Tiruppur weaves a new synthetic future, eyes ₹25,000 cr exports by 2030

The textile hub embraces man-made fibres, aiming for ₹25,000 crore worth of exports by 2030, even as it struggles with ecosystem gaps and fierce competition. Shine Jacob's ground report

Many call it a quiet textile revolution, engineered by the Tamil Nadu government alongside a determined group of exporters in Tiruppur. Long recognised as India’s knitwear capital and a hub of cotton textiles, the city is now making waves in the global market for man-made fibre (MMF) garments — powered by aggressive policies and bold industry moves.

 

The figures are striking. From virtually no exposure to MMF four years ago, Tiruppur is today exporting around $500 million worth of such garments. The timing is significant: Globally, MMFs such as polyester, viscose, and nylon account for more than 60 per cent of fibre consumption, compared with about 25 per cent for cotton.

 

When Business Standard met K M Subramanian, president of the Tiruppur Exporters’ Association (TEA) and promoter of KM Knitwear, he laid out a road map. “Our target is to increase the export revenue from ₹44,747 crore to ₹1 trillion by 2030. The idea is to raise the share of MMF from around ₹4,500 crore ($500 million) now to ₹25,000 crore ($3 billion) by then,” Subramanian said. “We had near zero MMF in our basket almost four years back,” he added.

 

The spark

 

The segment got a leg up from a special scheme launched by the M K Stalin government a few years ago, offering subsidies to MMF yarn, fabrics made from recycled materials, and technical textiles manufacturing units. This was followed by a partnership with Taiwan, a global leader in MMF processing, and, this June, a new integrated textile policy that earmarked ₹250 crore to strengthen the ecosystem.

 

The Tiruppur industry expects at least ₹1,000 crore of MMF processing investments this year, and over ₹10,000 crore over the next five years.

 

Taiwanese chemical, machinery, dye, and technology suppliers have already set up a base in Tiruppur, providing expertise to help transition. The roster includes Tainan Enterprise, Lealea Group, Alchemie Taiwan, and Hsing Yong Ho. By late July, leaders from these companies had convened a series of meetings with local businesses.

 

Tamil Nadu’s own textile giants have stepped forward too. Companies such as Menaka Mills, SCM Garments, TechnoSport, Best Corporation, CR Garments and Shobikka Knits are investing heavily in MMF knitting and processing. “We are getting help from Taiwanese companies, and some are already in Tiruppur. Around six companies have built their manufacturing units. We need 20–30 more to achieve the $3 billion export target for 2030,” said Sunil Jhunjhunwala, co-founder of sportswear company Technosport. India must accelerate its free-trade agreements with the US and EU to secure a level playing field in global markets, he added.

 

“All the global sportswear and activewear giants like Adidas are looking for MMF. It is the future, and we have to catch up with other markets importing fabrics from China, Taiwan, and South Korea initially and exporting garments made out of it, until the ecosystem is developed,” said A Sakthivel, founder of Poppys Knitwear and TEA chairman.

 

The Centre has also stepped in with a push, through the production-linked incentive (PLI) scheme and the development of PM MITRA parks dedicated to MMF apparel, fabrics, and technical textiles.

 

Challenges ahead

 

MMFs fall into two broad categories: Synthetic, derived from crude oil, such as polyester, acrylic and polypropylene; and cellulosic, produced from wood pulp, like viscose and modal. While India has a foothold in cellulosic fibres, exporters say it needs an overhaul.

 

“Indian companies should also invest in new-age MMF like lyocell and polyester filament, rather than continued investment in conventional products. These new-generation products are most sought after in the global market,” Jhunjhunwala observed, pointing out that China dominates in this space. Imports of Chinese fabrics are currently hindered by the quality control order (QCO), adding another bottleneck.

 

Others warn India risks being left behind. “By 2016, we had 40 kilotonne lyocell supplies, and we are at the same level now, whereas China zoomed from zero to 2,000 KT during the same time,” said an industry leader.

 

At present, India holds just 3.4 per cent of the global trade in MMF textiles. Projections suggest exports will rise by 75 per cent to $11.4 billion by 2030, from the current $6.5–7 billion. Yet, according to Arun Ramasamy, chairman of TEA’s MMF Sub-Committee, “We have a knowledge gap compared to China, Taiwan, Vietnam and other MMF-advancing countries, affecting the production of high-quality, value-added MMF products. These issues need to be addressed immediately.”

 

TEA’s plan is clear: Import fabrics and manufacture garments for the US and EU markets; plough investment into knitting and processing; and within five years, establish a full value chain of MMF including yarn, dyes and chemicals.

 

If the blueprint unfolds as intended, Tiruppur —long defined by cotton — could soon weave a new chapter in India’s textile story.