Textiles and Clothing in India
Cotton vs Synthetics: The Fibre Question
Why the world has shifted towards polyester and other man-made fibres, why India's industry leaned on cotton, and what this means for competitiveness.
Globally, synthetic fibres like polyester now make up the majority of textile fibre use, while cotton’s share has fallen.
Why synthetics grew
- Cheaper and more stable prices than cotton.
- Durable and easy to care for.
- Suited to sportswear and athleisure.
- Not dependent on weather or harvests.
India’s cotton tilt
India’s industry grew around cotton, the traditional fibre. Global trade, however, increasingly demands man-made fibre (MMF) products like sportswear and technical textiles.
Policy barriers
- Higher costs for synthetic raw materials in India at times, due to duties and quality control orders on inputs.
- A tax structure that historically made some synthetic inputs costlier.
These raised costs for garment makers using MMF, reducing competitiveness against countries with cheap polyester.
Policy response
- The PLI scheme for textiles (2021) targets MMF apparel and technical textiles.
- GST changes reduced some inversions in the tax structure.
Environmental angle
- Cotton needs lots of water and pesticides.
- Polyester is made from fossil fuels and sheds microplastics.
- Neither is perfectly green; recycling is growing.
A global brand wants polyester running shirts. A Vietnamese factory can source cheap polyester fabric locally, while an Indian factory faces higher input costs, so the order goes to Vietnam.
Man-made fibres like polyester now make up the majority of global fibre use.
- Synthetic fibres now dominate global fibre use.
- India's industry grew around cotton.
- High input costs have hurt India's man-made fibre competitiveness.
- The textiles PLI scheme targets MMF and technical textiles.
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