UP’s Textile & Handloom Industry On Growth Path With Major Government Initiatives
Uttar Pradesh’s handloom and textile industry is experiencing unprecedented growth, emerging as the largest decentralized cottage industry after agriculture. The sector employs around 1.91 lakh handloom weavers and supports over 80,000 families, while more than 5.50 lakh weavers earn their livelihood through 2.58 lakh powerlooms.
To strengthen the industry, the UP government has launched key initiatives benefiting weavers and entrepreneurs. Under the PM Mitra Yojana, Rs 300 crore has been allocated for establishing textile parks with modern technology to reduce production costs and enhance competitiveness. These parks aim to position Uttar Pradesh as a leading textile hub on national and global platforms.
In a significant move, the government has implemented the Uttar Pradesh Textile-Garmenting Policy 2022 to accelerate textile and apparel industry growth. A provision of Rs 150 crore has been earmarked in the 2025-26 budget to attract investment, foster entrepreneurship and transform Uttar Pradesh into a major apparel manufacturing centre.
To address powerloom weavers’ challenges, the Atal Bihari Vajpayee Powerloom Vidyut Flat Rate Scheme has been introduced with a budget of Rs 400 crore, ensuring affordable electricity to lower production costs and boost income.
With modern textile parks, subsidized electricity and progressive policies, the Yogi government is driving a self-reliant textile sector, generating employment, fostering innovation and creating a conducive environment for sustained growth.
