India’s Textile Industry: Embracing Sustainability and Innovation

The Indian textile industry has been an important part of the economy and culture. It has experienced many developments start from its origin as handlooms in villages to significant modern-day advanced textile mills. The textile industry captures a unique place in India. One of the earliest to come into existence in the country, currently it accounts for 13% of the total industrial production, 12% to total exports, 2.3% to the country’s GDP and is the second-largest employment generator.

But the industry also faces environmental challenges, such as heavy waste and toxic materials into the environment, making it one of the most challenging manufacturing value chains in India. To solve these concerns, India's textile industry is implementing different techniques such as circular fashion and adoption of renewable energy, to become more sustainable and efficient.

Evolution of the Indian textile industry

The Indian textile industry has seen significant progress in the past decade, marking its position as a leader in the global supplier of textile products.

Source: Financial Express

As per Texprocil, India’s textile industry is prepared for significant growth, with the market expected to reach US$ 350 billion by 2030 from US$ 197 billion in 2023, growing at a CAGR of 10.1%.

Source: AEPC

At present, India is the world's second-largest producer of textiles and garments, accounting for 4.6% of  global trade and ranked as the third-largest textiles exporter in the world after China and Germany. In FY24, India exported US$ 35.9 billion of textile products, and it is projected to reach US$ 100 billion by FY30. As the textile market is huge and still expanding, it employs a substantial workforce of approximately 4.5 crore people, including 35 lakh handloom workers.

Need for sustainable transition

The textile industry's fast growth and shift towards synthetic fibres have increased concerns over environmental sustainability. Production volumes have doubled, while garment lifespan has decreased by 36% in the past 15 years. Even after a prolonged period, only 1% of fibres are used for recycled clothing, which shows dependency on fresh raw materials. Along with increase in demand, consumption and waste of textile, need to shift towards a more sustainable model also increased. The textile industry's value chain consumes significant resources, including chemicals, dyes, utilities and fuels, leading to negative environmental and social impacts. Key issues include wastewater discharge, air and noise pollution and workplace safety. Addressing these environmental challenges has become a primary focus for the textile industry.

Sustainable manufacturing of textile in India

India's speedy economic growth, boosted by government programmes, including ‘Make in India’, has pushed the textile industry's development. This growth has also raised concerns over the sector's impact on environment. The government is responding to this issue by introducing policies focused on promoting sustainable manufacturing, understanding the need to balance production demands with environmental responsibility.

Manufacturers have actively adopted sustainable processes, such as recycling, water conservation and the production of bio-friendly textiles. Nevertheless, the industry is figuring various approaches to further enhance sustainability, including regenerative organic farming, plastic recycling, along with governmental schemes, for instance the ‘Mega Investment Textiles Parks (MITRA)’, which aim to enable more affordable and accessible sustainable manufacturing practices.

Some of the major Indian manufacturers have also started adopting sustainable practices and initiatives such as:

• Recycling and Upcycling

India’s textile companies are implementing a culture of recycling and upcycling (where pre- or post-consumer textile waste material is converted into new garments) into their manufacturing practices. Many companies are using their waste and converting it into unique garments, thereby contributing to the global circular economy. A few Indian brands, including Pomogrenade, The Second Life and Patch over Patch, have implemented this sustainable concept of upcycling.

• Using solar energy

The extreme energy utilization in the textile industry and high use of fossil fuels are key concerns. However, many textile factories are progressively installing rooftop solar panels, which not only reduce the usage of fossil fuels but also promotes energy efficiency. For example, Welspun a leading textile company, is shifting towards renewable energy sources, for instance solar and wind power.

• Eco-conscious water management and dyeing process

The excessive wastewater generation in the industry is a big concern, but in recent times Indian manufacturers are addressing this through innovative solutions. Some companies are reusing wastewater in their manufacturing processes and applying water recycling systems, which reduce their overall water footprint and promote water management in the sector. For example, BRFL Textiles Private Limited (BTPL), India's largest fabric processing facility, has introduced a new sulphur dyeing process, involving continuous dyeing without requiring water.

Innovation in textile industry

The Indian textile industry has experienced a transformational shift, with evolving technology as a driving force for innovation. Traditional methods are now combined with modern-edge advancements, exposing new abilities within the industry from the invention of spinning machines to synthetic fibres, with each innovation playing an important role in improving efficiency and productivity. Advanced machinery, automation and agile production methods have further advanced the industry's capabilities, positioning it for continued success in the years to come.

• 3D printing: 3D printing offers improved flexibility in yarn processing and textile design, enabling unique and customised products. Digital printing has been gaining popularity, enhancing the industry's capabilities.
• Pleating technology and Nanotechnology: Pleating technology is the process of folding fabric into different shapes, creating differences in the volume and better texture of the fabric. Nanotechnology allows more efficient, water-resistant and low-maintenance production procedures, addressing energy concerns.
• Artificial intelligence in design: Artificial Intelligence (AI) is becoming a part of the textile industry, renovating the designing process. Machine learning algorithms now analyse extensive datasets, empowering designers to create innovative and trending patterns. This technology confirms that the industry remains at the forefront of evolving consumer preferences.
• Biodegradable textiles: Textile industry is also responding to the growing issue over waste management by using biodegradable fabrics. Advancement in material science has supported the development of textiles that naturally decompose, reducing the environmental impact. This transition displays the industry's commitment to sustainability and its efforts to minimise the ecological footprint of textile production and consumption.

Government Initiatives

• Sustainable Resolution (SU.RE)
  The Sustainable Resolution for the textile industry outlines a 5-point plan:
  • Assess the environmental impact of current garment production.
  • Develop sustainable sourcing which can provide certified and eco-friendly raw materials.
  • Choose sustainable raw materials, which ensure traceability across the value chain.
  • Efficiently informed consumers and participants about sustainability initiatives.
  • Change a significant percentage of the supply chain to sustainable practices by 2025, aligning with UN Sustainable Development Goals.
• Amended Technology Up-gradation Fund Scheme (A-TUFS)
  The Government of India has implemented this credit-linked Capital Investment Subsidy (CIS) scheme to promote ease of doing business in India and create employment opportunity by supporting exports through the "Make in India" initiative in manufacturing in the textile industry. A total of US$ 75.74 million (Rs. 621.41 crore) in subsidies was distributed in 3,159 cases under the scheme.
• Pradhan Mantri Mega Integrated Textile Region and Apparel (PM MITRA)
  The PM MITRA is a government programme, with a purpose to support India in reaching the United Nations Sustainable Development Goal 9. The Government of India has approved the institution of seven textile parks under this scheme, with a total investment of US$ 541.82 million (Rs. 4,445 crore) for the years up to 2027–28.
• Production-Linked incentive (PLI) scheme
  The PLI scheme, a planned government initiative, targets to support domestic manufacturing and reduce imports across various sectors, focusing on the textile industry. Its major process involves incentivising companies based on cumulative sales of locally manufactured goods. In September 2021, the government approved a Rs. 10,683 crore (US$ 1.44 billion) outlay for the textiles sector.

Navigating the challenges

The Indian textile industry is highly complex, with numerous players involved. This poses significant challenges for garment manufacturers seeking to shift to sustainable practices. The supply chain's decentralised structure, lack of manufacturer abilities and cultural/language barriers hamper the adoption of sustainable initiatives. Manufacturers also face strong competition though it can be an advantage, as it encourages innovation and the adoption of cost-effective green technologies. Manufacturers can collaborate to pool resources, share best practices and achieve the economies of scale necessary for sustainable investments.

Conclusion

India's textile industry is experiencing a shift towards sustainability and technology advancement, driven by environmental awareness, regulatory laws, and evolving market demands. Textile manufacturers are actively accepting sustainable fibres, materials and production processes to reduce their environmental footprint while improving their technology competitiveness.

Real-world examples from industry leaders, including Aditya Birla Fashion and Retail, Arvind Limited, Welspun India and Raymond Limited, showcase benefits of eco-friendly and innovative practices in the textile sector. However, achieving sustainability in the textile industry requires cooperation and coordination between all stakeholders – manufacturers, policymakers and consumers. As India's textile industry continues to grow, it has the potential to innovate and become a global leader in sustainable production practices.