In an era where sustainability is no longer a choice but a necessity, the India Fashion Forum (IFF) Innovators Club is at the forefront of driving responsible fashion creation. The recent Fashion Sustainability Conclave, held on October 3, 2024, at the ITC Maratha in Mumbai, proved to be a pivotal event in the ongoing dialogue about responsible fashion.
In a critical session led by Rishi Suri, Business Development Director (South Asia), The LYCRA Company, renowned panelists dissected whether consumers truly pay attention to sustainability claims and identified best practices for effective communication.
On the panel of experts were:
- Dr Naresh Tyagi, Chairman, IFF Innovators Club and Chief Sustainability Officer, ABFRL.
- Avanti Deo Mishra, Business Head – MTM Lifestyle Business, Raymond Ltd.
- Rajiv Bajaj, Head of Design, Jack & Jones and Selected, Bestseller.
- Mamta Sharma, Design Manager – Pepe Jeans India.
- Kapil Pathare, Director, VIP Clothing.
Rishi Suri kickstarted the session with a the focus on consumer perceptions of sustainability claims and messages communicated by brands and the textile value chain, exploring how these messages influence consumer perspectives and the value they assign to sustainability.
Opening the discussion Rajeev Bajaj, Head of Design, Jack & Jones and Selected, Bestseller said, “BESTSELLER, a Nordic brand, holds sustainability very close to its heart – perhaps even more so than what we see in the Indian market. For us, it’s about doing it for the next generation and its core to who we are. So we do not use it as a marketing gimmick, which is why we don’t feel the need to promote it.”
According to Kapil Pathare, Director, VIP Clothing, “Sustainability is crucial since innerwear products directly touch the skin. In India, there’s still a strong belief that cotton is the most breathable fabric, but with so many new sustainable fabrics emerging, that myth is changing. However, sustainability isn’t just about the fibre – it has to encompass the entire value chain. The whole system, from start to finish, must be sustainable across the entire product lifecycle.”
Dr Naresh Tyagi, Chairman, IFF Innovators Club & Chief Sustainability Officer, ABFRL, added, “It’s important to understand how sustainability is embedded into a company’s business practices. For ABFRL, there are three key factors: first, the intent must be right – going beyond compliance to act responsibly across all segments. Second, the content must be right – sustainability should be applied throughout the entire value chain, including the supply chain. Third, you must measure impact by tracking progress – if it’s positive, you’re creating the right impact.”
Mamta Sharma, Design Manager, Pepe Jeans India highlighted, “At Pepe, sustainability is an end-to-end process, from partnering with vendors and timely payments to designing, producing, and shelving garments. We also manage post- and pre-consumer waste, focusing on turning denim waste into new garments while improving packaging and promoting sustainability throughout the entire supply chain.”
Sharing her insights, Avanti Deo Mishra, Business Head, MTM Lifestyle Business, Raymond Ltd. added, “As a homegrown brand, we are late to the sustainability conversation, despite being number one in our fabric segment. We ensure our factories meet high ESG compliance standards. We also believe that effective communication should flow from our core values and culture, creating an authentic connection with consumers. With new management, we’re now focused on developing a cohesive ESG plan and improving our internal discussions on sustainability.”
Consumer Prioritisation of Sustainability
Concerning consumer prioritisation of sustainability, Bajaj added “With our brand Jack and Jones, we’ve introduced an end-to-end sustainable range called ‘Protect’ for denim. We’ve implemented zero-discharge factories and communicate our sustainability efforts through videos, tags, and QR codes. While we do sell these items at a higher price, we’re also focused on maintaining aesthetic appeal. Furthermore, we also focus on sustaining long-term connections through sustainability efforts.”
He also highlighted key factors entrenching consumer trust which is a mix of emotional engagement and practicality. In India, consumers tend to buy based on health-related claims and seek value for their purchases, particularly for their children’s future. They appreciate traceability and proof supporting sustainability claims, especially concerning animal welfare and local farming.
“However, a study from New York University indicates that 68% of consumers are uncertain about the sustainability of products, highlighting a trust deficit. They need transparency from brands and vendors regarding sustainability practices,” he added.
On the challenges of educating consumers about sustainability Mamta noted, “Brand loyalty and uncertainty complicate matters. When brands introduce sustainable innovations, they often offer only a few sustainable products among many, limiting their impact on consumer behaviour. Sustainability is a journey requiring comprehensive efforts across the entire product line, rather than just isolated initiatives.”
Influence of Sustainability Claims on Brand Loyalty
Addressing the nuances of brand loyalty Dr Tyagi said “The influence of sustainability claims varies by consumer segment. Transactional consumers prioritise value and price based on their geographical context, such as India versus Norway. While they initially focus on immediate product value, repeat purchases are driven by factors like durability, service experience, and brand trust.”
Dr Tyagi added that a leading fibre manufacturer indicated its recycled yarn is priced 30% to 40% higher due to R&D and infrastructure costs. He anticipated that, while initial costs may be higher, they could eventually become cost-neutral or cheaper, illustrating how long-term transparency and authenticity can foster trust and loyalty.
Suri weighed in here highlighting the pricing and cost considerations related to introducing bio-based Lycra made from dent corn, which currently incurs a 15% to 20% cost premium. He noted the dilemma of whether to pass these costs on to the value chain and consumers or absorb them temporarily to gauge market response. However, pursuing this direction is essential for sustainability.
While price was an important consideration, Pathare said that transparency in the sustainable process is crucial for brands. “In the innerwear segment, which has traditionally served numerous mom-and-pop stores across India, clear communication throughout the sustainable journey is essential. Our company recently transitioned from cotton to Tencel modal fabrics, marking a significant shift after 50 years. So, crystal-clear messaging, highlighting that consistency is paramount not only in product offerings but also in communication strategies, from packaging to digital advertising,” he explained.
He also identified a major challenge – educating trade partners from sectors like innerwear, where plastic packaging is common and sustainability is not prioritised. “While they aim to reduce plastic use, there remains a belief that products must be plastic-wrapped. This is something that brands need to rethink, especially those catering to the premium and luxury segments, which are seeing heightened interest from their well-traveled, and discerning customers who increasingly demand transparency and ethical sourcing.”
Dr Tyagi agreed saying that packaging was a crucial aspect of sustainability yet often overlooked in discussions. “For instance, packaging a single shirt can require up to 22 components. Exploring innovative solutions using patented technology, which incurred a 50% cost premium for bio-based alternatives to plastic. While this initially seemed impractical, after eight years of piloting, they successfully transitioned to entirely alternative plastic packaging at a neutral or marginally increased cost.”
The Role of Consumer Awareness
Addressing the role of consumer awareness Avanti said, “Our clientele comprising top executives and middle-to-upper management are highly aware of sustainability trends, especially those established by international brands.”
“While India may not yet mandate sustainability in brand communication, global trends are setting the standard. These customers often ask detailed questions about sourcing, particularly regarding wool and other materials. Most of our products are wool-based, but even in our entry-level polyester line, all materials are recycled. This reflects a broader industry shift where sustainability is not just a product feature but a fundamental brand attribute.”
This holistic approach is also reflected in internal company practices. “We are transitioning to more sustainable options, such as jute suit covers and carry bags. This shift is not just external but driven by younger team members who question why we aren’t using sustainable materials,” she explained.
The dynamic between consumer expectations and brand initiatives creates a push-pull effect. While consumers increasingly demand sustainable products, brands are also motivated by the pride they take in offering eco-friendly solutions.
Sustainability Legislation in India: A Need for Balance and Customization
In response to a question about India’s need for sustainability legislations similar to Europe, the consensus among the panel was that India needs stricter regulations, but they must be tailored to local realities, since there were many challenges in direct adoption of European models.
Highlighting his experience with the Ministry of Textile’s ESG Committee, Dr Tyagi, emphasised that while India is a crucial part of the global value chain and must follow international standards, directly adopting European legislation could be problematic. HE said that in Asia, supply chain partners must be part of the discussion for any legislation to be drafted and for these rules to be practical.
With new carbon tax regulations set to be implemented in the European Union by 2026, Dr Tyagi expressed concerns about their impact on low-cost products sourced from Asia. He questioned whether these brands could absorb the added costs and pass the benefits onto consumers, emphasising the need for consultation and harmonisation. He argued that India requires legislation that balances international standards with the interests of both domestic consumers and the export community.
Bringing forth the consumer viewpoint, Avanti, stressed, “While top-end and homegrown brands are beginning to offer sustainable products, many mass-market brands cannot adopt these practices due to price sensitivity. With textiles starting at under ₹100 for shirting fabric, mainly in the unbranded market, and that mass-market consumers cannot afford the potential price increases that come with sustainability efforts. While these initiatives are vital, the real challenge lies in how much of the increased costs manufacturers can bear and how much can be passed on to consumers.”
The conversation concluded with a shared understanding that while legislative changes are needed in India, they must be harmonised with both the supply chain’s needs and consumers’ price sensitivities.
Reclaiming Value from Post-Consumer Textile Waste in India: Opportunities and Challenges
A Intedicap representative in the audience, raised an important question about whether Indian brands are focusing on using recycled materials from post-consumer textile waste. In response, Dr Tyagi acknowledged the significance of this issue and shared insights from his experience.
He stated, “India’s market is incredibly diverse, ranging from consumers who buy t-shirts for ₹50 to those who spend ₹3000. This diversity presents a major challenge when considering systematic changes like the use of recycled materials. The unorganised sector, especially in the lower price brackets, adds complexity to this shift. For such a transition we need a multi-stakeholder approach involving consumers, brands, regulatory bodies, NGOs, suppliers, and vendors.”
Highlighting a key obstacle, he added, “India’s lack of infrastructure for reverse logistics, which makes sorting, segregation, and recycling expensive and logistically challenging. However recent progress and the emergence of reprocessing centres in Surat, Tirupur, Panipat, and Ludhiana are developments that would have seemed unimaginable just five years ago.”
Furthermore he spoke about the government’s role in supporting sustainability efforts “Initiatives like PM Mitra Park, where recycling hubs are being advocated for. We are optimistic that in the next couple of years, the government will introduce more incentives and policies to promote circularity.”
Mamta too addressed the issue, highlighting a critical consideration for brands navigating the sustainability shift in India. “Their priorities are largely shaped by their target audience. Brands must decide whether to focus on capturing the mass segment, which constitutes a significant portion of the market or to aim for the premium or niche segment, which represents a smaller but higher-value portion of the consumer base,” she stated.
“Currently, many brands in India follow the 80-20 principle, where 80% of their focus is on the mass segment, leaving only 20% for the premium niche. This mass audience is essential for revenue generation, and capturing this large consumer base remains a priority. However, as the upper mass segment grows, the shift towards more sustainable practices will likely become more prominent. Sustainability is currently more relevant to the premium segment, which has the financial means to prioritise eco-friendly products,” she added.
The discussion reiterated that in India, sustainability is still perceived as a luxury, particularly when it comes to certain fabric categories like Tencel and Modal, which are common in Europe but remain high-end in the Indian market. Brands face the challenge of balancing mass-market affordability with the push for eco-friendly products.
Circular Economy in Action: Raymond’s Garment Exchange Program
In a key highlight from the discussion, Avanti shared a noteworthy initiative related to the circular economy that Raymond brand has been running for the past ten years. This initiative, a garment exchange program in collaboration with Goonj, is a significant example of how companies can contribute to sustainability on a practical level.
Raymond has leveraged its vast network of over 1,000 stores across India to collect more than three lakh garments each year through this program. In exchange for these donated garments, Raymond offers customers incentives such as free stitching services.
Avanti stressed “Many customers opt to donate garments without expecting anything in return, motivated purely by the cause of contributing to a good initiative.”
“The garments collected are handed over to Goonj, a renowned NGO that operates under the leadership of Anshu Gupta, who does not distribute these garments as charity to the underprivileged. Instead, they are used as a form of remuneration for people in rural areas who contribute to various community development projects. This approach ensures that the garments serve as a reward for work done rather than a handout, fostering dignity and empowerment,” she explained.
She added, “Raymond’s criteria for donations are strict since they only accept garments that are in good condition.”
Positioning Sustainability in a Value-Driven Market
During the discussion, an important point of contention remained on the brands’ approach sustainability, especially in a value-driven market like India. The focus was on how consumers perceive sustainability and whether they are driven by such factors when making purchasing decisions.
While sustainability is a significant topic, Indian consumers remain highly focused on value when making purchases and India is still in the early stages of this sustainability journey.
At this juncture, Suri noted that the average Indian consumer may not notice or prioritise sustainability tags unless they are making a significant purchase, such as buying a car.
India’s Approach to Recycling and Sustainability
Towards the end, the session focused on the growing recycling infrastructure in India, with significant hubs such as Ludhiana, Tirupur, Panipat, Surat emerging as key recycling centres. It was emphasised that recycled fibres are already being used by some Indian brands without much consumer awareness, as the focus remains on affordable pricing and product quality.
While global brands like H&M, Inditex, and Marks & Spencer have integrated sustainability into their core sourcing processes, this level of focus has not yet reached India’s mass markets. There is little regulatory pressure in India to enforce sustainable practices, particularly in smaller, unorganised sectors where content labelling remains inconsistent.
In conclusion, it was noted that while sustainability may initially follow a cost-plus model, it will gradually shift toward cost neutrality. This change in narrative—from viewing sustainability as an expensive, premium feature to recognising it as a long-term investment – is crucial for the Indian market’s future.
