Which State Is the Textile Hub of India? Top Producer and Manufacturing Center

When you think of Indian textiles, you don’t just picture handwoven saris or block-printed kurtas-you think of factories humming 24/7, looms clicking in rhythm, and trucks hauling bolts of cloth to every corner of the world. But which state actually runs this massive industry? The answer isn’t a surprise to those who’ve seen the numbers: Tamil Nadu is the textile hub of India.

Tamil Nadu: The Engine of India’s Textile Industry

Tamil Nadu produces nearly 30% of India’s total textile output. That’s more than Gujarat, Maharashtra, and Uttar Pradesh combined. The state doesn’t just make fabric-it makes the entire supply chain work. From cotton spinning to dyeing, weaving to garment finishing, Tamil Nadu does it all under one roof.

Coimbatore, often called the "Manchester of South India," is the heart of this system. Over 30,000 textile units operate here, mostly small and medium-sized, but they account for 70% of the state’s spinning capacity. Tirupur, just 70 kilometers away, is the global epicenter for knitwear exports. It sends over $4 billion worth of t-shirts, sweaters, and leggings to the U.S., Europe, and Australia every year.

What makes Tamil Nadu so dominant? It’s not luck. It’s infrastructure. The state has over 1,200 power looms per square kilometer-more than any other region in the country. It also has the highest concentration of textile machinery manufacturers in India. Need a new shuttle? A replacement bobbin? A high-speed dyeing machine? You’ll find it in Erode or Salem, often made locally.

Why Not Gujarat or Maharashtra?

People often assume Surat, in Gujarat, is the top hub because of its sheer volume of synthetic fabric production. And yes, Surat is massive. It produces over 80% of India’s polyester and nylon fabrics. But Surat specializes in one thing: synthetic yarn and woven fabrics. It doesn’t do much in knitwear, home textiles, or ready-made garments.

Maharashtra, especially Mumbai and Pune, has strong garment exports and a big fashion scene. But most of its factories rely on fabric imported from Tamil Nadu. They cut and sew, but they don’t spin or weave at scale. Maharashtra’s strength is design and marketing-not raw production.

Tamil Nadu does both. It spins cotton into yarn, weaves it into fabric, dyes it, prints it, and turns it into finished clothes-all in the same state. That vertical integration is rare. It cuts costs, speeds up delivery, and gives manufacturers control over quality at every step.

The Real Numbers Behind the Textile Powerhouse

Here’s what Tamil Nadu actually produces:

• Over 5 million bales of cotton processed annually
• More than 12 million meters of fabric woven per day
• 35% of India’s total knitwear exports
• 80% of India’s denim production
• Over 2 million workers employed directly in textile units

Compare that to Gujarat: while it leads in synthetic fabric output, it only accounts for 18% of India’s total textile exports. Tamil Nadu leads in both volume and diversity. It’s not just about quantity-it’s about range. You’ll find organic cotton, technical fabrics for sportswear, embroidered home linens, and even flame-retardant textiles for hospitals-all made in Tamil Nadu.

How Tirupur Became the Global Knitwear Capital

Tirupur’s rise wasn’t accidental. In the 1980s, local entrepreneurs started exporting plain white cotton t-shirts to the U.S. They had low labor costs, good access to cotton from nearby fields, and a culture of fast adaptation. By the 2000s, they were producing branded apparel for Walmart, H&M, and Gap.

Today, Tirupur has over 3,000 knitwear units and 150+ dyeing and finishing plants. The entire town runs on a single wastewater treatment plant that recycles 95% of its water-a rare feat in global textile manufacturing. The government helped fund this plant in 2010 after the EU threatened to ban exports over pollution. That move saved the industry.

Now, Tirupur’s factories use digital printing, laser finishing, and automated cutting machines. They’re not stuck in the past. They’re leading in sustainable production, even as competitors struggle to keep up.

Other Key Textile Centers in India

While Tamil Nadu dominates, other regions play critical roles:

• Surat, Gujarat: The synthetic fabric king. Produces 80% of India’s polyester and nylon fabrics. Known for power looms and low-cost mass production.
• Bhagalpur, Bihar: The home of Tussar silk. Handwoven, natural, and prized for its texture. Still relies on traditional handlooms.
• Varanasi, Uttar Pradesh: Famous for Banarasi silk saris. Each sari can take months to weave by hand. High value, low volume.
• Coimbatore, Tamil Nadu: The spinning capital. Supplies yarn to factories across India and Southeast Asia.
• Ahmedabad, Gujarat: Home to some of India’s oldest textile mills, now shifting toward high-end technical textiles.

But none of these match Tamil Nadu’s scale, integration, or export reach. Surat makes fabric. Varanasi makes luxury. Bhagalpur makes artisanal. Tamil Nadu makes everything-and ships it globally.

Challenges Facing the Textile Hub

Even superpowers have cracks. Tamil Nadu’s textile industry faces real pressures:

• Energy costs are rising. Power shortages still hit smaller units during peak seasons.
• Younger workers prefer IT jobs over textile mills. Labor shortages are growing in spinning and weaving.
• Competition from Bangladesh and Vietnam is fierce. They offer lower wages and faster customs clearance.
• Environmental regulations are tightening. Many small dyeing units still struggle to meet water reuse standards.

But Tamil Nadu’s response has been smart. The state government launched the Textile Technology Upgradation Fund in 2023, offering subsidies for automation and eco-friendly dyeing. Over 1,200 units have already upgraded their machines. The result? Productivity jumped 22% in two years.

What’s Next for India’s Textile Hub?

The future isn’t just about making more clothes-it’s about making smarter ones. Tamil Nadu is now investing in:

• Smart textiles with embedded sensors for healthcare
• Recycled polyester from plastic waste
• AI-powered quality control systems
• On-demand manufacturing for fast fashion brands

Indian textile exports hit $46 billion in 2024. Tamil Nadu contributed over $14 billion of that. With global demand for sustainable, locally made apparel rising, the state is poised to grow even more.

If you’re buying cotton t-shirts, bed sheets, or denim from any major global brand, there’s a very good chance they were made in Tamil Nadu. It’s not just a state-it’s the backbone of a $50 billion industry.