A 15% increase in the allocation for the textiles ministry is expected in FY26, bringing the budget to approximately ?5,080 crore. This boost includes a significant 33% rise in the funding for the Production Linked Incentive (PLI) scheme, which aims to strengthen the domestic manufacturing sector and boost textiles exports.

With the government's focus on expanding the textiles sector, the increase in budgetary support is part of a broader strategy to foster growth in the industry. By enhancing the PLI scheme, the government seeks to incentivize domestic production, driving innovation and improving manufacturing processes. The goal is to increase India’s textiles exports and enhance its competitiveness in the global market, aiming for a prominent position by 2047.

This rise in funding aligns with the government's long-term vision of positioning India as a key global player in textiles. The focus is on creating a robust supply chain, improving quality, and leveraging technology to drive sustainable growth. The increased PLI funds will encourage investment and enhance the overall efficiency of the textiles industry, ensuring it remains a vital contributor to the country’s economic development.

The hike in allocation will likely create new opportunities for manufacturers, both large and small, leading to increased employment and the development of new technologies. As the sector looks to recover and grow, this financial boost is expected to fuel innovation, expand market reach, and contribute significantly to India’s export targets. With these investments, the textiles industry is set to become an even more integral part of India’s economic trajectory in the decades to come.