India’s textile market valued at nearly ₹15 lakh crore annually: Study

In a first-of-its-kind comprehensive study on the domestic demand for textiles and apparel over the last 15 years, the Ministry of Textiles estimates the market size of textiles has increased from ₹4.89 lakh crore in 2010 to ₹14.95 lakh crore in 2024, with a Compound Annual Growth Rate (CAGR) of 8.3%.  

Domestic demand for textiles

The study - 'Market for Textiles and Clothing: National Household Survey 2024' - conducted by the Textiles Committee under the Ministry, estimates that out of the total market size, the contribution of households has increased from ₹4.18 lakh crore in 2010 to ₹8.77 lakh crore in 2024, and has played a pivotal role in driving the domestic demand for textiles in the country. The report is expected to provide valuable inputs for policy formulation and stakeholders of the trade and industry in devising business decisions for the domestic textiles market, said Union Minister of Textiles Giriraj Singh, while releasing the report on April 6.  

The study said there is a robust growth in per capita demand for textiles among individuals, as the per capita demand increased from ₹2,119 in 2010 to ₹6,066 in 2024, with a CAGR of 7.8%. India's most preferred dress is made of Man-Made Fibre (MMF) and blended fibre-based products like polyester and nylon, which are cheaper, contributing 52.2% of the consumption.

This is followed by cotton-based products with 41.2%. Silk and woollen fibre-based products are contributing 5.2% and 1.3% respectively to the product basket.  

In absolute terms, the demand for MMF and blended textiles recorded the most significant growth, with demand increasing from ₹1.47 lakh crore to ₹4.47 lakh crore, with a CAGR of 8.28%. Cotton maintained its position as the second most important fibre, with aggregate demand increasing from ₹0.87 lakh crore to ₹3 .53 lakh crore with a CAGR of 10.53%. The demand for silk and wool-based products increased at a CAGR of 8.93% and 7.02%, respectively, during the 15 year period.  

Women consumers have contributed 55.5% of textile purchases

The report said women consumers, who are the major buyers of textile products, have contributed 55.5% of textile purchases as compared to 44.5% by men. Among the major demanded textiles, the products like shirts, sarees, trousers, salwar kameez, men’s jeans, T-shirts, ladies dress material, shirting, dhoti, banian and underwear remained the most widely demanded products in the domestic market. At the same time, men’s jeans emerged as the fastest-growing category with a robust growth among the menswear segment, while products like leggings have emerged as important preferred products among women consumers.  

One of the important findings of the study is the growing demand for the use or adoption of sustainable textile products among Indian consumers. The demand pattern indicates that Indian consumers have increasingly adopted sustainable textiles in addition to opting for recycled/reprocessed/reused/re-tailored garments. The total demand for sustainable textiles, including reused and retailed products, is estimated as Rs 37,000 crore in 2024, out of which reused/retailed textiles account for around 58% to the consumption basket.  

The report has also highlighted the increasing adoption of technical textiles in the household consumption basket. Among the technical textiles products, the demand for masks, sanitary napkins, bandage cloth, tents, seat cover fabrics, wipes, diapers, napkins, bandages, car seat cover, and surgical disposables has experienced a significant growth in both rural and urban areas. The rural households account for nearly 58% of the consumption of technical textiles, while urban households contribute around 42%, said the study.