When we speak of India’s textile sector, we are not merely referring to factories, machines and fashion. We are talking about the lives of millions of Indians whose daily reality is rooted in cotton fields, handlooms, powerlooms and sewing machines. Over the last 11 years, under the leadership of Prime Minister Shri Narendra Modi, the sector has witnessed a strategic vision, strong resolve and bold policy reforms. These efforts have infused new confidence into the textile industry. Today, the impact of recent reforms is not just structural change. It is a story of new opportunities for farmers, entrepreneurs, women, weavers, technicians and the youth. It is a collective mission to position India as a global textile powerhouse.
Farmer-Centric Transformation: Record Cotton Procurement and Historic MSP Increase
The foundation of the textile sector lies in the fields, and farmers are the first link in this value chain. Ensuring that cotton farmers are protected from market fluctuations, price uncertainty and exploitative intermediaries has always been a top priority. Between 2004 and 2014, government agencies procured a total of 17.3 million cotton bales. Between 2014 and 2024, this rose to 47.3 million bales, an increase of 173%. Similarly, major reforms in MSP have given farmers long-term stability. Cotton MSP, which stood at ₹3,700 per quintal in 2013-14, has been raised to ₹7,710 per quintal for 2025-26,an increase of 108% strengthening the income and security of cotton growers.
Mission for Cotton Productivity: Quality, Productivity and New-Age Fibres
Higher production is not enough, global competitiveness demands better quality. With this mission, the government launched the ₹2,500 crore Mission for Cotton Productivity, aimed not only at increasing production but enhancing cotton quality to international standards. Initially applicable only till 30 September, the deadline was extended till 31 December, considering its positive impact. The mission focuses on improved seeds, scientific cultivation, farm management and enhanced quality-control systems. The future of the textile industry will not depend solely on traditional fibres. The government has prioritised new-age fibres such as flax, ramie, sisal and milkweed. These fibres will open new avenues for processing industries, create large-scale jobs and strengthen the value chain, milkweed in particular.
Cotton Import Duty Relief: Stability for Industry and Global Competitiveness
The removal of import duty on cotton has provided immediate relief to the industry. Textile mills can now access cotton at globally competitive prices, reducing yarn and fabric production costs. This directly enhances India’s competitiveness in international export markets. For SMEs, this move is significant as it provides cost stability, better planning and improved financial management. The domestic market benefits from increased raw cotton availability, ensuring affordable, high-quality fibre for handloom, powerloom and designer segments.
Industrial Acceleration Through PLI: A New Era for Textile Manufacturing
The Production-Linked Incentive (PLI) Scheme has energised the textile sector, creating an enabling environment for unprecedented investment. The application portal has been reopened till 31 December 2025, and 27 new applications have already been received. These investments will create new factories, advanced technologies and thousands of jobs, significantly contributing towards India’s goal of achieving $12 billion textile exports by 2030. Of the 74 approved companies, 42 are in technical textiles. Technical textile exports have grown by 12.4% over the previous year, reaching $3.2-3.4 billion. The top 10 companies have collectively invested ₹4,584 crore, exceeding their committed investment by more than ₹500 crore. India is now moving confidently towards becoming a net exporter of baby diapers and sanitary napkins.
Relief to MMF Value Chain: QCO Removed from MEG and Viscose
The decision to remove Quality Control Orders on MEG and viscose gives the MMF value chain access to raw materials at globally competitive prices. The downstream sector, especially garmenting, receives immediate relief. This segment currently employs 1.4 crore people, and the goal is to create 1 crore additional jobs by 2030.
Next Gen GST Reform: Relief from Inverted Duty Structure
Next Gen GST reforms have finally addressed the industry’s long-standing inverted duty structure. GST was reduced to 5% on apparel priced up to ₹2,500, making garments more affordable for the middle class, youth and students and boosting demand.
Labour Reforms: Security and Dignity for Textile Workers
A large proportion of textile workers are women, migrants and contract labourers. Recent labour reforms guarantee equal wages, access to welfare schemes and improved working conditions.
PM MITRA Parks: Integrated Value Chains and 21 Lakh Jobs
The PM MITRA scheme is a game-changer. Land allocation across seven states is complete. The parks have already attracted ₹33,000 crore in investment and are expected to generate 21 lakh jobs.
FTAs and New Global Markets: Expanding India’s Export Footprint
India identified 40 new markets where the country had minimal presence but immense potential. India is entering these regions through FTAs with 27 countries. Exports to the UK increased by $15 million after the recent agreement. The India-EFTA Agreement opens doors to a premium market worth nearly $14 billion. In one year, India’s textile exports grew in 111 countries, with exports rising over 50% in 38 countries and 25-50% in 16 countries. The most remarkable story is Argentina marking a 73% increase.
India’s Textile Sector is Now a Pillar of National Strength
India’s textile sector has become one of the engines of national growth. The sector now stands with renewed confidence and capability to lead global competition. The goal is clear — to make India a trusted, modern and sustainable global textile hub of the future.
The author is Union Textiles Minister