Pattern initially seen in Indian fabric (5)
I believe the answer is:
crepe
'fabric' is the definition.
(I know that crepe is a type of fabric)
'pattern initially seen in indian' is the wordplay.
'initially' suggests taking the first letters.
'seen in' is an insertion indicator.
'indian' becomes 'cree' (Cree is an example).
The first letter of 'pattern' is 'p'.
'p' placed into 'cree' is 'CREPE'.
(Other definitions for crepe that I've seen before include "Pancake - type of paper" , "French dish" , "Thin wrinkled fabric" , "Crinkly fabric and French pancake" , "Crinkly material" .)