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India Cotton Yarn Market

ID: MRFR/CnM/46234-HCR
111 Pages
Chitranshi Jaiswal
October 2025

India Cotton Yarn Market Research Report: By Type (Carded Yarn, Combed Yarn, Others) andBy Application (Apparel, Home Textiles, Industrial Textiles, Other)- Forecast to 2035

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India Cotton Yarn Market Infographic
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India Cotton Yarn Market Summary

As per analysis, the India cotton yarn market Size was estimated at 10.16 USD Billion in 2024. The India cotton yarn market is projected to grow from 10.92 USD Billion in 2025 to 22.5 USD Billion by 2035, exhibiting a compound annual growth rate (CAGR) of 7.4% during the forecast period 2025 - 2035

Key Market Trends & Highlights

The India cotton yarn market is experiencing a robust growth trajectory driven by sustainability and technological advancements.

  • The market is increasingly oriented towards sustainability, reflecting a growing consumer preference for eco-friendly textiles.
  • Technological advancements in production processes are enhancing efficiency and quality in cotton yarn manufacturing.
  • India remains the largest exporter of cotton yarn, while the fastest-growing segment is organic cotton yarn, driven by rising environmental awareness.
  • Key market drivers include the rising demand for eco-friendly textiles and government support for sustainable practices.

Market Size & Forecast

2024 Market Size 10.16 (USD Billion)
2035 Market Size 22.5 (USD Billion)
CAGR (2025 - 2035) 7.49%

Major Players

Arvind Limited (IN), Vardhman Textiles Limited (IN), Himatsingka Seide Limited (IN), Loyal Textile Mills Limited (IN), Nahar Spinning Mills Limited (IN), KPR Mill Limited (IN), Sutlej Textiles and Industries Limited (IN), Sambandam Spinning Mills Limited (IN)

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India Cotton Yarn Market Trends

The cotton yarn market is currently experiencing a dynamic phase characterized by evolving consumer preferences and technological advancements. The demand for sustainable and organic cotton yarn is on the rise, as consumers increasingly prioritize eco-friendly products. This shift is likely influenced by heightened awareness regarding environmental issues and the desire for ethically sourced materials. Additionally, innovations in spinning technology are enhancing production efficiency, which may lead to improved quality and reduced costs. As a result, manufacturers are adapting their strategies to align with these trends, potentially reshaping the competitive landscape. Moreover, the cotton yarn market is witnessing a notable increase in exports, driven by favorable trade policies and growing international demand. Countries are recognizing the potential of Indian cotton yarn in various applications, from apparel to home textiles. This trend suggests a robust future for the sector, as it capitalizes on both domestic consumption and global opportunities. The interplay between local production capabilities and international market dynamics appears to be a crucial factor influencing growth. Overall, the cotton yarn market is poised for continued evolution, reflecting broader shifts in consumer behavior and technological progress.

Sustainability Focus

There is a marked trend towards sustainability within the cotton yarn market, as consumers increasingly seek eco-friendly options. This shift is prompting manufacturers to explore organic cotton and sustainable practices, which may enhance brand loyalty and attract environmentally conscious buyers.

Technological Advancements

Innovations in spinning technology are transforming production processes in the cotton yarn market. Enhanced machinery and techniques are likely improving efficiency and quality, enabling producers to meet rising demand while potentially reducing operational costs.

Export Growth

The cotton yarn market is experiencing a surge in exports, driven by favorable trade policies and increasing global demand. This trend suggests that Indian manufacturers are well-positioned to capitalize on international markets, potentially leading to expanded opportunities and revenue growth.

Market Segment Insights

By Type: Carded Yarn (Largest) vs. Combed Yarn (Fastest-Growing)

In the India cotton yarn market, the segment distribution showcases Carded Yarn as the leading segment, holding a significant market share. In contrast, Combed Yarn, while smaller, is gaining momentum due to its superior quality and demand in premium fabric applications. The Other category also contributes but remains less influential compared to the main segments. Growth trends in this market are largely driven by the rising demand for high-quality textiles and apparel. With increasing consumer preference for durable and comfortable fabrics, Combed Yarn is emerging as the fastest-growing segment. Additionally, technological advancements in spinning processes are enhancing the quality and efficiency of cotton yarn production, further propelling market growth for both Carded and Combed Yarns.

Carded Yarn (Dominant) vs. Combed Yarn (Emerging)

Carded Yarn is the dominant segment in the cotton yarn market, favored for its cost-effectiveness and versatility in various applications. It serves as a foundational material for a wide range of textiles such as garments and home furnishings. On the other hand, Combed Yarn, while emerging, is positioned as a high-quality alternative. It is characterized by its finer texture and strength, making it highly sought after for upscale clothing lines. The distinction between these segments not only reflects their market share but also their targeted consumer bases, with Carded Yarn appealing to budget-conscious buyers and Combed Yarn attracting those willing to invest in premium quality.

By Application: Apparel (Largest) vs. Home Textiles (Fastest-Growing)

In the India cotton yarn market, the application segment is dominated by Apparel, which holds a significant share. This sector benefits from the increasing demand for fashion and everyday clothing among a growing population, leading to lucrative opportunities for growers and manufacturers. In contrast, Home Textiles represents a rapidly expanding sector, fueled by rising home improvement trends and consumer interest in sustainable and organic textiles. As a result, this segment is seeing notable growth in both production and consumption. The growth trends in these segments showcase varied drivers. The Apparel segment is continually influenced by changing consumer preferences, fashion trends, and the increase in disposable income, contributing to steady growth. Meanwhile, the Home Textiles sector is emerging as the fastest-growing segment due to the growing Middle-Class population and rising focus on home aesthetics. As sustainability becomes a priority, manufacturers are shifting towards eco-friendly cotton yarns, appealing to a more environmentally conscious consumer base, thereby fueling its rapid expansion.

Apparel: Dominant vs. Industrial Textiles: Emerging

Apparel remains the dominant force in the India cotton yarn market, anchored by constant demand for both traditional and contemporary fashion. This sector benefits greatly from the rich cultural heritage of textile use in India, coupled with modern styling trends. With a significant consumer base looking for variety and quality, apparel manufacturers continue to invest heavily in innovative cotton yarns to meet consumer expectations. Conversely, Industrial Textiles represents an emerging segment characterized by specialized fabric requirements for sectors such as automotive and construction. This segment is gaining traction due to increased industrial activities and the demand for durable textile solutions. However, it requires adaptation to various standards and strict quality checks, which can be a barrier to entry for some players.

Get more detailed insights about India Cotton Yarn Market

Key Players and Competitive Insights

The cotton yarn market in India is characterized by a competitive landscape that is both dynamic and multifaceted. Key growth drivers include increasing demand for sustainable textiles, technological advancements in production processes, and a growing emphasis on digital transformation. Major players such as Arvind Limited (India), Vardhman Textiles Limited (India), and Himatsingka Seide Limited (India) are strategically positioned to leverage these trends. Arvind Limited (India) focuses on innovation in sustainable practices, while Vardhman Textiles Limited (India) emphasizes regional expansion and supply chain optimization. Collectively, these strategies contribute to a competitive environment that is increasingly shaped by sustainability and technological integration.In terms of business tactics, companies are localizing manufacturing to reduce lead times and enhance responsiveness to market demands. The market structure appears moderately fragmented, with several key players exerting influence over pricing and product offerings. This fragmentation allows for a diverse range of products, catering to various consumer preferences, while also fostering competition among established and emerging players.

In October Arvind Limited (India) announced a partnership with a leading technology firm to develop AI-driven solutions for optimizing production efficiency. This strategic move is likely to enhance their operational capabilities, allowing for more precise forecasting and inventory management, which could lead to reduced costs and improved customer satisfaction. Such initiatives underscore the importance of technology in maintaining competitive advantage in the market.

In September Vardhman Textiles Limited (India) launched a new line of organic cotton yarn, responding to the increasing consumer demand for sustainable products. This initiative not only aligns with global sustainability trends but also positions the company as a leader in eco-friendly textiles. The introduction of organic products may attract a new customer base, thereby expanding their market share and reinforcing their commitment to sustainability.

In August Himatsingka Seide Limited (India) expanded its manufacturing capabilities by investing in a new facility dedicated to producing high-quality cotton yarn. This expansion is indicative of the company's strategy to enhance production capacity and meet the growing demand for premium textiles. By increasing their output, Himatsingka Seide Limited (India) is likely to strengthen its market position and improve its competitive edge.

As of November current trends in the cotton yarn market are increasingly defined by digitalization, sustainability, and the integration of advanced technologies such as AI. Strategic alliances among key players are shaping the landscape, fostering innovation and collaboration. The competitive differentiation is expected to evolve, moving away from traditional price-based competition towards a focus on innovation, technology, and supply chain reliability. This shift suggests that companies that prioritize these aspects will likely emerge as leaders in the market.

Key Companies in the India Cotton Yarn Market include

Industry Developments

The India Cotton Yarn Market has seen various developments recently, particularly amidst rising cotton prices and demand fluctuations. In September 2023, Vardhman Textiles announced an increase in production capacity to meet growing domestic and international order volumes. Madura Coats reported plans to expand its product lines to include eco-friendly cotton yarn variants, reflecting a shift towards sustainable practices. In August 2023, KPR Mill disclosed a partnership with international retailers to enhance export growth, aligning with India's government's initiative to boost textile exports.

There have been no widely reported mergers or acquisitions involving the highlighted companies, such as Siyaram Silk Mills or Reliance Industries, in recent months. The market valuation of companies like Grasim Industries and Nahar Spinning Mills has witnessed a steady increase owing to robust demand for cotton yarn in the textile sector, further fueled by rising consumer interest in cotton garments. Over the last 2-3 years, notable happenings include a significant surge in cotton prices in April 2022 and subsequent governmental efforts to regulate exports to stabilize local markets.

This context is critical as India’s textile sector remains a vital component of the economy, contributing significantly to employment and GDP.

Future Outlook

India Cotton Yarn Market Future Outlook

The cotton yarn market is projected to grow at 7.49% CAGR from 2025 to 2035, driven by rising demand in textile applications, technological advancements, and sustainable practices.

New opportunities lie in:

  • Invest in automated spinning technologies to enhance production efficiency.
  • Develop eco-friendly cotton yarn products to cater to sustainability-focused consumers.
  • Expand distribution channels through e-commerce platforms to reach broader markets.

By 2035, the cotton yarn market is expected to achieve robust growth and increased competitiveness.

Market Segmentation

India Cotton Yarn Market Type Outlook

  • Carded Yarn
  • Combed Yarn
  • Others

India Cotton Yarn Market Application Outlook

  • Apparel
  • Home Textiles
  • Industrial Textiles
  • Others

Report Scope

MARKET SIZE 2024 10.16(USD Billion)
MARKET SIZE 2025 10.92(USD Billion)
MARKET SIZE 2035 22.5(USD Billion)
COMPOUND ANNUAL GROWTH RATE (CAGR) 7.49% (2025 - 2035)
REPORT COVERAGE Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
BASE YEAR 2024
Market Forecast Period 2025 - 2035
Historical Data 2019 - 2024
Market Forecast Units USD Billion
Key Companies Profiled Arvind Limited (IN), Vardhman Textiles Limited (IN), Himatsingka Seide Limited (IN), Loyal Textile Mills Limited (IN), Nahar Spinning Mills Limited (IN), KPR Mill Limited (IN), Sutlej Textiles and Industries Limited (IN), Sambandam Spinning Mills Limited (IN)
Segments Covered Type, Application
Key Market Opportunities Growing demand for sustainable and organic cotton yarn presents significant market opportunities.
Key Market Dynamics Rising demand for sustainable cotton yarn drives innovation and competition among local manufacturers in the market.
Countries Covered India
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FAQs

What is the projected market size of the India Cotton Yarn Market in 2024?

The projected market size of the India Cotton Yarn Market in 2024 is valued at 10.25 USD Billion.

What is the expected value of the India Cotton Yarn Market by 2035?

The expected value of the India Cotton Yarn Market by 2035 is 22.5 USD Billion.

What is the CAGR for the India Cotton Yarn Market from 2025 to 2035?

The CAGR for the India Cotton Yarn Market projected from 2025 to 2035 is 7.409%.

Which type of cotton yarn is expected to dominate the market in 2024?

Carded Yarn is expected to dominate the market in 2024, valued at 4.5 USD Billion.

What will be the market value for Combed Yarn in 2035?

The market value for Combed Yarn is projected to be 7.0 USD Billion in 2035.

What are the key players in the India Cotton Yarn Market?

Some key players in the India Cotton Yarn Market include Vardhman Textiles, Grasim Industries, and Reliance Industries.

How much is the Others segment valued in the India Cotton Yarn Market in 2024?

The Others segment in the India Cotton Yarn Market is valued at 2.75 USD Billion in 2024.

What market growth trends are anticipated for the India Cotton Yarn Market?

The India Cotton Yarn Market is expected to experience a steady growth trend driven by increasing demands in apparel and home textiles.

What challenges could impact the growth of the India Cotton Yarn Market?

Challenges such as fluctuating raw material prices and competition from synthetic fibers could impact the growth of the India Cotton Yarn Market.

What will be the market size for Carded Yarn by 2035?

The market size for Carded Yarn is projected to reach 10.0 USD Billion by 2035.

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