Textile Manufacturers at the Crossroads: Balancing Sustainability with Economic Challenges
Understanding the Complexity of the Fashion Value Chain
The fashion industry is vast and intricate, with each stage playing a crucial role in shaping our garments. This chain begins with Raw Material Producers (such as farmers and synthetic fibre manufacturers),followed by Yarn Mills, Textile Manufacturers, Dyeing and Finishing Plants, Garment Manufacturers, Distributors, and Retailers.
Each of these stages has the power—and the responsibility—to drive sustainability forward, helping to mitigate the environmental and social impacts of fashion production.
In this instalment of our "Sustainable Fashion" series, we focus on the critical role of Textile Manufacturers.
The Pivotal Role of Textile Manufacturers in Sustainable Fashion
Textile manufacturers are at the core of the industry, transforming yarn into fabric through weaving or knitting. Their choices and innovations at this critical process stage can determine a fabric’s environmental impact, from raw material efficiency to energy consumption and chemical use.
However, these manufacturers face an increasing dilemma—how to balance ambitious sustainability goals with the rising costs of production and regulatory pressures.
The Environmental Cost of Textile Manufacturing
Fabric production is resource-intensive, often requiring significant amounts of water, energy, and chemicals. Key sustainability challenges include:
- Water Consumption & Pollution: Traditional textile manufacturing consumes vast amounts of water, contributing to environmental degradation.
- Energy-Intensive Production: Heating water, operating machinery, and drying fabrics require substantial energy, often from fossil fuels, leading to high carbon emissions.
- Waste Generation: Textile manufacturing generates significant fibre and material waste, which, if not correctly managed, adds to landfill overflow.
The Economic Challenge: Sustainable Solutions vs. Cost Pressures
While brands and consumers increasingly demand sustainable textiles, manufacturers must navigate a financial tightrope. Transitioning to eco-friendly processes requires substantial investment in new technology, infrastructure, and training.
However, manufacturers operate on thin margins at this end of the value chain, with estimated gross margins of around 15%–25%. Companies that own the whole processing cycle (dyeing and finishing) tend to have better margins, but even then, most businesses are operating on a net margin of around5%–10%
This puts incredible pressure on the manufacturers, so moving toward more sustainable solutions can’t just be about environmental sustainability but also financial sustainability.
Collaboration for a More Sustainable Future
Sustainable change in textile manufacturing cannot happen in isolation. It requires collaboration across the entire value chain, including:
- Investment from Brands & Retailers: Supporting manufacturers financially in their sustainability efforts through fair pricing and long-term partnerships.
- Policy & Regulatory Incentives: Governments and regulatory bodies must encourage cleaner production through subsidies, tax breaks, and stricter enforcement of environmental standards.
- Consumer Awareness & Demand: A shift in consumer behaviour toward prioritising sustainable textiles can drive industry-wide adoption of greener practices.
Celys: Supporting Manufacturers in the Sustainability Transition
At Celys, we recognize textile manufacturers' challenges in balancing sustainability with economic viability. That’s why we’ve designed our compostable polyester fibre to seamlessly integrate into existing manufacturing processes, minimising disruption while maximising environmental benefits. Our commitment to supporting manufacturers includes:
- Ease of Integration: Our fibre is engineered to work with existing production lines, ensuring manufacturers don’t need to overhaul their infrastructure to adopt sustainable materials.
- Lower Energy Consumption: Celys fibres require lower dyeing temperatures, reducing energy consumption and helping manufacturers cut operational costs while decreasing their carbon footprint.
- End-of-Life Solutions: Unlike conventional synthetic fibres that contribute to landfill waste and microplastic pollution, Celys fibres are compostable, providing an eco-friendly end-of-life solution that aligns with circular economy principles.
By working closely with textile manufacturers, we ensure that sustainability is achievable and economically viable, enabling a smoother transition to greener production methods without compromising efficiency or profitability.
Conclusion: Empowering Textile Manufacturers to Lead Change
Textile manufacturers are not passive players in sustainable fashion but essential innovation drivers. Their ability to implement eco-friendly fibres and efficient production techniques will shape the industry's future. However, they cannot do it alone. By fostering collaboration, investment, and awareness, we can empower these manufacturers to lead toward a sustainable fashion future.
Stay tuned for the next instalment in our Sustainable Fashion series, where we’ll explore the Dyeing and Finishing Process—one of the most environmentally challenging stages of textile production.
