Garment Manufacturing India: The Real Story Behind the Threads

When you think of garment manufacturing India, the large-scale production of clothing and textiles within India, often driven by small and medium enterprises with global supply chain ties. Also known as textile manufacturing in India, it's not just about low wages—it’s about scale, speed, and smart policy support that keeps it competitive worldwide. India doesn’t just make clothes; it makes over 40% of the world’s cotton garments and exports them to the U.S., EU, and Middle East. This isn’t a fading industry—it’s evolving, with new tech, better quality control, and government schemes like PLI and PMEGP pushing factories to upgrade.

What makes Gujarat, India’s top state for textile and chemical production, home to major mills and export hubs like Surat and Ahmedabad. Also known as the textile heartland of India, it produces nearly 40% of the country’s finished garments and dominates in synthetic fabrics and dyeing so powerful? It’s not luck. Gujarat has ports, chemical suppliers for dyes, and clusters of small factories that work together like a well-oiled machine. Meanwhile, Tamil Nadu, a major hub for denim, knitwear, and export-ready apparel, with strong infrastructure and skilled labor. Also known as the denim capital of India, it supplies global brands like Levi’s and H&M with high-volume, consistent output. And let’s not forget Arvind Ltd., India’s top textile company in 2025, known for vertical integration, premium denim, and sustainable production. Also known as the largest vertically integrated textile manufacturer in India, it controls everything from yarn to finished jeans. These aren’t just names—they’re engines driving India’s global textile dominance.

Government schemes are changing the game. The PLI scheme gives cash incentives to manufacturers who boost exports. PMEGP helps small workshops buy new machines. And FSSAI-style regulation? No, but CDSCO and textile testing labs are stepping up quality checks to meet global standards. The real question isn’t whether India can compete—it’s whether you understand how deep this ecosystem goes. From handloom clusters in Varanasi to automated factories in Tirupur, there’s a whole supply chain most people never see. Below, you’ll find real breakdowns of who leads, which states are growing fastest, what products actually make money, and how policies are reshaping the future of what you wear.

What Is the Outlook for the Textile Industry in India in 2024?
What Is the Outlook for the Textile Industry in India in 2024?
Jedrik Hastings November 20, 2025

India's textile industry is booming in 2024, driven by exports, automation, and government support. Learn how technical textiles, PLI schemes, and sustainability are reshaping the sector.