strong pillar of our economy, contributing 2.3% to GDP, 13% to industrial production, and 12% to exports. As India's second-largest employer after agriculture, it provides direct livelihoods to 45 million people and sustains over 100 million indirectly, strengthening rural communities and driving financial autonomy for millions of women nationwide.
In contrast to the consolidated ecosystems of global competitors, India’s textile value chain historically evolved into a geographically dispersed model. Spinning, weaving, processing, garmenting, and export activities developed independently across different states, meaning a single garment often crossed multiple borders during production. This fragmented footprint created structural barriers. It suppressed scale-up, modernisation, automation and ultimately labor productivity.
