Major Contributor to Indian Economy

• Most important economic activity, next only to agriculture
• Generates employment for over 3.5 crores of people, directly and indirectly
• Constitutes 14% of India's industrial activity
• Accounts for 4% of GDP (Gross Domestic Product)
• Forms 33% of our export earnings
• Is the largest net procurer of foreign exchange
• However, our share in the world textile trade is only 3%

Proactive steps are needed to increase our world share to above 10% and to improve quality and to increase productivity to internationally acceptable levels; to survive in the domestic markets after 2005 AD. The new World Trade Organisation has opened the doors to world-wide competition.