The Indian textile chemical market is driven by investments by industry players for the development of eco-friendly chemicals. A thrust for export of quality textiles to western countries is also positively driving the textile chemicals market. Textile chemicals are a class of specialty chemicals that are used for dyeing and processing of textiles in order to obtain the final product with the required characteristics.

The Indian textile chemical market is highly fragmented with a presence of more than 300 small and large players. The presence of a large number of players is attributed to the heavy subsidies provided to small players for setting up business operations. This accounts for the majority share being held by minor players.

However, the share of small textile chemical manufacturers is expected to decline in the coming years due to the increasing preference for quality products and the increasing penetration of technical textiles. Auxiliaries will account for a major share of Indian textile chemical market.

The textile chemical industry is a major consumer of water and energy. The use of novel textile processing techniques such as beck dyeing modification, dye bath reuse, close cycle textile dyeing, foam process, mach nozzle fabric drying, and ink and film application can reduce water and energy consumption in the textile chemicals industry.