Indian Textile Sector Defies Global Headwinds with 2.1% Growth in FY 2025-26
India’s textile sector achieves 2.1% growth in FY 2025-26, with exports crossing 3.16 lakh crore rupees. The Ministry of Textile highlights the resilience of ready-made garments and the extension of RoDTEP and RoSCTL schemes beyond 2026. Discover how new FTAs and government policies are driving competitiveness and employment in India’s global textile trade.
According to the Ministry, ready-made garments of all textiles remained the primary driver and largest contributor to the export basket. In addition to this dominant segment, cotton yarn, fabrics, made-ups, and handloom products maintained a trajectory of stable growth and consistent export volumes. The Government has bolstered this momentum through strategic export facilitation and fiscal remission measures. Notably, the Rebate of State and Central Taxes and Levies (RoSCTL) Scheme and the Remission of Duties and Taxes on Exported Products (RoDTEP) Scheme have both been extended beyond March 31, 2026, ensuring long-term policy certainty for manufacturers.
The fiscal year also marked a period of major progress for India’s Free Trade Agreement (FTA) agenda, yielding vital implications for the textile and apparel industry. These collective FTA developments are strategically designed to improve preferential market access, diminish tariff disadvantages, and facilitate deeper supply-chain integration. By opening new opportunities across diverse markets, these agreements are poised to enhance the global footprint of Indian manufacturers.
The sustained growth in textile exports, reinforced by continuous policy support, underlines the Government’s commitment to strengthening the industrial framework. This upward trend is expected to catalyze employment generation and advance the national objective of transitioning toward higher value-added exports, securing India's position as a premier global textile hub.

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