What is the significance of using the enctype attribute in a form for file uploads in PHP?

The enctype attribute in a form for file uploads in PHP is significant because it specifies how the form data should be encoded before sending it to the server. When uploading files, the enctype attribute should be set to "multipart/form-data" to allow the form data to be encoded properly for file uploads.

<form action="upload.php" method="post" enctype="multipart/form-data">
    <input type="file" name="file">
    <input type="submit" value="Upload">
</form>