India’s textile recycling market is projected to reach US$ 3.5 billion by 2030
- IBEF
- March 11, 2026
The textile recycling market in India is expected to witness significant growth, with projections indicating that it could reach US$ 3.5 billion (Rs. 3,220 crore) by 2030 while generating around one lakh green jobs, according to a report by the Union Ministry of Textiles. The study titled “Mapping of Textile Waste Value Chain in India” provides a comprehensive assessment of textile waste generation, recycling technologies, and opportunities to strengthen circular practices across the industry. India generates approximately 70.73 lakh tonnes of textile waste annually, highlighting the growing need for efficient waste management and recycling infrastructure. Of the total waste generated, 42% originates from pre-consumer sources such as manufacturing waste, while 58% comes from post-consumer disposal. The findings further indicate that more than 70% of textile waste is already recovered and channelled into recycling, reuse, or upcycling streams, reflecting the strength of recovery networks across the textile value chain.
The report identifies recycling clusters, which include Panipat as a principal mechanical textile recycling center that handles waste from multiple textile clusters. Expanding recycling facilities across textile clusters could improve operational efficiency by enabling waste to be processed closer to the source of generation. The analysis shows that approximately 95% of pre-consumer textile waste is recycled, while 55% of post-consumer waste material is diverted from landfills through comprehensive collection and sorting systems. The current systems provide job opportunities for approximately 40-45 lakh individuals, which include women working in collection and sorting jobs. The study demonstrates that India can become a worldwide leader in sustainable textile production through improved recycling systems, advanced technologies, and circular production systems.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.
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