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India’s fashion paradox: As the industry booms, it is being buried under heap of its own waste

India’s textile and clothing industry is massive when it comes to job creation, employing around 45 million people. It contributes 2.3 per cent to the country’s GDP and accounts for 12 per cent of all exports.

However, there is a growing issue that receives far less attention: the industry generates approximately 7,800 kilotonnes of waste every year—equivalent to the combined weight of more than 120 million people—and most of it ends up in landfills, mixed with everyday waste.

According to a recent report by the Center for Study of Science, Technology and Policy (CSTEP), the textile industry is the third-largest contributor to dry municipal solid waste, following plastics. Currently, only 34 per cent of India’s textile waste is reused — through repair or conversion into new products — and just 25 per cent is recycled into yarns, the essential base for new fabric production.

Most of these recycled yarns fail to meet global quality standards. The remainder of the waste is incinerated, downcycled, or landfilled, revealing that current waste management practices are insufficient to address the issue at scale.

Breaking down waste

Textile waste falls into three categories:

  • Pre-consumer waste (42 per cent), generated during manufacturing
  • Post-consumer waste (51 cent), consisting of discarded textiles
  • Imported waste (seven per cent), including second-hand clothing and mutilated rags brought into India

Of these, post-consumer waste is the hardest to manage due to the complexities of collection and sorting. Used garments often contain blends of natural and synthetic fibres, which are difficult to separate with current recycling technologies. Even when such waste reaches recycling centres —mostly in Tier 1 cities — it often arrives soiled or contaminated, resulting in high rejection rates.

As textile waste gains global attention, many major fashion brands are stepping up, pledging to achieve net-zero emissions. Initiatives like The Fashion Pact, one of the largest CEO-led sustainability efforts in the industry, reflect this shift. In the European Union, upcycling trends are reshaping fashion by turning textile waste into high-value products, aligned with the principles of a circular economy. As one of the world’s largest textile producers, India must align with these global sustainability trends and standards to remain competitive and responsible.

What can we do?

Transitioning to a circular textile economy begins with enforceable policy frameworks. A powerful tool in this direction is Extended Producer Responsibility (EPR) — a policy that holds manufacturers accountable for the environmental impact of their products, from design to disposal. When implemented effectively, EPR can transform how we produce, consume, and dispose of textiles.

However, the shift will not be seamless. High upfront costs, diverse regional conditions, and weak coordination across the value chain — from design to manufacturing — pose significant barriers. Overcoming these requires an evidence-based approach rooted in robust data, inclusive stakeholder participation, and context-specific policy.

First, we must establish standardised guidelines and enforcement mechanisms to ensure industry-wide compliance. Building digital data systems to track material flows will enhance transparency and reduce waste leakage.

Second, local action must lead the way. Textile waste should be separated at the source through decentralized collection systems embedded in communities. Integrating the informal waste sector — an estimated 4 million workers in India — into formal systems is both fair and essential. These workers are the backbone of recycling networks, and their inclusion is key to last-mile efficiency and equitable implementation of EPR policies.

The Swachh Pune model, which promotes public–private partnerships and integration of the unorganized sector, offers a valuable blueprint. Third, to increase recycling rates, we must establish industry-wide sorting and labelling standards, create urban recovery facilities to reduce reverse logistics costs, and invest in research and innovation.

Technology will be a critical enabler. At the end-of-life stage, advanced recycling technologies can produce recycled yarns that meet global standards, enabling reintegration into the supply chain. Tools such as RFID-based labelling and automated sorting systems can streamline the recycling process. On the design front, innovation is equally important. Creating products that are easier to recycle — by focusing on material composition, durability, and reusability — can improve recovery rates.

For example, the collaboration between the Northern India Textile Research Association (NITRA) and the National Botanical Research Institute (NBRI) to produce fibre from milkweed represents a step toward alternative, sustainable materials. Similarly, Spinnova, a Finland-based company, has developed a way to create fibres from wood pulp and agricultural or textile waste—without harmful chemicals.

Role of the consumer

Beyond industry-level efforts, our everyday choices matter too. Shifting from fast fashion to responsible consumption is crucial. Aligned with the LiFE (Lifestyle for Environment) mission by the Ministry of Environment, Forest and Climate Change (MoEFCC), consumers can support the circular economy by purchasing mindfully, choosing ethical and durable clothing, and making use of textile recovery facilities.

Awareness campaigns, incentives for sustainable disposal, and the promotion of second-hand markets can further encourage environmentally responsible behaviour. A circular textile sector will not only support India’s net-zero goals but also ensure a resilient and responsible fashion industry — one that prioritises resource efficiency while reducing its environmental footprint.

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