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 Introduction

India's textile industry is one of the oldest and most significant sectors of the country's economy. As a global leader in textile production and export, India has established a strong footprint in both traditional handloom and modern textile markets. The export of textiles plays a vital role in foreign exchange earnings and employment generation.

• Share in GDP: The textile sector contributes approximately 2% to India’s Gross Domestic Product (GDP), reflecting its substantial role in the overall economy.

• Share in Exports: Textiles and apparel account for more than 10% of India's total exports, making it one of the largest export segments.

• Employment: The sector is the second-largest employer in India after agriculture, directly employing over 45 million people and indirectly supporting 100 million more through allied sectors.

• Financial Services: Despite India's strong performance in other sectors, financial services account for a smaller portion of exports, reflecting opportunities for growth in international banking, insurance, and investment services.
   

Major Segments of Textile Exports

• Readymade Garments (RMG): One of the highest contributors in terms of value and volume.
• Cotton Textiles: Includes raw cotton, cotton yarn, and cotton fabrics.
• Man-made Fiber (MMF) Products: Increasingly gaining prominence.
• Handlooms and Handicrafts: Unique to India's cultural heritage and popular globally.
• Technical Textiles: A fast-emerging segment with applications in automotive, medical, and construction sectors.

Major Export Destinations

India exports textiles to over 150 countries, with major destinations including:

• United States: The single largest importer of Indian textiles and garments.
• European Union: Especially countries like Germany, France, and Italy.
• United Arab Emirates (UAE): A growing market and re-export hub.
• Bangladesh and Vietnam: Important for raw material supply in their garment industries.
• China, Saudi Arabia, United Kingdom, and Turkey: Other key markets.

Top Exporting States (From Highest to Lowest)

1. Gujarat: Leading in cotton textiles, yarn, and technical textiles.
2. Tamil Nadu: Dominates in knitwear and garments, especially from Tiruppur.
3. Maharashtra: Strong in synthetic textiles and garment production.
4. Punjab: Well known for woolen and cotton textiles.
5. Andhra Pradesh: Active in cotton and blended fabric exports.
6. West Bengal: Key player in handloom and jute exports.

Challenges Faced

• Infrastructure Gaps: Limited access to modern technology and processing facilities.
• Global Competition: Countries like Bangladesh and Vietnam offer lower production costs.
• Compliance and Standards: Meeting international quality and sustainability benchmarks can be demanding.

Conclusion

India's textile export sector stands as a pillar of strength for the economy, with a robust supply chain, a skilled workforce, and diverse product offerings. Strategic investments and policy support, combined with innovation and sustainability, will ensure India's continued dominance in the global textile market.