As the world’s second largest producer of textiles, India’s textiles industry is worth $108 billion in 2016 will grow to $223 billion by 2021. The textile industry contributes 13% to the country’s total export earnings and between almost 5% to the country’s GDP.
Employing over 105 million people both directly and indirectly, the textile industry is also one of India’s largest employers, only second to Agriculture. In 2015, India grew cotton on 12.25 million hectares of land, maintaining its place as the second largest cotton producer worldwide. The two states that dominate cotton production within India are Gujarat and Maharashtra.
The Indian federal government has established initiatives such as The Apparel Export Promotion Council to support the textile industry and promote exports. All of these factors have culminated in making the textile industry a powerful force behind India’s economy.
India’s textile industry produces a variety of garments, cloths, cotton yarns, furniture, and dyes. The structure of the textile industry consists of spinning, weaving and knitting, and fabric finishing. For example, one of India’s most distinctive types of dyes is Madder dye, which provides a vibrant red color to materials. The technique of mordant dyeing was also utilized in the past to give materials a vibrant and lasting color. Chintz, also produced in India, refers to a cotton or linen furnishing fabric with floral patterns.
Historically, India is known for its diverse textile exporting, some of these textiles being patterned silk, calico, dungarees, gingham, khaki, pyjama, shawl, cotton, cotton and silk mixtures, and handkerchiefs. In 2015 two of India’s top textile companies were Ludhiana-based Vardhman Textiles Ltd. making $1 billion dollars in revenue and Ahmedabad-based Arvind Mills Ltd. with revenue amounting to $932 million. Vardhman Textiles also has 1,800 retail outlets in 650 cities and towns with 6 million consumers throughout the country. Arvind Mills’s involvement in growing organic cotton and the company’s rapid adoption of modern readymade fabrics has made Arvind one of the most prominent denim manufacturers in the world.
Maharashtra-based S. Kumar Nationwide Ltd. and Mumbai-based Century Textiles Ltd. are two other top textile companies that have dominated the textiles industry for years. S. Kumar Nationwide Ltd. has made a brand for itself by creating some of the most versatile products. Its textiles range from fabrics to apparels to home textiles. The textiles that Century Textiles Ltd. produces consist of shirts and suits as well as bed linens. Nagda-based Grasim Industries Ltd. is another prominent company within India’s textile industry. With textile plants located at Bhiwani and Malanpur, Grasim is the world’s largest producer of viscose staple fiber (VSF) with global shares amounting to 19%. With an aggregate capacity of 337,333,975 tpa, Grasim also produces fabrics and synthetic yarns through its subsidiary Grasim Bhiwani Textiles Ltd., also known for its branded suits.
The Apparel Export Promotion Council (APEC) was established to help Indian exporters by showing importers and international buyers why India would be an appealing choice for sourcing apparel. As a result of these efforts, foreign brands have already shown great interest in the textile industry. In 2014, Mumbai-based Reliance Industries Ltd. entered a joint venture with China-based Shandong Ruyi Science and Technology Group Co.
It is clear that India’s textiles industry is only growing with future exports estimated to reach up to $65 billion by 2017. With increasing disposable income and the rising levels of consumerism, the textile industry is guaranteed a very promising future.
Important segments in this industry include:
Last updated: August 6th, 2016
