The textile industry has two broad segments, namely, handloom, handicrafts, sericulture, powerlooms in the unorganized sector, and spinning, apparel, garmenting, made-ups in the organised sector. Handloom weaving is one of the largest economic activities after agriculture providing direct and indirect employment to more than 43 lakh weavers and allied workers. The Government of India, since independence, has been following a policy of promoting and encouraging the handloom sector through a number of programmes and schemes. According to the Handloom Census of 2009-2010, the total number of weavers recorded 43.32 lakh. Production in the handloom sector recorded a figure of 7202 million sqr. meters in the year 1995-96, these production was increased 7116 million sqr. meters 2013-14. During 2005-06 to 2013-14, the growth was registered positive accounting 1.4 per cent per annum and statistically positive significant at 1 % level. During the year 2013-14, the highest fund goes to Tamil Nadu state from the central assistance accounting 28.59 per cent of the share of total central assistance followed by Uttar Pradesh (26.59%), Andhra Pradesh (21.22%), Gujarat (9.42%), Haryana (5.15%), West Bengal (4.75%) and Kerala (4.29%). Exports of Handlooms during 2009-10 were of the order of US$ 265 Million and increased to 365 million in 2010-11, recording a growth of 38 per cent. During 2011-12, exports of Handloom further increased to US$ 554 million, recording a growth of 60 per cent. The biggest destination of India’s Handlooms products is the USA followed by the EU.