ECONOMICS IN ACTION: India’s Textile and Garment Industry

Bilkul Bazaar | Sunday Special

By Rafat Quadri

India’s Textile and Garment Industry: From Cotton Fields to Fashion Stores

Have you ever wondered what happens before a shirt reaches a showroom, a saree arrives at a textile shop or a bedsheet becomes part of your home?

Behind every garment and piece of fabric lies a vast business network involving farmers, traders, textile mills, yarn manufacturers, weavers, processors, garment factories, exporters, wholesalers and retailers.

India’s textile and garment industry is one of the country’s oldest and most significant industrial sectors. It is not just about clothing. It is about agriculture, manufacturing, technology, employment, trade and an enormous chain of businesses that connect villages, industrial towns and global markets.

But how does this business actually work? And where does the money flow?

1. It All Begins with Raw Materials

The journey starts with raw materials.

Cotton is one of the most important natural fibres used by India’s textile industry. Other materials include silk, wool, jute and synthetic fibres such as polyester and nylon.

Cotton farmers grow and harvest the crop, which is then sold to traders, ginning units and textile mills.

Ginning separates cotton fibres from seeds, preparing the fibre for further processing.

Synthetic fibres follow a different route, generally beginning with petrochemical-based raw materials.

The business angle: Even before manufacturing begins, agriculture, trading, transportation and raw-material processing generate economic activity.

2. From Fibre to Yarn: The Spinning Business

The next stage is spinning.

Textile mills process raw fibres into yarn, which becomes the basic material for making fabrics.

Spinning mills invest in machinery, electricity, labour, maintenance and raw materials. Their earnings depend on factors such as production capacity, yarn quality,

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