Oct 28, 2025 (MarketLine via COMTEX) --
As global textile and apparel companies confront mounting costs linked to climate change requirements, apparel industry leaders issued a clear message: sustainability and decarbonisation underpin competitiveness.
From cotton growers to global brands, speakers at the joint annual meeting of the International Textile Manufacturers Federation (ITMF) and the International Apparel Federation (IAF) agreed the sector must reinvent itself around low-carbon growth, circularAproductionAand fairer value distribution.A
At the agricultural end of the value chain, the International Cotton Advisory Committee (ICAC) unveiled new initiatives aimed at helping millions of smallholder farmersAparticipateAin carbon markets and regenerative agriculture.A
aEURoeOur goal is to help farmers earn more not only from higher yields, but also from carbon sequestration,aEUR said Eric Trachtenberg, ICACaEUR(TM)s executive director. aEURoeTogether, these can triple smallholder income and make production net carbon negative.aEURA
ICAC is piloting carbon credit schemes in India and Cameroon that reward farmers for practices such as composting, biochar use and integrated pest management. The model, Trachtenberg said, could pay smallholders several hundred dollars per hectare inAadditionalAincome.A
The committeeaEUR(TM)s pilot projects in Africa have already lifted yields by up to 40%Awhile improving soil health and water retention. ICAC also plans to hostAaAfirst Global Cotton Textile Investment Summit in CA'te daEUR(TM)Ivoire in 2026 to link producers,AinvestorsAand technology partners around low-carbon supply chains.A
BrazilaEUR(TM)s cotton growers offered another case study in sustainability at scale. Marcelo Duarte Monteiro, international relations directorAof ABRAPA, BrazilaEUR(TM)s cottonAgrowerAassociation, said more than 90%Aof Brazilian producers now use at least one agricultural innovation, ranging from satellite-based irrigation monitoring to biopesticides, and that 92%Aof the countryaEUR(TM)s cotton is rain-fed.A
aEURoeRegenerative agriculture is really the way to go,aEUR he said. aEURoeIt increases yields, lowers costs, and improves soil health while reducing dependence on imported inputs.aEURA
He also addressed widespread misconceptions about cottonAproductionaEUR(TM)s water footprint. aEURoePeople often say it takes 20,000 litres to produce one kilogramAof cotton,aEURAnotedAMonteiro. aEURoeThe real number, based on ICAC data, is about 1,600 litres, and 75% of that comes from rainwater.aEURA
In Europe,AmanufacturingAindustry leaders warned that overly complex or fragmented rules risk undermining competitiveness.A
aEURoeEurope has realised that if we move too fast toward sustainability, we risk losing our industry,aEUR said DirkAVantyghem, director-general ofAEuratex, whichArepresentsAnearlyA200,000Atextile and apparel companies across the continent.A
VantyghemAsaid the European UnionaEUR(TM)sA(EU)ATextile Strategy, adopted in 2022, will bring 16 major regulations on design, waste, traceability, and due diligence by 2029.AHowever, he noted that after years ofAgreenArulemaking,Athe EuropeanACommissionAisAnow shifting toward a aEURoecleanAindustrialAdealaEUR to balance green goals with industrial resilience.A
aEURoeWe need smart, achievable regulation, not standards no one can meet,aEUR he said. aEURoeIf European manufacturers must follow strict sustainability rules, imports must meet them too.aEURA
HeAnotedAhow the EU has also launched aAae409bn ($476.92bn)ACompetitiveness Fund to support innovation,AskillsAand digitalisation. But voluntary sustainability efforts,AVantyghemAargued, have failed. aEURoeThereaEUR(TM)s still no clear business case for sustainability,aEUR he said. aEURoeThataEUR(TM)s why global alignment is essential.aEURA
He urged regulatory cooperation with Asia, warning that conflicting digital product passports or carbon border measures could fragment trade. aEURoeThis is a global industry,aEUR he said. aEURoeWe need shared standards, not parallel systems.aEURA
Asian sustainability China, the worldaEUR(TM)s largest textile exporter, has already embedded decarbonisation into industrial policy. YanAYan,Adirector of the Office for Social Responsibility, atAthe China National Textile and Apparel Council (CNTAC), said theAChineseAindustry has cut its greenhouse gas intensity by more than 60%Asince 2015 through cleaner energy, recycling, and automation.A
aEURoeOur sector used to symbolise pollution,aEUR she said. aEURoeNow it is part of ChinaaEUR(TM)s structured transition toward low-carbon growth.aEURA
Under BeijingaEUR(TM)sA'1+N'ApolicyAumbrella, the textile industry is targeting carbon peaking by 2030 and neutrality by 2060.AAlso, theACNTACAis planning toAcreate a shared database for product-level carbon footprints, enabling brands to trace and reduce Scope 3 emissions across supply chains,AsaidAYan.A
If ChinaaEUR(TM)s transformation shows what state coordination can achieve, IndonesiaaEUR(TM)s textile industry is now positioning itself asAa keyAmanufacturing hub, provided it can modernise and stay green.A
aEURoeThis is not de-globalisation, but re-globalisation,aEUR said Navdeep Sodhi, partner at Switzerland-based consultancyAGherziATextil Organisation. aEURoeTrade is reorganising around sustainability and regional integration. Indonesia has a second chance if it upgrades now.aEURA
IndonesiaaEUR(TM)s textileAand clothingAsector, worth about $11bn in exports, employs more than 3m people but struggles with outdated equipment and inconsistent policy. Only around 15%Aof its ring-spinning machinery is less than a decade old, Sodhi noted.A
Five megatrends reshaping the industry HeAidentifiedAfive megatrends reshaping the industry: rising demand from global consumers, new sourcing hubs in developing economies, mandatory sustainability standards, digitalised supply chains, and vertical integration from fibre to retail.A
To compete, he said, Indonesia must invest in cleaner technology,AlogisticsAand vocational training. aEURoeCountries that combine sustainability with efficiency will lead the next wave of global manufacturing,aEURAsaidASodhi.A
Prashant Agarwal,AjointAmanaging director of India-based Wazir Advisors, estimated that Indonesia would need about $15bn in fresh investment - half for new machinery - to raise exports to $40bn by 2030 and create up to 5m jobs.A
aEURoeEmployment creation is the real prize,aEUR Agarwal said. aEURoeEvery major textile economy - India, China, Vietnam - grew with strong government support and integrated infrastructure. Indonesia can do the same if it moves decisively.aEURA
At the corporate level, IndonesiaaEUR(TM)sAmajorAapparel exporter, PT Pan BrothersATbk, has become a model for how automation and sustainability can coexist.A
Vice-president director Anne Patricia Sutanto stressed howAthe companyaEUR(TM)sAaEUR~Industry 4.0'Aprogramme integrates digital monitoring, renewableAenergyAand waste reduction systems across its factories.AA
aEURoeEnvironmental and social responsibility are not brand pressure,aEUR she said. aEURoeThey are part of our values.aEURA
Pan Brothers employs 28,000 people, most of them women, andAoperatesAa groundbreakingAgreen office in Central Java, she said. The company also partners with the International Labour OrganisationA(ILO)Aon disability inclusion and community education.A
SheAsaid IndonesiaaEUR(TM)s textile exports could reach $80bn by 2045 if trade policy, investment and workforce training align: aEURoeThe government is ambitious with 40bn,aEUR she said. aEURoeI am more ambitious.aEURA
But she warned that inconsistent regulations still deter investors. aEURoeWe hesitate to invest more not because we lack faith in the industry, but because the rules change too often,aEUR she said. aEURoeIndustry needs predictability.aEURA
Trade,AenergyAand global cooperationAFrom the brand side, NikeaEUR(TM)s head of government and public affairs for Asia Pacific and Latin America,AAzlinaASulaiman, called for closer alignment between sustainability and trade policy.A
aEURoeNike sources from 37 countries through 541 factories employing over a million workers,aEUR she said. aEURoeWe need consistent rules that allow sustainable manufacturing to thrive.aEURA
She also pressed for reforms that would allow manufacturers to buy renewable power directly from producers rather than through credit systems. aEURoeDirect power purchase agreements would make manufacturing both greener and more resilient,aEUR she said.A
Day 1 of the conference revealed how the industryAisAtrying navigate US tariffs, supply chainAdisruptionsAand pressure to meet stricter sustainability targets.A
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