Textile & Leather Sector


The textile sector plays a key role in the Indian economy by way of significant contribution to GDP, manufacturing output, employment generation, and export earnings. The sector contributes 14% to industrial production, 4% to India‘s GDP and constitutes 13% of the country‘s export earnings. The textile sector is one of the largest source of employment generators in India; it employs over 4.5 crore people, directly.

Large Weavers Base

Bihar is home of around one lakh weavers for whom manufacturing and dealing with fabric and garment is their livelihood. The presence of weavers‘ community is, therefore, an important asset base in terms of availability of skilled and semi-skilled workers for textile units. Apart from the regular weaver community, a large number of youths (especially, the female youth) in the state can be employed in the textile manufacturing units which can offer conducive employment opportunities such as sewing, stitching, cutting, and other tailoring requirements.

Textile Weaver India
Bhagalpuri Tussar Silk

Bhagalpuri Silk

Bihar has ample potential to house textile units and other value chain activities. Silk is the focus product in Bihar, for textile units. Bihar has been famous for the production of silk. Bhagalpur district of Bihar has been a centre of silk fabric manufacturing. Tassar silk of Bhagalpur is an exclusive product of Bihar which has the potential to fetch premium prices. Bihar had produced around 60 tonnes silk during 2014-15.

14,000 power-looms

There are 14,000 power-looms in Bihar concentrated mainly in Bhagalpur, Gaya, and Banka districts. Their main products are staple chadar/bed sheets, furnishing clothes, etc. There is a training centre at Nathnagar (Bhagalpur), run by the Ministry of Textiles, where 120 power-loom weavers are trained each year.
Power Looms Bihar
Jute Bihar


Jute is another fibre product produced in the state. Bihar produced around 1420 thousand tonnes of jute in 2014-15. A jute park is being establishing in Maranga, Purnea with an investment of INR 42.36 crore, by registered SPV M/s Punrasar Jute Park Ltd. Under PPP mode, the State Government has provided 44.30 acres land as equity and INR 2 crore as a grant. In the jute park, at present, two units M/s Tirupati Commodities Private Ltd. & M/s Punrasar Jute Park Training Centre have been established and are functional. They are producing jute yarn, jute twin, jute cloths and other jute products.

The High Priority Sectors for investment identified by the State Government in Textile, Apparel and Leather Sector are listed below:

SectorsInvestment Opportunity
Weaving / Knitting / Stitching(a) Power-loom and knitting(b) Production of Ready-made garments
Production of apparel and home textile(a) Woven and knitted apparel manufacturing(b) Hosiery products manufacturing(c) Carpets and other home textiles
Banana Fibre/Jute Fibre(a) Integrated units for processing Banana Fibres and manufacture of products using Banana Fibres like cloth and other items.(b) Integrated units for processing Jute Fibres and manufacture of products using Jute Fibres like cloth and other items.
Leather and Artificial Leather and leather substitute material(a) Manufacturing of garments/ Shoes/Slippers/footwear(b) Manufacture of furniture upholstery, upholstery for automobile (cars, etc.)(c) Manufacturing of leather goods (for e.g. labels, tags, belts, bags, purses hand gloves and other accessories, and fashion items)
  1. The end product for such units should be ready to the extent for consumption/sale in the retail market. Units manufacturing products that are intermediary in nature shall not qualify under this category. Accordingly all such units should also have the integrated packaging facility including coding and labelling etc.
  2. The above list of units/ enterprises is only indicative and the State Government may suitably revise the list under the high priority sector from time to time.

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