India's Textile Ministry will try to attract European investors to achieve the government's target of $6 billion of Foreign Direct Investment (FDI) by 2015.

India’s textiles industry is in need of an additional fund of $24 billion by the year 2015 to continue a high growth rate of 8%. This may include domestic investment of $ 18 billion and FDI of $6 billion. Though India allows 100% FDI in the textiles sector, the inflows were meager at US$ 200 million in 2008.

In line with the action to attract foreign capital to the ailing textile industry, the government has been recently exploring for various foreign locations like in Japan. Indian Textile Minister Dayanidhi Maran pointed out that India has motivation for foreign investors like low-cost labour and intellectual right protection. The government has permitted 100% FDI in the textiles sector.

The foreign investment is aimed towards establishment of green field units in textiles machinery, fabric and garment manufacturing and attracting investments in the field of technical textiles.