Thu Jan 1,
Insights
India's textile and apparel sector strengthened in 2025 as policy reforms, infrastructure rollout and export growth reinforced global competitiveness.
Exports rose 5 per cent to $37.8 billion, PM MITRA parks advanced with infrastructure works, and PLI textiles recorded investments, production and incentives.
Reforms across cotton, GST and QCOs boosted farmer welfare, industry confidence and employment.
India’s textile and apparel sector recorded a broadly positive 2025, driven by policy execution, export momentum and structural reforms, according to the year-end review released by the Ministry of Textiles.
Textile and apparel exports, including handicrafts, rose 5 per cent year on year to $37.8 billion in 2024–25, delivering a trade surplus of $28.2 billion. Traditional markets such as the US, EU and UK accounted for 55 per cent of exports, while emerging destinations contributed a further 20 per cent, underscoring diversification efforts.
Progress under the PM Mega Integrated Textile Region and Apparel (PM MITRA) scheme gathered pace, with seven parks approved across Tamil Nadu, Telangana, Gujarat, Karnataka, Madhya Pradesh, Uttar Pradesh and Maharashtra. Infrastructure works worth ₹2,590.99 crore (~288.7 million) have begun, DPRs worth ₹7,024 crore were approved for four parks, and the foundation stone for the Dhar park in Madhya Pradesh was laid on September 17, 2025. Investment MoUs exceeding ₹27,434 crore have been signed, with full land acquisition completed.
The Production Linked Incentive (PLI) scheme for textiles showed tangible outcomes. Of 74 selected applicants, 40 reported investments, 30 commenced production and provisional incentives of ₹54 crore were disbursed. Technical textiles accounted for nearly 57 per cent of participating firms, reflecting capital-intensive expansion.
Farmer-centric cotton reforms remained a focus. During 2024–25, the Cotton Corporation of India (CCI) procured 100 lakh bales under MSP operations, disbursing ₹37,450 crore. Digitisation through the KapasKisan app, blockchain-based bale traceability and a five-year cotton productivity mission aim to improve transparency, yields and sustainability.
Skilling and sectoral development also advanced. Under the SAMARTH scheme, 5.41 lakh people were trained, with women accounting for 88 per cent and placement rates at 75 per cent. Growth initiatives spanned wool, silk, jute, handloom and handicrafts, alongside GST rationalisation, QCO relaxations and export-oriented incentives to strengthen competitiveness.