Karnataka government announces new Textile and Apparel Policy
Karnataka unveils Textile and Apparel Policy 2026-31 to attract ₹20,000 crore investment, create 5 lakh jobs, and boost exports and local manufacturing.
The policy aims to secure ₹20,000 crore in domestic and foreign direct investment across Karnataka’s textile value chain over the next five years, and create 5 lakh new jobs in the sector
Updated - September 30, 2026 09:14 pm IST - Bengaluru
Activities related to silk yarn production, including silk reeling and silk spinning, have been brought within the scope of the policy. | Photo Credit: File photo
The Karnataka government announced a new Textile and Apparel Policy 2026-2031, with an aim to secure ₹20,000 crore in domestic and foreign direct investment across Karnataka’s textile value chain over the next five years. The policy also aims to create 5 lakh new jobs in the sector, with a focus on Kalyana Karnataka and tier-2/3 cities.
The policy was introduced in accordance with the 100-day campaign programmes of the Chief Minister and was approved by the Cabinet.
According to the government, special emphasis has been laid on 34 taluks to promote new investments and generate employment. Units in these taluks are eligible for additional incentives and concessions under the policy. Activities related to silk yarn production, including silk reeling and silk spinning, have been brought within the scope of the policy.
The new policy also looks at strengthening local manufacturing systems, building global competitiveness to drive exports, improving market linkages, establishing a comprehensive skill development framework. and building state-of-the-art textile clusters, among others.
Revitalising the handloom sector, positioning Geographical Indicator (GI) products, and establishing Centre of Excellence and ensuring sustainable practices are some of the other focus areas.
Published - September 30, 2026 09:12 pm IST
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