Textiles and Apparel
Overview of India
₹4,02,000 crore
(US $ 66.4 billion)
contribution to the GDP of India in
Largest manufacturing
capacity in textile and apparel globally
contribution to industrial production in 2013-14
contribution to the GDP in 2013-14
contribution to the country's exports in 2013-14
4.5 crore
employment generated directly by the sector in 2013-14
₹2,40,000 crore
(US $ 39.6 billion)
worth of textiles and apparel exports during 2013-14
India’s share in global textiles production in the year 2013
Destination Andhra Pradesh
25 lakh bales
(provisional)production of cotton in 2015-16
Brandix India apparel city in Vishakhapatnam
a platform for end to end apparel solutions
Strong presence of textile based industries in Guntur, Chittoor, Dr. Y.S.Rajasekhara Reddy and Kurnool districts
Integrated textile park, Edlapadu
coming up on Guntur-Chennai national highway
Andhra Pradesh is famous for Dharmavaram silk, Venkatagiri sarees, Chirala sarees, Ponduru khadi etc.
in ease of doing business
by World Bank
Excellent logistics and reliable infrastructure available
Skilled labour workforce available
Drivers of Growth
FDI allowance from Government of India
Rising per capita income
India’s per capita income rose by 7.4% to ₹93,293 in 2015-16
Growth in domestic demand and exports
Abundant raw material, skilled manpower and lower cost of production
Favorable demographics and shift in preference for branded products
Key Policy Targets
₹6,000 crore
(US $ 899 million)
of new investments in the sector by 2020
employment opportunities
to be created in the sector by 2020
Key Fiscal Incentives
Interest subsidy

To be capped at 12.5% per annum, after taking into account assistance from all sources (centrally sponsored TUF scheme, industrial policy of the State, etc.)

VAT/CST/SGST concession

Refund for VAT/CST/SGST paid by the unit on purchases of intermediate product/raw material; VAT/CST/SGST reimbursement is available for tax collected on end product/intermediate product, upto 100% of eligible fixed capital investment in plant and machinery

Power tariff subsidy

₹1/unit for Spinning and Modern Ginning and ₹1.50/unit for others (including technical textiles) for 5 years

Stamp duty

100% reimbursement on land lease for setting up Textile and Apparel Parks

Setting up common infrastructure

Upto 50% of expenditure incurred for setting up common infrastructure in Textile and Apparel Parks, upto maximum of ₹15 crore/₹30 crore for Composite Park

Investment in technology

Upto 50% financial assistance for investment in technology, limited to ₹25 lakh per process/product

Capital subsidy

Upto ₹10 crore for standalone garmenting and apparel units

Amaravati Textiles
Kallam Spinning Mills

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Amuktha Meher


Textile & apparel policy 2015-20 DOWNLOAD