The Indian textile industry is entering a new phase of growth.
Automation, technology, sustainability and value addition will play a key role. These areas can help textile companies improve efficiency and compete in global markets.
Southern India Mills’ Association (SIMA) Chairman Durai Palanisamy called for faster technology adoption in the textile sector.
He said India must expand beyond its strong base in cotton. The industry also needs to focus on man-made fibres (MMF), technical textiles and recycled fibres.
Sustainable products will also have a growing role. Textile companies can use new technology to improve production and develop higher-value products.
Palanisamy also said market diversification is important. It can help companies use new opportunities from India’s Free Trade Agreements.
Government Support for Textiles
Palanisamy thanked the government for recent steps to support the textile industry.
These steps include GST changes across the textile value chain. The government has also withdrawn Quality Control Orders for cotton and several MMF products.
Other measures include changes to the PLI Scheme and an extension of the export obligation period under Advance Authorisation.
The government has also supported exports through credit measures. RoDTEP has been restored, while RoSCTL has been extended.
Palanisamy also noted the temporary removal of the 11% import duty on cotton.
SIMA Raises Cotton Price Concerns
Cotton prices remain a key concern for the spinning industry.
Palanisamy said cotton makes up around 65–70% of yarn manufacturing costs.
He urged the government to take steps to reduce price volatility. He also called for changes in cotton import policy.
Palanisamy suggested permanent removal of the 11% import duty on cotton. He also called for a stronger role for the Cotton Corporation of India (CCI).
According to his proposal, CCI could maintain larger cotton reserves. This could help support greater price stability.
SIMA Elects New Office-Bearers
SIMA held its 67th Annual General Meeting in Coimbatore on September 22, 2026.
Durai Palanisamy was unanimously re-elected as Chairman for 2026–27.
S. Krishnakumar, Managing Director of Sulochana Cotton Spinning Mills, was re-elected as Deputy Chairman.
K. Sivaraj, Managing Director of Sivaraj Spinning Mills, was re-elected as Vice-Chairman.
The new SIMA leadership will serve during a period of change in the Indian textile industry. Automation, technology, sustainability and value addition remain key areas for the sector.
