The Indian textile industry has a significant presence in the economic life of our country. It is the second largest textile industry in the world after China. The textile industry contributes about 14% to the country’s industrial output and about 17% to export earnings. After agriculture, this industry is the second largest employer in India employing 45 million people. Besides, another 60 million people are engaged in allied activities.
The name “white gold” given to cotton has emphasised its significance in Indian economy since a long time. It is the backbone of Indian economy being the employer of millions of rural workforce and has resulted in the expansion of manufacturing activities.
India is the largest producer of Jute, the 2nd largest producer of Silk, the 3rdlargest producer of Cotton and Cellulosic Fibre/Yarn and 5th largest producer of Synthetic Fibres/Yarn. Textile Industry contributes around 4% of GDP, 9% of excise collections, and has 11 % share in the country‟s export. India is the largest exporter of yarn in the international market and has a share of 25% in world cotton yarn export market.
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