The economy of Bhiwandi Nizampur is mostly dependent on the power loom industry. The decline of Mumbai’s textile mills spurred the growth of the power loom sector. In order to meet the demand for grey fabric, power loom centers sprang up in various parts of the State. Textile and migrant workers especially from Uttar pradesh (mainly from Azamgarh, Wasadargah (siddarthnagar) and Varanasi) and Bihari migrant labours came in droves to find work at these centers. Bhiwandi Nizampur became the 2nd largest power loom centre in the country after Surat city power loom. The bloom of cloth oil and looms still attract the worker from different states to come and find suitable jobs. The State government estimates that over 40 lakh people are dependent directly or indirectly on the looms of Bhiwandi Nizampur. The Power loom industry is the main reason for huge number of floating population.Bhiwandi is the "richest city in Thane District". Bhiwandi also has became the "highest paid octroi" with the largest godown present in Asia which basically own by local politicians in and around Bhiwandi. Bhiwandi is the `mother godown' for several industries and the nodal up-country booking and transit point for several goods transporters owing to the octroi benefits that can be availed of there. The biggest names in the pharma company have their godowns here
