Punjab’s textile sector may find fresh room to grow under the state’s Industrial and Business Development Policy 2026, with the government aiming to build upon the industry’s established manufacturing and export foundation.
The state government is seeking to push the industry into high value segments such as technical textiles, industrial textiles, medical textiles, protective textiles and geotextiles.
Sustainable fibres, smart fabrics, functional materials and high-performance sportswear have likewise been earmarked as growth areas.
Chief Minister Bhagwant Mann said the state boasts an integrated textile ecosystem spanning cotton cultivation, spinning, yarn production, fabric manufacturing, weaving, processing, garment production and exports.
According to Mann, this ecosystem enables manufacturers to carry out the full production cycle within Punjab.
He said the state exported more than $1.2 billion worth of textile and apparel products during the financial year 2024-25, making up around 4% of India’s textile and apparel exports.
Products made in Punjab are sent to markets including the United States, the United Arab Emirates and the United Kingdom, he said.
The chief minister also spotlighted Ludhiana’s standing as a major knitwear and apparel cluster across north India.
According to him, the city accounts for around 90% of India’s woollen knitwear output and nearly 65% of the country’s hosiery output.
Mann said the recently unveiled industrial policy was drawn up following consultations with stakeholders.
He said it centres on infrastructure development, dependable power supply, skill development, innovation and export promotion.
These areas will prove vital for manufacturers seeking to upgrade production and compete within specialised textile markets.
The policy’s impact will hinge on how effectively investment is converted into fresh capacity, technology adoption and market access.
“The availability of trained workers, modern infrastructure and dependable utilities will be crucial in supporting expansion,” HT reported.
The proposed push into higher-value textile segments could help broaden the state’s industrial base, whilst the existing manufacturing clusters offer a platform for further growth.
Image courtesy: Loyal Textiles Mills
