Textile Industry in India

History of Textile Industry

Textiles, fabrics, and apparel are part of the textile industry, including research, design, development, manufacturing, and distribution. Before the Industrial Revolution, individuals manufactured fabrics and apparel was manufactured in the house by individuals for personal use before the industrial revolution. They were occasionally resold on a modest scale.

The textile industry was born by creating the flying shuttle in 1733, the spinning jenny in 1764, and the power loom in 1784. Then mass-production of materials and garments began. When James Watt refined his steam engine in 1775, Eli Whitney invented a cotton gin in 1792. Elias Howe invented the sewing machine in 1846. They all contributed significantly to the textile industry’s prosperity.

The textile industry has evolved into a global phenomenon encompassing all businesses involved in developing, producing, manufacturing, and distributing textiles. It is now a highly complex industry. Agriculture begins with fibre production, sheep and silkworm rearing, and metal and mineral mining. These fibres are then turned into yarns, textiles, and clothing. Spinning mills, weaving mills, knitting mills, dyeing mills, and clothing are all included. This industry also has enterprises that sell buttons, zippers, knitting materials, sewing machines and threads, laces, looms, and drapery hardware.

Types of Textiles Products

The textile industry is organized into three categories.

1. Textile mills: Textile mills provide the raw material to make apparel and textile products. They take natural and synthetic materials, such as cotton and polyester, and transform them into fiber, yarn, and thread.

2. Textile product mills: Textile product mills convert raw textiles into finished products other than apparel. Some of the items made in this sector include household items, such as carpets and rugs, towels, curtains and sheets, cord and twine, furniture and automotive upholstery, and industrial belts and fire hoses.

3. Apparel manufacturing: Apparel manufacturing industry transforms fabrics produced by textile manufacturers into clothing and accessories. The apparel industry traditionally has consisted mostly of production workers who performed the cutting and sewing functions in an assembly line. This industry remains labor-intensive, despite advances in technology and workplace practices.

Types of Yarn fabrics & raw materials

Yarn is a collective term of linear assembles of fibers or filaments that are twisted together to impart strength or they can be laid together to form a continuous strand that is suitable to manufacture fabric. Yarns come from 3 origins

1. Animal Origin: Wool, Cashmere, merino, Silk
2. Plant Origin: Cotton, Hemp, Bamboo
3. Synthetic: Rayon, Polyster, Novelty

Textile Industry in India

“The Indian textiles market is expected to be worth >US$ 209 billion by 2029.”

India’s textiles sector is one of the oldest industries in the Indian economy, dating back to several centuries.The industry is extremely varied, with hand-spun and hand-woven textiles sectors at one end of the spectrum, while the capital-intensive sophisticated mills sector on the other end. The decentralised power looms/ hosiery and knitting sector forms the largest component in the textiles sector. The close linkage of textiles industry to agriculture (for raw materials such as cotton) and the ancient culture and traditions of the country in terms of textiles makes it unique in comparison to other industries in the country. India’s textiles industry has a capacity to produce wide variety of products suitable for different market segments, both within India and across the world.

Domestic Market Size  

Indian domestic textile and apparel market is estimated at US$ 75 billion in 2020-21. The market fell 30% from US$ 106 billion in 2019-20. The market is expected to recover and grow at 10% CAGR from 2019-20 to reach US$ 190 billion by 2025-26. Apparel constitutes ~73% share of the total T&A market in India.

Export Market Size

India’s T&A exports reached US$ 33.5 billion in 2019-20. Due to the impact of Covid-19, India’s T&A exports are expected to fall around 15% to reach US$ 28.4 billion in 2020-21. India’s exports of T&A are expected to grow to US$ 65 billion by 2025-26, growing at a CAGR of 11%.

Staple Fibre Production: India’s total staple Fibre production stood at 9,279 million kgs in 2019-20.

Staple Fibre Exports

India exported fibre worth US$ 1,891 million in 2019-20, which has reduced at a CAGR of 9% since 2015-16. Cotton occupied 70% share in total fibre exports in 2015-16, while this has reduced to 56% in 2019-20. India’s Polyester staple fibre exports have grown at a CAGR of 10% since 2015-16.

Yarn Production

India’s total spun yarn production was 5,713 million kg in 2019-20. Polyester filament yarn (PFY) production has has grown at a CAGR of 5% since 2015-16.

Yarn Exports

In 2019-20, India’s total yarn exports stood at US$ 4,813 million. Exports of spun yarn has declined at a CAGR of 5% since 2015-16. India’s Nylon filament yarn exports has grown at a CAGR of 35% between 2015-16 and 2019-20.

Yarn Fabric Production

Fabric production in India stood at 7,436 million sq. mtr, which has grown at 2% CAGR in the past five years. The production of fabric from decentralized sector has also grown at a CAGR of 5%, while production of mill sector has decreased at 3% CAGR .

Yarn Fabric Exports

India exported fabric worth US$ 5,066 million in 2019-20, which has grown at 1% CAGR since 2015-16. Woven fabric comprised 92% of the total fabric exports of 2019-20. However, exports of knitted fabric has grown at 15% CAGR since 2015-16.

Garments and Made-ups Production

Garment production in India was estimated at 22 billion pcs in 2019-20, while made-ups production stood at approx. 2.4 billion Kg. Due to Covid-19, the 2020- 21 apparel and made-ups production is expected to fall 27% and 12%, respectively.

Garments and Made-ups Exports

India exported garments worth US$ 15,509 million in year 2019-20, declining at a CAGR of 2% since 2015-16. Made-ups exports on the contrary grew at 2% CAGR from 2015-16 to reach US$ 6,941 million in 2019-20

Domestic Market Size of Technical Textiles

The Indian technical textiles market was estimated at US$ 20 billion in 2019-20, and grew at a CAGR of 10% since 2015-16. However, due to Covid-19, the market is expected to fall 25% in 2020-21 to reach US$ 15 billion.

Technical Textiles Exports

India’s exports of Technical Textiles in 2019-20 was worth US$ 2,423 million, which has grown from US$ 1,528 million at a CAGR of 12%. India’s exports of Technical Textiles from April to November 2020 has been US$ 1,370 million.

Top 10 Textile Manufacturers in India

Top listed textile companies in terms of sales turnover in FY20 have been included for financial analysis.

Sl. No.	Company Name	Annual Sales* - FY20 (Rs. Crore)
1	Arvind	6,705
2	Vardhman	6,325
3	Welspun India	5,324
4	Trident	4,699
5	Raymond	3,186
6	KPR Mill	2,898
7	Filatex	2,782
8	RSWM	2,771
9	Sutlej	2,379
10	Nahar Spinning	2,083

State wise Major Textile Manufacturers

1. Punjab – Trident, Oriental Textile Industries, Avani textiles, Daman Textiles, Khurana Textiles Mills, Shingora Textiles
2. Rajasthan – Siyaram Silk Mills, Rajasthan Textile Development Corporation, Rajasthan Textile Mills Association, Suzuki Textile, SVP Global, APM
3. Gujarat – Raymond, Siyaram Silk Mills, Soma Textiles & Industries, Blue Blends India, CTM Textiles Mills
4. Madhya Pradesh – Raymond, Trident, The Dhar Textiles Mills, Century Yarn, SEL Manufacturing
5. Karnataka – Raymond, Fabindia, Trident, Kirloskar Toyota Textile Machinery, The Dhar Textiles Mills
6. Delhi NCR – Grasim Industries, Fabindia, Trident, Alok Industries
7. Uttar Pradesh - Grasim Industries, Century Textile and Industries, Gomti Textiles, Elite International, Arikav Textiles
8. West Bengal – Bombay Dyeing, Fabindia, Woollen Textiles Industries, Jaya Shree Textile, Deeps Texstyles
9. Telangana – Bombay Dyeing, Fabindia, Govdan Trade Combines
10. Andhra Pradesh – Bombay Dyeing, Loyal Textile Mills, Kallam Spinning Mills, Idupulapadu Cotton Mills
11. Tamil Nadu – Loyal Textile Mills, Kasim Textile Mills, Sangeeth Group of Companies, Paramount Textiles Mills

Textile Parks in India

The Government is implementing the Scheme for Integrated Textile Park (SITP) which provides support for creation of world-class infrastructure facilities for setting up of textile units, with a Government of India (GoI) grant up to 40% of the project cost subject to a ceiling of Rs. 40 crore. The Scheme is demand driven. A total of 59 textile parks have been sanctioned under SITP by the Ministry of Textiles out of which 22 textile parks have been completed and rest are under various stages of construction. The details are given below

S.No.	Name of the Park	Location	State
1	Islampur Integrated Textile Park	Islampur	Maharashtra
2	Latur Integrated Textile park	Latur	Maharashtra
3	Amitara Green Hi-tech Textile Park	Ahmedabad	Gujarat
4	Karanj Textile Park	Surat	Gujarat
5	Shahlon Textile Park	Surat	Gujarat
6	Palsana Textile Park	Surat	Gujarat
7	Shanti Integrated Textile Park	Surat	Gujarat
8	Satyaraj Integrated Textile Park	Ichalkaranji	Maharashtra
9	Dhule Textile Park	Dhule	Maharashtra
10	Shree Ganesh Integrated Textile Park	Dhule	Maharashtra
11	Aalishan Eco Textile Park	Panipat	Haryana
12	Guntur Textile Park	Guntur	Andhra Pradesh
13	Tarakeaswara Textile Park	Nellore	Andhra Pradesh
14	Brandix India Apparel City Private Limited	Vishakhapatnam	Andhra Pradesh
15	Gujarat Eco Textile Park Limited,	Surat	Gujarat
16	Mundra SEZ Textile & Apparel Park Limited,	Kutch	Gujarat
17	Fairdeal Textile Park Pvt. Ltd.,	Surat	Gujarat
18	Vraj Integrated Textile Park Limited ,	Ahmadabad	Gujarat
19	Sayana Textile Park Ltd.,	Surat	Gujarat
20	Doddabalapur Integrated Textile Park,	Doddabalapur	Karnataka
21	Metro Hi-Tech Cooperative Park Limited,	Icchalkaranji,	Maharashtra
22	Pride India cooperative Textile park Limited,	Icchalkaranji,	Maharashtra
23	Baramati Hi Tech Textile Park Limited,	Baramati,	Maharashtra
24	Purna Global Textiles Park Ltd.	Hingoli	Maharashtra
25	Lotus Integrated Tex Park	Barnala,	Punjab
26	Rhythm Textile & Apparel Park Ltd,	Nawanshehar,	Punjab
27	Ludhiana Integrated Textile Park Ltd,	Ludhiana	Punjab
28	Kishangarh Hi-Tech Textile Weaving Park Limited ,	Kishangarh,	Rajasthan
29	Next Gen Textile Park Pvt Ltd ,	Pali,	Rajasthan
30	Jaipur Integrated Texcraft Park Pvt Ltd,	Jaipur,	Rajasthan
31	Palladam Hi-Tech Weaving park,	Palladam,	Tamilnadu
32	Komarapalayam Hi-Tech Weaving Park Ltd. ,	Komalarapallyam,	Tamilnadu.
33	Karur Integrated Textile Park,	Karur Park	Tamilnadu
34	Madurai Integrated Textile Park Ltd,	Madurai,	Tamilnadu
35	The Great Indian Linen & Textile Infrastructure Company, Uthukuli,	Tirupur District	Tamil Nadu
36	Pochampally Handloom Park Limited,	Bhuvangiri	Telangana
37	White Gold Textile Park,	Rangareddy	Andhra Pradesh
38	Hosiery Park	Howrah	West Bengal
39	Prag Jyoti Textile Park	Darang	Assam
40	Hindupur Vyapar Apparel Park Limited	Ananatpuram	Andhra Pradesh
41	MAS Fabric Park (India Ltd	Nellore	Andhra Pradesh
42	Surat Super Yarn Park Limited,	Surat	Gujarat
43	Kejriwal Integrated Textile Park,	Surat	Gujarat
44	J&K Textile Park,	Kathua	J&K
45	Gulbarga Textile Park,	Gulbarga	Karnataka
46	SIMA Textile Processing Centre,	Cuddalore,	Tamilnadu
47	EIGMEF Apparel Park Ltd.,	Kolkata	West Bengal
48	Asmeeta Infratech Ltd.	Thane	Maharashtra
49	Deesan Infrastructure Pvt. Ltd.	Dhule	Maharashtra
50	RJD Integrated Textile Park Pvt. Ltd.	Surat	Gujarat
51	Kashmir Wool and Silk Textile Park	Ghatti	J&K
52	Farrukhabad Textile Park	Farukkhabad	Uttar Pradesh
53	Eco-Tex Textile Park	Bareily	Uttar Pradesh
54	NSP Infrastruture Pvt. Ltd	Surat	Gujarat
55	Hinganghat Integrated Textile Park	Vidharbha	Maharashtra
56	Pallavada Technical Textiles Park Pvt	Erode	Tamilnadu
57	Himachal Textile Park	Una	Himachal Pradesh
58	Kancheepuram Perarignar Anna Silk Park.	Kanchipuram	Tamilnadu
59	Kalapana Awade Textile Park	Kolhapur	Maharashtra

Government Schemes for Textile Industry in India

Government of India, through Ministry of Textiles has introduced many schemes to promote Textile Industry in India.  Following is a snapshot of all the Schemes for Textile Industry

1. Production Linked Incentive
2. Amended Technology Upgradation Fund Scheme
3. In-situ Upgradation of Plain Powerlooms
4. Group Workshed Scheme (GWS)
5. Yarn Bank Scheme
6. Common Facility Centre (CFC)
7. Pradhan Mantri Credit Scheme for Powerloom Weavers
8. Solar Energy Scheme for Powerlooms
9. Facilitation, IT, Awareness, Market Development and Publicity for Powerloom Schemes
10. Tex Venture Capital Fund
11. Grant-in-Aid and Modernisation & Upgradation of Powerloom Service Centres (PSCs)