After agriculture, the textile industry in India is the largest generator of employment. The very fact that this sector contributes 14% to the total industrial production in India and 2% to the GDP makes it one of the most vibrant sectors in India (Source

textile industry in India

Good employment generator

The Government of India has also played its part in the textile industry growth by coming up with various plans like ‘Make in India’ and so on. Today, this textile industry in India accounts for nearly 13% of the total exports from India. The size of the textile market is expected to touch $230 billion by 2020 from the current figure of around $120. This entails that there is going to be a tremendous increase in the scope for textile industry jobs in India over the next few years. Even today, the textile industry in India generates direct employment for 45 million people and indirectly for another 20 million.

Close links with agriculture

This is an extremely varied industry with hand-spun textiles at one end of the spectrum and the extremely sophisticated mills at the other. There is a close link between the agricultural sector and the textile industry in India with the industry dependent on agriculture for the supply of raw materials like cotton, etc.

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textile industry in India

Investment Scenario for the textile industry in India:

This industry has seen a spurt of investment in the textile industry in India in recent times. Let us look at some of the investments in brief.

  • The Government of India has formulated a ‘Skill Development Programme’ known as ‘Scheme for Capacity Building in Textile Sector’ that is capable of generating more textile industry jobs. This is extremely beneficial to the small and medium textile units in India.
  • The Future Group has ambitious plans to open 80 new outlets in the form of ‘Fashion at Big Bazaar where it targets sales of 230 million units by the end of 2018.
  • Raymond has partnered with KVIC to sell Khadi garments in their outlets all over India.
  • Max Fashion is also expanding its sales network in an aggressive manner.

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Incentives by the Government for the textile industry in India:

In its bid to boost the textile industry in India, the Government has come up with various incentives. Most of the initiatives benefit the MSME sector with great emphasis on rural development. Some of them are as follows.

  • The SAATHI Scheme to revive the power loom sector
  • Connect 50 million village women to the Charkha over the next 5 years
  • Renovation and re-launch of Khadi outlets
  • Hastakala Sahayog Shivirs all over the country.
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Employment opportunities in the textile industry in India:

Consider for example the textile industry in Delhi or the textile industry in Jaipur. The schemes announced by the Government of India have created a great demand for textile industry jobs all over the country. This sector has the capacity to generate indirect jobs through outsourcing their major requirements in the rural areas in and around the cities.

Several international players have entered the Indian market thereby fuelling the growth of the textile industry in India to great levels.

textile industry in India


The road ahead for the textile industry in India is bright and promising. We have seen the incentives announced by the Government and the investments made by the corporate sector. Hence, achieving the target of $230 billion by 2020 does not look difficult.

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