India’s top wool producing states in 2026: Wool is an important fibre used in making winter clothing, carpets, floor coverings, and several industrial products. India has the second-largest sheep population in the world, with 77.4 million sheep, and ranks ninth globally in wool production. The country’s wool industry is spread across both organised and unorganised sectors.

In FY24, Rajasthan remained the biggest wool-producing state, producing 16,013.50 thousand kg, which accounted for 47.53% of the country’s total output. Jammu & Kashmir followed with 7,770 thousand kg (23.06%). Other major contributors were Gujarat with 2,083.50 thousand kg (6.18%), Maharashtra with 1,601.28 thousand kg (4.75%), and Himachal Pradesh with 1,422.69 thousand kg (4.22%).

When it comes to annual growth rate (AGR), Punjab recorded the highest increase at 22.04 per cent, followed by Tamil Nadu at 17.19 per cent and Gujarat at 3.20 per cent.

India produces three main types of wool: Carpet Grade, Apparel Grade, and Coarser Grade, which together make up 85 per cent, 5 per cent, and 10 per cent of total production, respectively.

India’s organised wool sector includes composite mills, combing units, spinning mills, carpet manufacturing units, and woven and knitted garment factories. The unorganised or decentralised sector consists of power looms, handlooms, knitting and hosiery units, as well as dyeing facilities.

The wool industry supports the livelihood of a large workforce across the country. Around 1.2 million people are employed in the organised wool sector, while nearly two million people work in related industries. Carpet weaving alone provides employment to about 0.3 million people. In FY24, India’s total wool production stood at 33.69 million kg.

Based on the type of sheep, ewes contributed the largest share to wool production at 71.13%, followed by rams and wethers at 14.54%, and lambs at 14.33%.

Source: IBEF.org and PIB

Rajasthan is the leading producer of wool in India. The arid climate and extensive grasslands make it a suitable place for the rearing of sheep. There are native breeds of sheep in Rajasthan, such as Marwari and Chokla, which yield coarse wool. This wool is mainly used for carpets and blankets.

Jammu & Kashmir is known for the production of quality fine wool. The cold climate of this region is suitable for the rearing of Changthangi and Merino sheep. The wool obtained from this region is mainly used for the production of shawls, clothes, and handicrafts.

Karnataka is the third-largest producer of wool in the country because of its large number of organised sheep-rearing farms. The state produces medium to coarse wool, which is used to make rugs, durries, and textiles.

Telangana has become one of the leading producers of wool in the country because of organised sheep-rearing schemes. The government’s efforts to help shepherd communities have increased the production of wool in the past few years.

Gujarat is a major contributor through its desert and semi-arid areas. The wool obtained from here is mostly coarse and is used in carpet manufacturing and other woollen goods.

The wool production in Maharashtra is mainly from drought-prone areas, where rearing sheep is a traditional practice. The wool is mainly used for manufacturing blankets and other cheap woollen goods.

The hill and cold climate of Himachal Pradesh are advantages to the state. Rearing of sheep and goats is practised in the high altitudes, and the wool is used for making warm clothes and handicrafts.

The wool production in Uttar Pradesh is done on a small scale by rearing sheep. The quality of the wool is medium, and it is used for making blankets and local textile industries.

Andhra Pradesh has pastoral communities involved in wool production. The wool is coarse and is used to make mats and carpets.

Haryana also produces wool through mixed farming. Raising sheep is done alongside farming, and the wool is used to make basic woollen products.