The Indian textile industry is bracing for significant changes as the European Union (EU) is set to enforce stringent human rights and environmental due diligence regulations on its companies. To prepare domestic exporters for this new landscape, the Confederation of Indian Textile Industry (CITI) is conducting workshops across the country.
The recently enacted Corporate Sustainability Due Diligence Directive (CSDDD) mandates European companies to identify and address human rights and environmental risks throughout their supply chains. This will have a direct impact on Indian textile and apparel exporters who supply to the EU market.
To help the industry navigate these challenges, CITI has partnered with Fair Wear Foundation for a year-long capacity-building program. A workshop held in Coimbatore on Friday, in collaboration with Southern India Mills’ Association (SIMA), focused on understanding the upcoming EU regulations and empowering suppliers to participate in the consultation process.
Chandrima Chatterjee, Secretary-General of CITI, emphasised that European countries are actively implementing laws to make CSDDD mandatory for their companies. This will require brands to conduct thorough risk assessments and bear the associated costs. Suppliers, on the other hand, will need to self-declare compliance with the new standards and will also have a platform to voice their concerns.
Industry leaders expressed both challenges and opportunities arising from the new regulations. T Rajkumar, former chairman of CITI, termed CSDDD a transformative development for the Indian textile and apparel sector. S.K. Sundararaman, chairman of SIMA, highlighted the need for a balanced power dynamic between suppliers and brands. SIMA has established a ‘Sustainability Cell’ to guide its members on the evolving regulatory landscape.
Meanwhile, the Tiruppur Exporters Association organised a seminar to educate garment exporters about the importance of circularity in the industry, aiming to boost exports to the EU. As the deadline for implementing the CSDDD approaches, the Indian textile industry is actively working to enhance its sustainability practices and build resilience to meet the growing demands of the global market.
