New Delhi: India’s textile and apparel sector recorded steady gains in 2025, with exports touching $37.8 billion and major policy initiatives such as PM MITRA parks and the PLI scheme for textiles beginning to show tangible outcomes, the Ministry of Textiles said in its year-end review.
Under the PM Mega Integrated Textile Region and Apparel (PM MITRA) scheme, seven parks are being developed across Tamil Nadu, Telangana, Gujarat, Karnataka, Madhya Pradesh, Uttar Pradesh and Maharashtra, with a total outlay of ₹4,445 crore up to 2027–28. Investment memoranda worth over ₹27,400 crore have been signed, while infrastructure works of nearly ₹2,600 crore have commenced across all sites. The foundation stone for the Dhar park in Madhya Pradesh was laid in September, and detailed project reports worth over ₹7,000 crore have been approved for four parks, the ministry said.
The production-linked incentive (PLI) scheme for textiles, aimed at scaling up man-made fibre apparel, fabrics and technical textiles, has also moved into the execution phase. Of the 74 companies selected, 40 have reported investments, 30 have commenced production, and provisional incentives of ₹54 crore have been disbursed to early achievers. Proposed investments under the scheme stand at ₹28,711 crore, with projected turnover of over ₹2.16 lakh crore and employment potential exceeding 2.5 lakh jobs.
On the trade front, India retained its position as the world’s sixth-largest exporter of textiles and apparel, with the sector accounting for 8.63% of the country’s total exports. While the US, EU and UK remained key markets, emerging destinations such as Bangladesh, the UAE, Sri Lanka, Australia and Canada together contributed a fifth of shipments. The ministry reiterated its Vision 2030 target of $100 billion in textile exports, driven by diversification, innovation and sustainability.
Reforms in the cotton sector were another highlight, with MSP procurement of 100 lakh bales during the 2024–25 season and disbursements of over ₹37,000 crore to farmers. Digitisation through platforms such as KapasKisan, blockchain-based traceability of cotton bales, and the launch of the Kasturi Cotton Bharat programme were positioned as steps to improve transparency, productivity and global acceptance of Indian cotton.
The review also pointed to sweeping GST rationalisation—cutting rates on man-made fibres, yarns, garments, carpets and handicrafts to 5%—and regulatory easing under the Jan Vishwas framework, as measures expected to lower costs and improve ease of doing business.
Taken together, the ministry said, the mix of infrastructure creation, fiscal incentives and regulatory reforms is aimed at strengthening the entire textile value chain—from farm and fibre to fashion and foreign markets—while positioning India as a globally competitive manufacturing hub.