Which City Is Called the City of Textile? The Real Story Behind India’s Textile Capital

Ask anyone in India’s textile industry where the heart of fabric production beats, and they’ll point to one place without hesitation: Surat. But why Surat? And why not Ahmedabad, Coimbatore, or Panipat? The title ‘City of Textile’ isn’t just a nickname-it’s earned through decades of raw output, innovation, and sheer scale.

Surat: The Uncontested Textile Powerhouse

Surat, in the state of Gujarat, isn’t just a city with textile factories. It’s a textile ecosystem. Over 80% of India’s synthetic fabric production happens here. That includes polyester, nylon, and blended fibers that make up nearly 70% of global apparel fabric. The city doesn’t just weave cloth-it spins the entire supply chain. From yarn spinning units to power looms, from dyeing units to export packing houses, Surat has it all under one roof.

More than 12,000 textile units operate in Surat. Each one runs 24/7, feeding global brands like Zara, H&M, and Walmart. The city’s power loom clusters alone produce over 2 billion meters of fabric annually. That’s enough to cover the surface area of Luxembourg twice. And Surat doesn’t stop at fabric. It’s also India’s largest diamond polishing hub, but even that industry pales next to its textile output.

Why Not Ahmedabad?

Ahmedabad used to hold the crown. In the 1920s, it was India’s first major textile center, thanks to its cotton mills and colonial-era infrastructure. But when synthetic fibers took over in the 1980s, Ahmedabad struggled to adapt. Its mills were built for cotton, not polyester. Surat, on the other hand, had no legacy infrastructure to cling to. It started fresh-building modern, automated looms, investing in chemical dyeing tech, and training workers in high-speed production.

Today, Ahmedabad still has textile units, but they’re mostly small-scale and focused on traditional cotton handlooms. Surat dominates the high-volume, high-speed segment that the global market demands. The shift wasn’t sudden-it was inevitable. As demand for cheap, colorful, quick-turnaround fabrics exploded, Surat became the only place that could deliver at scale.

The Numbers Don’t Lie

Here’s what Surat actually produces:

• Over 90% of India’s polyester yarn output
• More than 85% of the country’s synthetic fabric
• 70% of India’s total textile exports by value
• Over 1 million workers directly employed in textile manufacturing
• 15,000+ power looms operating daily

Compare that to Coimbatore, often called the ‘Manchester of South India.’ Coimbatore produces quality cotton fabrics, but its output is less than 10% of Surat’s. Panipat, known for blankets and home textiles, handles a different niche. Surat’s dominance isn’t about variety-it’s about volume, speed, and cost.

How Surat Built Its Edge

Surat didn’t get lucky. It built systems others couldn’t match.

First, it created a cluster effect. Factories, dyeing units, packaging plants, and transport hubs all sit within 10 kilometers of each other. A fabric order can go from design to export in under 72 hours. In most countries, that would take weeks.

Second, it mastered low-cost innovation. Surat’s looms aren’t the most advanced in the world-but they’re the most efficient. Workers here fix machines in minutes using scrap parts. Engineers don’t wait for imported spare parts-they build them. A broken gear? Welded from an old bicycle chain. A dyeing tank leak? Patched with industrial tape and a homemade sealant. This isn’t laziness-it’s ingenuity born from necessity.

Third, the city’s labor force is unmatched. Over 70% of textile workers in Surat have been trained in family-run units. Skills are passed down like heirlooms. A 16-year-old can thread a loom faster than most factory managers can explain the process.

The Global Impact

When you buy a $10 polyester shirt from a fast-fashion brand, chances are it came from Surat. The city’s textile exports hit $14.8 billion in 2025, up from $9.2 billion in 2020. That’s more than the entire textile export value of Bangladesh, Vietnam, and Turkey combined. Surat doesn’t just supply India-it supplies the world.

Even China, the world’s largest textile producer, now imports bulk synthetic yarn from Surat. Why? Because Surat’s prices are 25% lower, and delivery times are 40% faster. In the textile business, speed and cost win every time.

What About Other Textile Cities?

There are other important textile hubs in India, but none match Surat’s scale:

• Ahmedabad: Historic cotton mill city, now focused on artisanal and heritage fabrics.
• Coimbatore: Known for cotton towels, bed sheets, and high-quality woven fabrics.
• Panipat: The blanket capital-handles over 80% of India’s home textile exports.
• Bhagalpur: Famous for Tussar silk, but production is small and artisanal.
• Erode: A major towel and dhoti producer, but limited to cotton.

Surat doesn’t compete with these cities-it complements them. While others focus on niche markets, Surat owns the mass market. And in today’s global economy, that’s where the real power lies.

The Future of Surat’s Textile Empire

Surat isn’t resting. It’s upgrading. New automated looms with AI-driven quality control are being installed. Solar-powered dyeing units are replacing coal-fired ones. The government has approved a $1.2 billion textile park to centralize logistics and reduce emissions.

But the real innovation is happening on the ground. Young entrepreneurs are using WhatsApp to take orders from small retailers in Africa and Southeast Asia. They ship directly from Surat, cutting out middlemen. One 24-year-old from Surat now exports to 17 countries, all from a single room with three looms and a smartphone.

The city’s textile future won’t be about more machines. It’ll be about smarter networks, faster delivery, and deeper global connections. Surat isn’t just a city of textile-it’s the beating heart of global fabric production.