ABSTRACT
The purpose of this chapter is to examine the growth performance of the Indian textile industry, its two groups, and the trends in labour and capital productivity. The export performance and direction of India’s textile exports at aggregate and disaggregate levels has also been discussed. The analysis revealed that there is an increase in the labour productivity along with an increase in capital intensity in the Indian textile industry and its two groups. It is also found that the Indian textile commodities have been able to capture demand in global market. The U.S. is still the key market for exports. The UK, Germany, Japan, China, Hong Kong Special Administrative Region, the Netherlands, Switzerland, Mauritius, Austria, Switzerland, and Singapore lost importance in India’s textile exports, while the UAE, Italy, Sri Lanka, Saudi Arabia, Turkey, China, and Egypt gained importance in exports. This reveals that Indian textile commodities have been able to acquire new export markets in the global market.
