Is the Indian Textile Sector Successful in the Informal Sector? Evidence Based on Cross State Analysis of the Unincorporated Textile Enterprises

Abstract

Textile sector in the informal/unincorporated sector of India is the second largest employer of men and women. The paper analysis the success of the unincorporated textile sector based on employment generation, number of enterprises, emoluments and gross value addition of enterprises across states of India using unit level survey data. It attempts to compare the 39 states of India based on their success. The unit level data has been sourced from the 67th round National Sample Survey, Ministry of Statistics and Planning, Government of India. The main findings indicate diverse manufacturing under the unincorporated textile sector in India. The findings also present the vast disparity among states in terms of employment generation and success of the sector in different states.