The growth reflects sustained international demand for Indian textile products and the sector’s competitiveness across key product categories.

India’s textile sector recorded a 2.1 per cent growth in FY 2025–26, highlighting its resilience and strong position in global markets. According to the Ministry of Textiles, total exports, including handicrafts, rose from over Rs 3.09 trillion in FY 2024–25 to more than Rs 3.16 trillion in FY 2025–26. The growth reflects sustained international demand for Indian textile products and the sector’s competitiveness across key product categories.

Among the major segments, ready-made garments continued to be the largest contributor to textile exports. Cotton yarn, fabrics, made-ups, and handloom products also registered steady growth during the year. The government has maintained support for the industry through export promotion and tax remission measures, including the extension of the Rebate of State and Central Taxes and Levies (RoSCTL) Scheme and the Remission of Duties and Taxes on Exported Products (RoDTEP) Scheme beyond March 31, 2026.

India also made significant progress on its Free Trade Agreement (FTA) agenda in FY 2025–26, creating new opportunities for the textile and apparel sector. These agreements are expected to enhance preferential market access, reduce tariff barriers, strengthen supply-chain integration, and expand export prospects. The continued rise in textile exports, supported by favourable policies, underscores the government’s commitment to boosting the sector, generating employment, and increasing the share of value-added exports.