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During ancient period numerous industries were flourishing but most important industry was Textile industry. For the first time Mauryan kings gave due importance to production and distribution of textile. In this paper attempt has been made to analyze progress of textile industry (cotton, silk and wool), efforts taken by the government to improve the quality of cloth, rules and regulations regarding fixation of wages of labors engaged in this industry, rules against theft and lack of commitment towards their profession, various taxes levied on cotton, silk & wool textiles, detailed description of imports and exports of textile industry including major centres of trade.