India’s Textile and Apparel industry is weaving a powerful growth story, having attracted investment commitments of over 60,000 crore in 2025. Government officials say the momentum reflects renewed global and domestic confidence in India as a textile manufacturing hub, driven by policy support, sustainability goals, and technology-led transformation. With investors lining up across fibres, fabrics, apparel, and technical textiles, the sector is now poised for another strong year ahead.

Looking forward, 2026 is expected to deepen this investment wave, with continued focus on flagship initiatives such as PM MITRA Parks and the Production Linked Incentive (PLI) scheme, alongside new-age opportunities in recycling, decarbonisation, biomass energy, and eco-friendly fibres. The industry’s evolution from volume-driven growth to value-driven innovation is becoming increasingly visible.

PM MITRA Parks: Building Global Textile Hubs

At the heart of this investment surge lies the PM MITRA (Mega Investment Textiles Parks) scheme, which alone accounts for over 25,000 crore in committed and proposed investments. According to officials, PM MITRA projects have already secured confirmed investments of 14,000 crore, with the potential to generate more than 38,000 jobs. In addition, authorities have received expressions of interest for another 10,000 crore, underscoring strong industry appetite.

Some of India’s leading textile playersVardhman, Trident, Best Corp and Bhilossa are among those backing these mega parks. Announced in the Union Budget FY21, the PM MITRA scheme aims to create world-class, plug-and-play textile infrastructure that enables scale, efficiency, and export competitiveness. The vision is clear: develop integrated ecosystems that can nurture global textile champions from India.

Global Capital Meets Indian Ambition

Foreign direct investment and joint ventures have further strengthened the sector’s investment landscape. Under the revamped PLI scheme, 85 companies have applied, proposing investments of over 20,000 crore, signaling strong confidence in India’s manufacturing incentives. Key international investments include:

• Finland’s Infinited Fiber Company, which signed an MoU with Andhra Pradesh for a 4,000 crore sustainable fibre project.
• Singapore-based RGE (Royal Golden Eagle), announcing a 4,953 crore investment for its first Indian manmade fibre project in Tamil Nadu.
• South Korea’s Hyosung, setting up a $220 million (1,850 crore) tire cord facility in Maharashtra.
• A strategic JV between Toray Industries (Japan) and MAS Holdings (Sri Lanka) in Odisha, valued at 1,215 crore.

Global brands are also doubling down on India. Inditex, owner of Zara and Massimo Dutti, has increased its stake in Indian joint ventures, while domestic giants such as Reliance Industries, Grasim, Welspun, SRF, Trident and Vardhman continue to expand capacities across fibres, fabrics, and technical textiles.

Beyond scale and exports, sustainability is emerging as a major investment driver. Textile-to-Textile Recycling, decarbonisation technologies, and eco-friendly fibres are attracting increasing attention from both policymakers and investors.

A notable example is Filatex India’s 300 crore investment in a chemical recycling-based polyester recycling plant, slated to be operational by 2026. Touted as India’s first such initiative, the plant will use patented technology to convert textile waste into recycled chips that can be spun into yarn marking a significant step towards circular textiles.

At the same time, global textile machinery leaders such as Yamato, Juki, Marzoli, ITEMA, Andritz and Adler Dunkrop are actively exploring India for manufacturing bases and joint ventures, reinforcing the country’s position as a future hub for textile technology.

With policy stability, rising foreign interest, and a sharp pivot towards sustainable and technology-led manufacturing, India’s textile sector is entering a decisive phase. The 60,000 crore investment milestone of 2025 is not just a number it is a signal that India’s textile industry is redefining itself for the global stage, one fibre, one factory, and one innovation at a time.