To track goods made from regenerated fibres and assess the development of the circular textile economy, the Indian government is about to start implementing tracking systems for the country’s import and export of recycled textiles.
Since recycled textile products are not included in the present set of tariff codes known as HSN (Harmonized System of Nomenclature) codes, the Ministry of Textiles has started the process of creating new ones. According to an article published in The Economic Times, these recycled goods are being traded under the current yarn, fabric, garment, and waste classifications.
During the fiscal year 2022–2023 India exported US$134.7 million worth of used garments and rags, while imports were US$381.71 million, with over half coming from Bangladesh.
An official who wished to remain anonymous emphasized the importance of keeping an eye on the trade in recycled textiles, particularly considering the prohibitions or limits that some nations have placed on it.
The introduction of unique HSN codes for recycled textiles will help trade associations, legislators, and customs officials manage and control the trade in these products. Additionally, it will make adherence to sustainability certifications and requirements easier.
To determine the amount of garbage produced in the nation, the ministry is actively looking into the production of waste both before and after consumers.
This project is in line with the EU’s 2020 Circular Economy Action Plan, which identifies textiles as a key product value chain that faces sustainability issues.
Official sources state that currently, only a small number of businesses engaged in recovered textiles are being monitored.
According to IMARC Group, India’s textile recycling industry, which was estimated to be worth US $308.7 million in 2022, is expected to increase at a compound annual rate of 3.4% from 2023 to 2028, or US $ 375 million.
According to industry analysts, the categorization of recovered textiles will be essential for tracking fashion waste and dead stock for brands, giving the recycling sector an identity, and enabling transparency in the supply chain.
