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Growth story · Tiruppur

The job-work network: how Tiruppur’s small units share one order

Nine in ten of Tiruppur’s exporters are small firms. Together they shipped about ₹46,000 crore of clothing in 2025-26, a record, in a year the US put a 50% tariff on Indian garments.

3 min read · 1 sources · Public information only

1978

A vest town says yes

For fifty years Tiruppur made white vests for India. In 1978 an Italian importer, Verona, asked for white T-shirts, and in 1981 the European chain C&A followed. Exports were ₹18.69 crore in 1985, ₹289.85 crore in 1990 and ₹3,581 crore in 2000.

The model

A bazaar, not a factory

Tiruppur works less like one factory and more like a bazaar. Thousands of units each do one job, knitting, dyeing, printing, stitching or packing, and pass the work along. An exporter with an order can hire the rest of the town for a week. “Competition is coupled with cooperation,” says the association’s general secretary.

“Competition is coupled with cooperation.”

That is why a firm with a few machines can take an export order: it does not need to own every step.

2025-26

A record in a hard year

On 27 August 2025 the US raised tariffs on Indian clothing to 50%, and India’s garment exports fell about 10% in September and 13% in October. Even so, Tiruppur’s exports reached about ₹46,000 crore in 2025-26, a record. Its buyers include Primark, H&M and Walmart. The town has set a target of ₹1 lakh crore by 2030, while short of about 1.5 lakh workers.

Points for a finance reader

  • You do not have to own every step. Job work lets a small firm take a big order without a big balance sheet.
  • Cost each job you buy in. Dyeing, printing and stitching charges are direct costs of the order (CAS-10).
  • Spread markets as well as work. When one country raises tariffs, other buyers keep the lines running.

Sources

  1. Upstox: Tiruppur’s rise, how one textile cluster became India’s export powerhouse (2026) ↗

Figures are as published by these sources on the dates shown. They are not our estimates. Where a figure is old, it is the latest we could find from a public source.

Written by Boovaraghavan & Co., Cost Accountants, as part of our notes on Tamil Nadu industry. Write to us if you spot an error or have a question about costing in Tiruppur.