The European Union and the Ministry of Textiles launche 7 projects to boost the textile and handicraft sector in India

The European Union (EU) and the Ministry of Textiles today jointly launched seven new projects to strengthen India’s textile and handicraft industry, on the sidelines of ongoing Bharat Tex.

The EU has funded these projects with a grant of EUR 9.5 million (INR 85.5 crores). The goal is to help the Indian textile industry grow in a way that is fair and sustainable. These projects will improve the use of resources, create jobs, and empower women in the workforce.

The European Union (EU) and the Ministry of Textiles have launched seven new projects to strengthen India’s textile and handicraft industry, focusing on nine states: Assam, Andhra Pradesh, Telangana, Uttarakhand, Uttar Pradesh, Odisha, Jharkhand, Bihar, and Haryana.

Over the next 3 to 5 years, these projects will directly benefit 35,000 people, including 15,000 small businesses, 5,000 artisans, and 15,000 farmers. Additionally, they will economically empower around 200,000 women, helping create a more inclusive, sustainable, and thriving textile ecosystem.

The EU collaborates with India on sustainability and the circular economy through this initiative, which also supports the Ministry of Textiles’ “Sustainable Bharat Mission for Textiles.”

Funding for the projects comes from the EU’s Global Gateway Strategy and is part of the EU-India Resource Efficiency Circular Economy project. The German Ministry (BMUV) co-funds the project, which is run in partnership with India’s Ministry of Environment, Forest, and Climate Change and supported by GIZ.

These projects work with both government and private partners to protect India’s textile heritage while boosting the economy. They focus on increasing innovation, competitiveness, and market connections.

India’s textile and clothing industry plays a vital role in the economy, employing over 45 million people, with 60% of them being women. Although the industry contributes significantly to India’s exports, it faces challenges like high emissions, excessive energy use, significant water consumption, and low recycling rates.

The “Textiles’ Toolkit,” developed with GIZ to foster Circular Economy and Resource Efficiency in the sector, was also launched today.

On the launch occasion, Mr. Franck Viault, Minister Counsellor and Head of Cooperation of the EU Delegation to India, said, “While fast fashion dominates global trends, both the EU and India are working hard to make the textile industry more sustainable.

India’s rich textile heritage is highly regarded, especially in Europe. By merging tradition with innovation and technology, India’s textile sector can move toward a sustainable future.

The EU, as a key partner, is committed to supporting India’s circular economy goals, sharing best practices, and promoting environmentally sustainable practices in this important sector.”