The Centre has asked states to take a more aggressive and structured approach to attracting textile investments, underlining that future growth of the sector will depend heavily on state-level policy execution rather than central schemes alone.

Speaking at the inaugural session of the two-day National Textiles Ministers’ Conference in Sonapur near Guwahati, Union Textiles Minister Giriraj Singh said the government is working in a “steady and balanced manner” to align production capacity, export growth, and sustainability objectives in the textile sector. His remarks set the tone for the conference, which is focused on building a forward-looking roadmap for one of India’s largest employment-generating industries.

India’s textile and apparel sector sits at the intersection of manufacturing, exports, and livelihoods, employing millions across urban and rural regions. While the country has a strong heritage in handlooms and traditional textiles, global competition, fragmented supply chains, and uneven investment flows across states have constrained its full potential.

Over the past few years, the Centre has rolled out multiple initiatives aimed at modernisation, technical textiles, and export competitiveness. However, execution has remained uneven, largely because land availability, labour policy, infrastructure, and local incentives fall under state jurisdiction. The conference, organised by the Ministry of Textiles, reflects an attempt to bring states into sharper alignment with national objectives.

At the conference, Singh explicitly urged textile ministers from states to design investor-friendly policies and actively court capital in the sector. The emphasis was not on announcing new central subsidies but on improving the policy ecosystem at the state level to attract both domestic and global investors.

The Centre also reinforced its intention to improve data quality and policy planning by signing memorandums of understanding with 15 states under the Tex-RAMPS scheme. This programme focuses on strengthening textile-related research, monitoring, and statistical systems, an area often overlooked but critical for informed policymaking.

A key development during the event was the release of the report India’s Textile Atlas: State Compendium 2025, which aims to provide a state-wise mapping of textile capabilities, infrastructure, and opportunities. Such datasets are expected to play a larger role in guiding future investments and regional specialisation.

For investors and policymakers, the message from the Centre is clear: textiles are no longer being viewed only as a traditional industry, but as a strategic growth engine that must evolve with global demand, sustainability norms, and technology shifts.

The focus on harmonising production, exports, and sustainability indicates an acknowledgement that growth without competitiveness will not be enough. Global buyers are increasingly sensitive to supply chain transparency, environmental standards, and scale efficiency areas where India has strengths but also gaps.

From a regional standpoint, the conference highlighted the importance of the Northeast and other underrepresented regions. Union MoS for Textiles Pabitra Margherita pointed out that the Northeastern region contributes about 52 percent of India’s total handloom production, based on the Handloom Census 2019–20. This underscores the potential for region-specific investment models rather than a one-size-fits-all approach.

Addressing the conference, Madhya Pradesh Chief Minister Mohan Yadav said the textile industry is witnessing rapid growth and that Indian craftsmen need better access to global markets. His comments reflect growing state-level recognition that exports and branding will be as important as capacity creation.

Margherita reiterated that under the leadership of Prime Minister Narendra Modi, India has set an ambitious target of building a USD 350 billion textile economy. While the target itself is not new, the conference suggests a renewed effort to translate ambition into coordinated execution between the Centre and states.

Textiles Secretary Neelam Shami Rao added that nearly 500 districts across India export one or more textile products, highlighting how deeply embedded the sector is in local economies.