India’s textile sector is one of the largest contributors to the country's economy, accounting for approximately 2.3% of GDP and 12% of export earnings. The industry is expected to reach USD 190 billion by 2025-26, driven by both domestic demand and export growth. The textile industry is also labour-intensive, employing over 45 million people directly and 100 million in allied industries. With a renewed focus on sustainability and innovation, there is significant scope for further investment and modernization in the sector.

Primus Partners was engaged by a leading listed legacy conglomerate in the textile sector to facilitate an investment of over INR 200 crore. This investment aims to set up manufacturing plant, streamlining processes, improve product quality, and expand operations both in domestic and international markets. Primus Partners played a crucial role in enabling this investment by providing end-to-end facilitation services, from project planning to securing government incentives.

Our Approach

Primus Partners employed a comprehensive and strategic approach to facilitate the client's investment in the textile sector, focusing on the following areas:

Preparation of a Detailed Project Report (DPR): We conducted a thorough market analysis, including demand forecasting, regulatory review, and competitive benchmarking, to craft a detailed project report aligned with the company’s objectives and the government’s vision for the textile sector.

Incentive Design and Negotiation: Leveraging government schemes and other state-specific incentives, Primus designed a favourable incentive package, which included tax breaks, subsidies, and financial grants. We also supported negotiations with state governments to secure the best possible incentives for the client.

Stakeholder Coordination: Primus worked closely with various stakeholders, including government agencies and regulatory bodies, to secure necessary approvals such as environmental clearances and licenses. This ensured smooth project implementation and compliance with all regulations.

Timely Availment of Incentives: Primus ensured that the client was able to avail of government incentives on time, including tax exemptions, grants, and other financial support measures to reduce capital expenditure.

Policy Advocacy: We provided policy advocacy services to align the client’s investment goals with national textile policies, ensuring long-term support and growth in the sector.

The Benefits

Job Creation: The investment will generate employment opportunities in textile manufacturing and related industries

Increased Export Revenue: Enhanced production capacity will contribute to increased export earnings for India’s textile sector

Women Empowerment: A large portion of the workforce will be women, promoting gender equality and economic independence

Sustainable Practices: Adoption of eco-friendly materials and processes will reduce environmental impact

Skill Development: Training and development programs will enhance the skills of workers, improving productivity and innovation in the textile industry