Central and T.N. governments look at measures to support ESG compliance by textile units

Published - November 03, 2023 07:48 pm IST - COIMBATORE

The Central government has appointed a consultant to prepare a report on the requirements and measures taken by apparel and textile units on Environment, Social and Governance (ESG).

A delegation of the Tiruppur Exporters Association met Joint Secretary Prajakta L Verma in New Delhi on Friday and explained the initiatives taken by the industry in Tiruppur. This included operation of common effluent plants for zero liquid discharge, investments in renewable energy, planting of saplings, and heading towards carbon neutral status.

The industry said with European Union announcing that 50% textile imports by 2030 should meet the ESG norms, competing countries such as China and Bangladesh were taking several measures. The Indian government should organise meetings in major cities in the US and EU and explain the initiatives taken by the Tiruppur cluster, should announce separate HS code for garments that meet the ESG norms, and provide subsidies to companies to be competitive in the international market while investing in ESG initiatives.

The Joint Secretary had assured to look into the demands, the association said.

The Ministry was studying the steps taken in different clusters, was encouraging sharing of information and best practices, and mulling measures such as quality standards for recycled fibre, an official source told The Hindu.

The Tamil Nadu government was preparing a textile policy and was considering measures to ensure ESG compliance by the textile units. A clear picture will be available only when the policy is finalised, said an official in the Ministry of Handlooms and Textiles in Tamil Nadu.

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