Update (October 15): Commerce Ministry data released on October 15 show India’s merchandise exports rose about 23% year on year to $44.4 billion in September 2026. Exports for April to September reached $259.89 billion, up 18.51%. The Ministry of Textiles’ segment-wise figures for September were not yet available to us when this article was translated.
New Delhi, September 18: India’s textile exports rose 16.1% year on year to ₹29,776 crore in August 2026, from ₹25,656 crore in August 2025, according to Ministry of Textiles data released on September 17. Growth came from several segments at once: cotton, man-made textiles, carpets, handicrafts and ready-made garments all rose.
Exports for the first five months of the financial year, April to August, rose 10.3% to ₹1.43 lakh crore, the ministry said, as reported by KNN India.
Key highlights
- Textile exports were ₹29,776 crore in August 2026, against ₹25,656 crore a year earlier, a rise of 16.1%.
- April to August exports rose 10.3% to ₹1.43 lakh crore.
- Handicrafts (excluding handmade carpets) jumped 41.4% and cotton-based products rose 24.1%.
- Ready-made garments, the most job-intensive segment, grew a slower 6.1%.
What the August figures show
According to the Ministry of Textiles data reported by KNN India, exports of cotton yarn, fabrics, made-ups and handloom products rose 24.1% from a year earlier. Man-made yarn, fabrics and made-ups grew 19.9%, and carpets 15.0%. Handicrafts, excluding handmade carpets, posted the fastest rise at 41.4%.
Ready-made garments grew 6.1%, slower than the other segments. The direction still matters: the garment industry employs millions of workers, many of them women, and depends heavily on small and medium enterprises. Higher exports can feed through to production, order books and local jobs.
| Segment | August 2026 growth | April–August 2026 growth |
|---|---|---|
| Handicrafts (excl. handmade carpets) | 41.4% | 44.0% |
| Cotton yarn, fabrics, made-ups, handloom | 24.1% | 18.0% |
| Man-made yarn, fabrics, made-ups | 19.9% | 13.6% |
| Carpets | 15.0% | 11.9% |
| Ready-made garments (all textiles) | 6.1% | Not reported |
| All textiles | 16.1% | 10.3% |
Our calculation: exports rose by ₹4,120 crore in August (₹29,776 crore minus ₹25,656 crore). Of the four segments with five-month data, three (cotton, man-made textiles and carpets) grew faster in August than over April–August as a whole; only handicrafts grew more slowly. That suggests the August jump was broad-based rather than driven by one product line.
The five-month picture
The April–August rise of 10.3% matters because a single strong month can reflect shipment timing or a weak base a year earlier. Five months of growth points to a wider trend. The ministry said the “sustained growth across major segments” reflects rising competitiveness and diversification.
It is still too early to call it a lasting gain. Global demand, freight costs, raw material prices, the exchange rate and consumer conditions in big buyer countries will shape the next few months. Orders and actual shipments can also differ.
Textiles in India’s wider export data
Separate Commerce Ministry figures showed India’s total exports of goods and services in August were an estimated $82.68 billion, up 25.41% year on year. Merchandise exports alone were $43.81 billion, against $34.74 billion a year earlier, according to the PIB release and a report in The Pioneer.
One caution for readers: the textile figures are in rupees, while the overall trade figures are in dollars. The two growth rates cannot be compared directly, because they differ in currency and coverage. Engineering goods, electronics, petroleum products and services also make up a large part of total trade.
What it means
Growth in both cotton and man-made textiles shows the value of a mixed product base. India has a long-standing strength in natural fibres, while man-made textiles account for a large share of global demand. The surge in handicrafts is a possible opening for small makers and artisan clusters, though the segment is smaller than the big industrial ones.
Exporters will now try to turn the momentum into longer-term orders. Quality standards, fast delivery, environmental compliance and design capacity weigh heavily with international buyers. Textiles are also sensitive to tariffs and trade rules in large markets such as the United States and Europe, where a policy change can quickly move orders to other countries. Costs of cotton and synthetic fibre, power, working capital and technology at small firms will decide margins.
What to watch
- September and festive-season shipments, which will show whether the August pace holds.
- Market-wise data and new orders, especially for ready-made garments.
- The share of small and medium enterprises in the export growth, and data on profits and jobs.
This article was first published in Hindi and has been translated. The Press of Asia now publishes in English only.
Sources
- PIB / Ministry of Textiles: August 2026 textile export data
- PIB / Ministry of Commerce: India’s foreign trade data for August 2026
The Business Desk covers markets, the economy, companies and personal finance. Stories are checked against at least two credible sources before publication.
