Even as one of the world’s largest manufacturing hubs, the Indian textile industry faces challenges in sustaining its global presence due to geopolitical tensions, fragmented supply chains, and product price volatility. Climate change or evolving consumer demands are not the only causes, but also the fundamental values that influence business decisions.
In this evolving landscape, achieving a market competitive edge depends on long-term presence, and businesses should explore beyond financial goals, as adaptability, purpose-led innovation, and resilience are also essential. For India to establish its global trade authority, the cultivation, sourcing, and manufacturing practices must be re-examined with a sustainable lens.
Concepts such as regenerative farming, traceability solutions, and product circularity are becoming the operational standards and core manufacturing actions in the industry.
As the sixth-largest exporter of textiles globally, adopting these practices would help the textile industry in strengthening its leadership. We are presented with a growth opportunity to emerge as an important player in the China Plus One strategy, reducing dependence on China and unlocking India’s trade potential.
Regenerative farming
In India, regenerative (regen) farming is a viable model amidst concerns of raw material sourcing, climate change, land degradation, and soil erosion. Regen farming practices are already under way in India, with the Ministry of Agriculture and Farmers Welfare considering approximately over one million hectares of farmland for further pilot projects in the coming years. Farmers are equipped with digital resource-based training on regen farming practices.
Real-time data sharing is enabled for growth tracking and transparency. This ecosystem leads to a business model where farmers remain connected with certification bodies, manufacturers, and global market brands.
In Aurangabad, Maharashtra, over 6,000 farmers have joined the Regenerative Cotton Program, which has already shown positive impacts — higher yields, improved climate resilience, reduced reliance on chemical fertilizers, and more cost-effective inputs — leading to better risk management and stable incomes.
Regen farming as a solution helps tackle multiple business concerns at once: rural engagement, improved yields, multi-stakeholder collaborations, and even breaking gender stereotypes in farming. It can also enhance traceability, sustainability compliance, and product quality assurance across the supply chain. The regen farming model is potentially a strong solution to drive India’s leadership in the global textile market.
Traceability solutions
Traceable supply chains have a strong potential to ensure product credibility across all stages- sourcing, production, and distribution. Over 37% consumers in the 2023 Consumer Circularity Survey identified sustainability and traceability as important criteria in their purchases. Robust AI and tech-driven traceability solutions are the next big strategies that the Indian textile sector can adopt. Traceability has already transformed from the logistical tracking of a product to delivering a narrative of authenticity and brand accountability.
India’s branding initiatives, such as Kasturi Cotton, strengthen the case of traceability, transparency, and quality benchmarking globally. Although currently in the final stages, the India-U.K. Free Trade Agreement (FTA) could amplify such advantages, since the U.K. has one of the world’s most environmentally conscious consumer bases.
The EU also emphasises transparency and traceability in the textile industry through international frameworks and DPPs, to protect consumer and environmental concerns. With the concessions for textiles addressed by the India-U.K. FTA, traceability solutions can help industry players leverage sustainability stories and thereby expand their market presence.
Product circularity
India generates 8.5% of the world’s annual textile waste. To retain a competitive edge, the Indian textile industry’s vision is to embrace product circularity and sustainability practices. Product designs must evolve from recyclability to also having a longer lifecycle. This means establishing a system at every stage of production — from fibre creation to product development, plastic-free packaging, and post-use consumer disposal—with circularity principles embedded throughout.
Factory waste can be reengineered for newer designs and eventually returned to the soil after a longer product lifecycle.
As endorsed by REIAI’s initiatives, a well-functioning circular economy can lead to product innovation, generating more jobs, and an economic competitive edge. India can therefore reduce its reliance on unused raw materials and build a better, self-reliant, and globally relevant system for generations – a vision that the GoI’s Viksit Bharat initiative also advocates. The textile industry must commit to making in India for the world, but through circular, sustainable, and responsible means.
Growing towards
The textile industry is projected to grow to $350 billion by 2030 and could add 35 million new jobs if we align with climate goals and tech-driven innovations. The industry can redefine its global trade leadership vision, with not just manufacturing in volumes, but also with its core business values. We must step ahead of tokenistic green messaging and adapt business models that prioritise regenerative farming practices, traceability solutions, and product circularity.
Strategic decisions made today will help India’s global leadership for a sustainable, future-proof, and resilient textile economy. The fabric of the economy’s future is dependent on what we envision today and the purposeful designs for the environment that we weave responsibly.
Dipali Goenka, CEO and MD, Welspun Living
Published – June 05, 2025 01:28 am IST