Textile stocks surge after FM Sitharaman announces mission for cotton productivity in Budget

Shares of textile companies on February 1 surged following Finance Minister Nirmala Sitharaman’s announcement of the Mission for Cotton Productivity, a five-year initiative aimed at enhancing Extra Long Staple (ELS) cotton production to improve quality.

This initiative is expected to revitalize India’s traditional textile sector. Sitharaman emphasized the government's commitment to promoting ELS cotton varieties, signaling strong support for the industry. Experts said this initiative is a positive development for the textile sector, including yarn and garment manufacturers.

Among the top gainers, Shree Bhavya jumped 10%, Sri Ramakrishna rose 8%, Bengal Tea gained 7.5%, while Spenta International, Maris Spin, Pasari Spinning, and Gini Silk Mills climbed over 5% each.

The Finance Minister in its budget highlighted that the budget will focus on strengthening household sentiment, increasing disposable income, and driving private investment to accelerate economic growth. She identified agriculture, MSMEs, investments, and exports as the four key pillars of India’s growth strategy.