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India’s Textile Industry at a Crossroads
The seeds of sustainability for India’s textile leadership
Context: As one of the world’s largest textile manufacturing hubs, India’s textile industry stands at a pivotal moment.
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- Despite its scale, the sector faces growing challenges: geopolitical tensions, fragmented supply chains, price fluctuations, and shifting consumer demands.
- Beyond environmental concerns, the fundamental values driving business decisions are under increasing scrutiny.
- To maintain and strengthen its global leadership, India must move beyond traditional metrics of financial performance.
- The future of the textile sector depends on its ability to embed sustainability, innovation, and resilience into every aspect of the value chain—from cultivation and sourcing to production and distribution.
Sustainability Is Now a Competitive Advantage
- India ranks as the sixth-largest textile exporter globally.
- However, the rise of sustainable business models worldwide, coupled with the momentum of the China Plus One strategy, presents a timely opportunity.
- India can position itself as a preferred alternative in global supply chains—but only if it adopts environmentally responsible practices.
- Forward-thinking concepts such as regenerative farming, traceable supply chains, and product circularity are no longer optional—they are becoming operational imperatives.
Regenerative Farming: The Root of Responsible Sourcing
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- Regenerative agriculture is emerging as a practical solution to India’s concerns around raw material sourcing, climate change, and soil degradation.
- The Ministry of Agriculture is already piloting regenerative farming across over one million hectares of farmland.
- Key initiatives include:
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- Digital training platforms for farmers
- Real-time data sharing to track progress and build transparency
- Linkages with certification bodies and manufacturers, strengthening connections with global brands
- In Maharashtra’s Aurangabad region, over 6,000 farmers are part of the Regenerative Cotton Program, reporting: Improved yields, Greater climate resilience, Lower input costs and More stable incomes.
- Regenerative farming not only improves sustainability outcomes but also addresses critical business needs—rural engagement, gender inclusivity, multi-stakeholder partnerships, and compliance with global sustainability standards.
- These advantages make it a foundational strategy for enhancing India’s textile export potential.
Traceability: Building Trust Across the Supply Chain
- Supply chain transparency has become a crucial factor in consumer decisions.
- According to the 2023 Consumer Circularity Survey, 37% of global consumers consider sustainability and traceability key to their purchases.
- India’s textile sector can lead this transformation with AI-powered traceability platforms, capable of mapping each product’s journey—from raw material to retail.
- Traceability is no longer about just tracking; it’s about telling a story of authenticity, responsibility, and brand integrity.
Key developments:
- Kasturi Cotton, India’s premium branding initiative, promotes quality and transparency
- The India-U.K. Free Trade Agreement (FTA)—in final stages—will benefit Indian exporters, especially given the U.K.’s eco-conscious market
- The EU’s Digital Product Passport (DPP) initiative mandates traceability, providing Indian manufacturers an opportunity to align with evolving regulations
Product Circularity: Designing for a Waste-Free Future
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- India contributes to 8.5% of global textile waste annually. As consumer awareness around sustainability deepens, product circularity is becoming a key differentiator.
- Circularity in textiles involves:
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- Designing products for longer lifespans and post-use recyclability
- Reusing factory waste in production cycles
- Creating plastic-free packaging and enabling eco-friendly disposal systems
- Organisations like REIAI champion circularity-driven innovations that create jobs and support economic self-reliance.
- This aligns with the Viksit Bharat vision, which emphasises a resilient and self-sustaining economy.
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- Circularity also reduces the sector’s dependence on virgin raw materials, lowers costs, and fosters innovation-led competitiveness.
Reimagining Growth: From Mass Production to Meaningful Progress
- India’s textile industry is projected to reach $350 billion by 2030, with the potential to generate 35 million new jobs—provided it aligns with global climate goals, technology adoption, and sustainability frameworks.
- This is not just about “making in India”—it’s about making responsibly for the world. The industry must go beyond greenwashing and adopt purpose-driven business models that reflect regenerative values, digital accountability, and circular thinking.
The global textile market is evolving rapidly, and India is uniquely positioned to lead—if it takes decisive steps today. By embracing regenerative farming, robust traceability solutions, and circular production models, India can future-proof its textile industry.