Get All Access for $5/mo

Trends In the Textile Industry The textile business, like the rest of the world, is adjusting to new demands by implementing new methods of production. The demand for natural fibers like cotton, silk and linen has increased exponentially. Most of this comes from a new generation of customers who are willing to pay more for sustainability

Opinions expressed by Entrepreneur contributors are their own.

You're reading Entrepreneur India, an international franchise of Entrepreneur Media.

Freepik

Sustainability and recycling are overarching themes for the future of business, as is evident from the amount of attention paid to them in the news cycles as well as global governments.

The industry segment is expected to see a contraction at least until 2024. India's $200 billion textile and apparel industry is facing a crisis as consumers in Europe, U.S and other big markets for Indian manufacturers have cut spending on clothing, as inflation is on rise and effects of the Ukraine war cause more hardships. COVID restrictions in China have also been among contributing factors. Returning to normalcy will take some time, likely by 2025.

The textile business, like the rest of the world, is adjusting to new demands by implementing new methods of production. The demand for natural fibers like cotton, silk and linen has increased exponentially. Most of this comes from a new generation of customers who are willing to pay more for sustainability. This is a good thing, as it is the demand that will drive organisations to become more sustainable, apart from regulation. According to a report by the UN, "Every second, the equivalent of one garbage truck of textiles is landfilled or burned. If nothing changes, by 2050 the fashion industry will use up a quarter of the world's carbon budget."

Issues like responsible manufacturing, recycled thread clothing, lower usage of electricity, sustainable and eco-friendly clothing lines, lower water usage, and zero-discharge manufacturing are some of the issues that concern the industry. The Government of India is pushing textile manufacturers to have zero-discharge plants so that less pollutants are let out into freshwater bodies. This will bear fruit, but over time as organisations adapt to the mandates. The timeframe for this has been fixed for 2030.

Another key issue that the industry is grappling with is the usage of coal for boilers. A reduction in carbon footprint requires the phasing out of coal energy, but cleaner alternatives are expensive. Textile players have asked for alternate sources and technology like gas to be provided at subsided rates, else the added costs will have to be passed on to consumers.

A step in the right direction to minimize pollution and advance sustainability is traceability -- the ability to track and trace the entire life-cycle of the product from raw material and final good to consumption, disposal and recycling. If major players adopt such practices, the industry's efficiency could improve, ensuring constant supply of quality material and better risk management.

Circularity is another critical issue from a sustainability perspective. Recycling a garment helps in reducing GHG emissions, saves resources and helps maximize economic, social and environmental benefits.

Countries like China and those in Europe have a policy to recycle textile waste. India does not have such a policy yet, and a suitable policy where the Indian textile industry can contribute in advancing energy transition commitments and recycle textiles is need of the hour.

It is expected that by 2030-2035, most of the organised sector textile manufacturers will be employing a sustainable model of doing business. Tamil Nadu could become a model state for this industry – most of the manufacturers in the state use 100 per cent green energy, and have implemented zero liquid-discharge in processing. They also have PET recycling plants, use waste from spinning processes to make yarn and fabric, produce 100 per cent PET-recycled textile products for apparel, use garment cutting waste recycling to make new clothes, house their plants in green-certified buildings, and so on.

Raghunath Mannil Balakrishnan

CEO, Mafatlal Industries Limited

Side Hustle

At 16, She Started a Side Hustle While 'Stuck at Home.' Now It's on Track to Earn Over $3.1 Million This Year.

Evangelina Petrakis, 21, was in high school when she posted on social media for fun — then realized a business opportunity.

Business News

Remote Work Enthusiast Kevin O'Leary Does TV Appearance Wearing Suit Jacket, Tie and Pajama Bottoms

"Shark Tank" star Kevin O'Leary looks all business—until you see the wide view.

Health & Wellness

I'm a CEO, Founder and Father of 2 — Here Are 3 Practices That Help Me Maintain My Sanity.

This is a combination of active practices that I've put together over a decade of my intense entrepreneurial journey.

Growing a Business

Why 'Founder Mode' is Not a One-Size-Fits-All Solution to Leadership

The founder-driven approach can boost a business's growth, but transitioning from "founder mode" to a balanced leadership style is essential for sustained success and scaling.

Growing a Business

PR vs. Marketing — Which One Delivers Better ROI for Your Business?

PR builds trust and credibility over time, while marketing drives short-term sales through targeted campaigns, making both essential for business success, depending on goals and budget.

Business News

San Francisco's Train System Is Still Run on Floppy Disks. It May Finally Get an Upgrade.

Officials approve a $212 million plan to replace its wildly outdated train control system.