The textile ministry expects to more than dopuble to $115 billion by 2012 from the current $50 billion.
"The textile industry in the country is estimated to reach $115 billion by 2012 from the present $50 billion, textile commissioner A B Joshi said.
India's share of global textile exports is expected to increase from the current 4.0 per cent to around 7.0 per cent over the next three-years, Joshi said.
Joshi said the textile ministry is also pursuing trade agreements with the US and the European Union, which together account for almost 40 per cent of the country's textile exports.
The two regions will continue to be the major destinations for the country's textile exports in the coming years as well, he added.
In addition, Joshi said, the government is looking at new markets in Russia, China, South East Asia, the Middle East, Japan and Latin America, under the new export policy.
India's textile exports have shot up over 15 per cent from $19.14 billion in 2006-07 to $22.13 billion in 2007-08.
Textiles accounts for around 4.0 per cent of the country's gross domestic product (GDP), 14 per cent of the industrial production and over 13 per cent of the country's export earnings.