India is uniquely positioned to become a leader in the smart textiles and functional wearables market, a sector poised for exponential growth globally. The convergence of India’s robust textile industry with its expanding tech ecosystem, government support, and a large domestic market offers promising opportunities. Let’s delve deeper into the potential future of India in smart textiles with a focus on data and numbers.

Global and Indian Market Overview

The global market for smart textiles was valued at approximately $2.21 billion in 2020 and is expected to reach $13.63 billion by 2028, growing at a compound annual growth rate (CAGR) of 26.1% from 2021 to 2028. Meanwhile, the wearables market is projected to grow from $115.8 billion in 2021 to $380.5 billion by 2028, at a CAGR of 18.5%. This presents a significant opportunity for India, given its strong position in the textile industry and its expanding capabilities in technology.

Within India, the market for technical textiles, which includes smart textiles, is expected to grow from $19 billion in 2021 to $30 billion by 2025, at a CAGR of around 8-10%. Smart textiles, a subset of technical textiles, are set to benefit from this growth, especially in sectors like healthcare, sports, and defense.

India’s Strategic Advantages

1. Textile Industry Size: India’s textile industry is one of the largest globally, contributing around 7% to the country’s total industrial output and employing over 45 million people directly. The industry was valued at $150 billion in 2021, and with a projected growth rate of 10% annually, it is expected to reach $220 billion by 2025. This solid foundation in textile production creates a strong platform for integrating smart textiles.
2. Digital Transformation and Tech Adoption: India’s digital ecosystem is rapidly expanding, with over 1.2 billion mobile subscribers and 800 million internet users as of 2022. The government’s push for “Digital India” aims to make technology more accessible, fostering a conducive environment for smart wearables and textiles. The IoT market in India is estimated to grow to $9 billion by 2025, which includes wearables and smart devices, further supporting the growth of smart textiles.
3. R&D and Innovation Investments: India’s expenditure on research and development in the textile sector has increased significantly, with the government allocating over ₹1,480 crore (approximately $200 million) for the National Technical Textiles Mission (NTTM) from 2020 to 2024. This initiative aims to promote indigenous manufacturing of high-end textile products, including smart textiles. Additionally, various Indian Institutes of Technology (IITs) and the National Institute of Fashion Technology (NIFT) are engaged in developing new technologies, materials, and applications in smart textiles.
4.  

Sector-Specific Opportunities

1. Healthcare and Wellness: The healthcare wearables market in India is expected to grow at a CAGR of 23.8% from 2021 to 2028. The demand for smart medical textiles, like fabrics that can monitor heart rate, body temperature, and other vital signs, is set to rise with India’s aging population, projected to reach 138 million people aged 60 and above by 2031. The cost of chronic diseases, estimated to reach $4.8 trillion by 2030 in India, drives the need for preventive healthcare, where smart wearables and textiles can play a crucial role.
2. Sports and Fitness: With an estimated 200 million fitness enthusiasts in India and a sports market expected to grow at a CAGR of 8.6% through 2025, smart textiles that enhance athletic performance and monitor fitness metrics represent a significant opportunity. The sportswear market in India, valued at $10 billion in 2021, is growing rapidly, with a potential demand for smart fabrics embedded with sensors to track performance and provide real-time feedback.
3. Defence and Military: The Indian defines budget for 2022–23 was over ₹5.25 lakh crore (approximately $70 billion), with a growing focus on modernization. The potential market for smart textiles in defence is estimated at $1.5 billion over the next five years. India is exploring smart fabrics that can provide ballistic protection, environmental adaptability, and health monitoring, which could be crucial for enhancing the operational efficiency of its armed forces.
4. Sustainable Fashion: With increasing awareness of sustainability, India is witnessing a shift towards eco-friendly textiles. The sustainable fashion market is projected to grow at a CAGR of 11% and reach $15 billion by 2025. Smart textiles like self-cleaning fabrics, energy-generating wearables, and biodegradable materials can significantly contribute to this segment, aligning with the global trend towards greener production.

Challenges to Overcome

While the potential for growth in smart textiles and wearables is high, India faces several challenges:

1. High Initial Costs: Developing smart textiles involves significant research, development, and technology integration costs. The cost of integrating electronics with textiles remains a barrier, with initial investments running into millions of dollars for setting up specialized production facilities.
2. Skill Gap: The industry requires a skilled workforce capable of understanding both textiles and electronics. Currently, there is a shortage of such specialized skills in India. It is estimated that the Indian technical textiles sector will require over 20,000 skilled professionals in the next 5 years.
3. Consumer Awareness and Acceptance: Despite a growing middle class, consumer awareness and acceptance of smart textiles remain limited. Around 65% of Indian consumers are still unfamiliar with the concept of smart textiles, indicating the need for educational campaigns and marketing efforts.
4. Regulatory and Data Security Concerns: As smart textiles often involve data collection through sensors, there are concerns regarding data privacy and security. India’s regulatory framework for data protection is evolving, and there is a need for clear guidelines to address privacy concerns related to wearable devices.

Future Strategies and Roadmap

To position itself as a global leader in smart textiles and functional wearables, India must:

• Encourage Investment in R&D: Increase funding for research and development in smart textiles, with a focus on developing cost-effective, durable, and washable smart fabrics. Collaborative efforts between academic institutions, start-ups, and established companies can accelerate innovation.
• Skill Development Initiatives: Launch training programs to create a workforce skilled in both textiles and electronics. The government and private sector can collaborate to set up specialized training centres focused on smart textiles and wearable technologies.
• Consumer Awareness Programs: Implement awareness campaigns to educate consumers on the benefits and applications of smart textiles. This can include partnerships with fitness brands, healthcare providers, and fashion influencers to promote adoption.
• Strengthen IP and Data Protection: Develop a robust intellectual property framework to protect innovations in smart textiles and ensure clear guidelines for data privacy and security.

Conclusion

With a projected growth rate of 10-15% annually in the smart textiles sector, India is well-positioned to seize a significant share of the global market. By leveraging its strong manufacturing base, technological advancements, and government support, India can become a hub for innovation in smart textiles and functional wearables. As the country embraces this new frontier, smart textiles could become a vital driver of economic growth, employment, and technological advancement, redefining India’s position in the global textile and technology landscape.