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Published Date : 24/06/2025
Small and medium enterprises in India's textile sector are adopting AI tools to enhance efficiency and meet international demand. From design to logistics, AI is revolutionizing the industry, particularly in hubs like Tiruppur.
Small and medium enterprises in India's textile sector are adopting AI tools to enhance efficiency and meet international demand. From design to logistics, AI is revolutionizing the industry, particularly in hubs like Tiruppur.
India’s textile sector, with roots tracing back to the Indus Valley civilisation, is undergoing a digital transformation, particularly within its micro, small, and medium enterprises (MSMEs). Textile hubs like Tiruppur in Tamil Nadu are adopting artificial intelligence (AI) across their manufacturing value chains, from designing and sewing to logistics and spinning. The Tiruppur Exporters’ Association (TEA) notes that AI has improved production efficiency by 10%, helping the region regain its status as a knitwear export powerhouse, contributing 55% of the country's total. Tiruppur’s knitwear exports crossed Rs. 40,000 crore (US$ 4.61 billion) in FY25 for the first time.
Automation through Computer-Aided Design/Computer-Aided Manufacturing (CAD-CAM) machines, precision stitching tools, and predictive maintenance has enabled output gains and reduced wastage, even as the sector grapples with labour shortages. MSMEs nationwide are increasingly adopting smart technologies, including Software as a Service (SaaS) platforms like Reverse Resource, which digitise supply chains and support sustainability goals. AI-based sewing machines from global manufacturers such as Yamato and Juki are becoming common in Tamil Nadu’s factories.
Even small units are embracing tools like ChatGPT and Canva to remain relevant in global markets. With growing demand from international retailers such as Walmart, GAP, and Marks & Spencer, Indian firms are scaling up AI-powered infrastructure. However, while advanced stitching robots are being trialled in Japan, Indian industry leaders stress that AI adoption should enhance, not replace, labour. The sector is striving for a hybrid approach where technology upgrades the skills of existing workers and boosts productivity while preserving employment opportunities.
Frequently Asked Questions (FAQS):
Frequently Asked Questions (FAQS):
Q: How is AI improving production efficiency in the textile industry?
A: AI is improving production efficiency through automation, precision tools, and predictive maintenance. For example, CAD-CAM machines and AI-based sewing machines help reduce wastage and increase output.
Q: What is the role of the Tiruppur Exporters’ Association (TEA) in this transformation?
A: The TEA is instrumental in promoting the adoption of AI and digital technologies among local manufacturers. They have reported a 10% improvement in production efficiency due to AI.
Q: Which international retailers are driving the demand for AI adoption in Indian textile firms?
A: International retailers such as Walmart, GAP, and Marks & Spencer are driving the demand for AI adoption in Indian textile firms to meet their quality and sustainability standards.
Q: What are some of the AI tools being used by small units in the textile sector?
A: Small units in the textile sector are using tools like ChatGPT for text-based tasks and Canva for design, helping them remain competitive in global markets.
Q: How is the industry balancing AI adoption with the preservation of employment?
A: The industry is adopting a hybrid approach where AI enhances the skills of existing workers and boosts productivity without replacing them, ensuring that employment opportunities are preserved.
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