The state recorded 10% growth in textile, apparel and handicraft exports while advancing plans to strengthen its position as a global textile manufacturing and export hub.
Uttar Pradesh’s textile, apparel and handicraft exports increased by 10% to nearly ₹35,000 crore in FY26, compared with more than ₹31,804 crore in FY25. The growth comes as the state works to expand its textile manufacturing base and strengthen its presence in international markets.
Uttar Pradesh is currently India’s third-largest fabric manufacturing state, contributing around 13% of the country’s domestic fabric production. The textile and apparel industry provides employment to approximately 1.5 million people in the state, including an estimated 200,000 handloom weavers and 500,000 powerloom weavers.
The state is also seeking to attract additional investment into the sector. Investment proposals worth ₹5,196 crore were formalised through memoranda of understanding at the UP Textile Conclave 2026 in Lucknow. The government has outlined an ambition to develop the complete textile value chain, from fibre and yarn to fabric, garments and branded products for global markets.
Uttar Pradesh has a particularly strong position in the carpet segment, accounting for around 90% of India’s carpet production. Gautam Buddha Nagar also emerged as a major export centre, recording textile-related exports of ₹21,000 crore in FY26 and ranking second among the country’s major exporting districts, according to the report.
The state’s textile heritage is also reflected in its geographical indications. Seventeen textile products from Uttar Pradesh have received GI tags, recognising products associated with specific locations and traditional manufacturing practices.
Beyond conventional textiles, the state government is placing greater emphasis on technical textiles, which have applications in areas such as defence, healthcare, agriculture and sports. The government has indicated that strengthening technical capabilities will be important as Uttar Pradesh expands into higher-value textile segments.
Land has already been identified for textile-related projects in Varanasi, Amroha, Bareilly, Sant Kabir Nagar and Bijnor, while similar efforts are underway in other locations. These developments are intended to support additional manufacturing capacity and investment across different parts of the state.
The export growth comes against a mixed national backdrop. Business Standard reported separately that India’s overall textiles and garment exports declined 2.2% in dollar terms to $35.8 billion in FY26, making Uttar Pradesh’s reported 10% increase in textile, apparel and handicraft exports a notable state-level development.
With new investment proposals, expanding manufacturing infrastructure and a focus on technical textiles, Uttar Pradesh is seeking to increase its role across the textile value chain and further connect its traditional textile clusters with domestic and international markets.