India mandates circularity in public procurement to increase upcycled textiles

The Ministry of Textiles has formalized the ‘Circle Back’ campaign through a tripartite MoU signed between the Textiles Committee and industry stakeholders, this MoU gives a framework for the mandatory public procurement of upcycled textile products. By integrating circularity into the government supply chain, the initiative aims to institutionalize diversion of post-industrial and post-consumer waste back into the value chain.

Current industry data suggests, India generates approximately 7,800 kilotons of textile waste annually, of which only a fraction is formally recovered. This policy shift is expected to offer a guaranteed market for manufacturers specializing in regenerated fibers and blended yarns. This move converts sustainability from a voluntary ESG metric into a viable commercial volume play, say experts. Challenges remain in standardizing the tensile strength of upcycled yarns to meet rigorous government quality benchmarks, yet the opportunity for small-scale recyclers to scale operations is unprecedented.

As the 2027 EU Digital Product Passport deadline approaches, this domestic push for traceability and resource efficiency positions Indian apparel exporters to better handle tightening global environmental regulations while reducing the industry’s overall carbon footprint.

The Textiles Committee is a statutory body under the Ministry of Textiles that ensures quality standards across the Indian fiber and apparel sector. It supports domestic and export markets through laboratory testing and certification. The organization is currently prioritizing digital traceability and circular economy frameworks to enhance global competitiveness.