India Can Emerge As A Preferred Destination For Sustainable Textile Manufacturing: Manmohan Singh

Traceability has become a business necessity for the textile industry as brands, regulators and consumers demand greater transparency, avers Manmohan Singh in this exclusive interview with Textile Insights

Livaeco Lyocell is described as a third-generation man-made cellulosic fibre. What sets it apart from viscose and modal in terms of technology and performance?
Livaeco Lyocell represents the next generation of man-made cellulosic fibres. Like Livaeco viscose and Livaeco modal, it is derived from sustainably sourced wood pulp, but its manufacturing technology is fundamentally different.

Lyocell uses a closed-loop solvent-spinning process, where the pulp is dissolved directly in N-Methyl Morpholine N-oxide (NMMO) and the solvent is recovered and reused within the system. This enables very high solvent recovery, with up to 99.7% of the solvent recovered, significantly reducing process waste.

From a performance perspective, Lyocell offers an excellent combination of high strength, softness, moisture management, lustre and comfort. Its strength and dimensional stability make it particularly suitable for premium apparel, denim, home textiles and increasingly for technical textile applications.

In essence, Livaeco Lyocell combines the natural comfort and aesthetics of cellulosic fibres with enhanced performance and a more resource-efficient manufacturing process.

Can you tell us about the key innovations behind Livaeco Lyocell and how they align with global sustainability goals?
Livaeco Lyocell has been developed around three core pillars: responsible sourcing, environmentally efficient manufacturing and value-chain transparency.

Wood pulp is sourced from FSC-certified forests, supported by chain-of-custody systems that enable responsible sourcing.

The manufacturing process is based on a closed-loop technology, with high recovery and reuse of the solvent. Our manufacturing facilities also follow stringent environmental standards and adopt the best recognized practices in areas such as resource efficiency and environmental management.

A further differentiator is traceability. Livaeco fibres incorporate a molecular tracer that enables physical verification of the fibre’s origin, while GreenTrack, our blockchain-enabled traceability platform, digitally maps the journey from certified forest through pulp, fibre and downstream processing.

Together, these innovations support the principles of responsible sourcing, resource efficiency, transparency and circularity, helping brands meet increasingly demanding sustainability expectations.

Sustainability is central to the fibre. How does it perform across parameters like water usage, emissions, biodegradability and circularity?
Sustainability needs to be evaluated across the entire value chain rather than through a single parameter. Livaeco Lyocell is designed to deliver strong performance across several important dimensions.

Water and resource efficiency: The Lyocell process uses a closed-loop solvent system with very high solvent recovery and reuse. This reduces process waste and supports more efficient use of resources.

Emissions: The combination of responsible raw material sourcing and an efficient manufacturing process help reduce the environmental footprint of the fibre. Our focus is on continuous improvement in energy, water and emissions intensity across manufacturing.

Biodegradability: Lyocell is a cellulose-based fibre and, under appropriate conditions, is biodegradable. This gives it an important advantage in applications where end-of-life considerations are increasingly important.

Circularity: Beyond the fibre itself, Birla Cellulose is investing in recycled-content technologies and circular solutions to reduce dependence on virgin resources. Our objective is to move the industry progressively towards a more circular fibre ecosystem.

The broader proposition of Livaeco Lyocell is therefore not just about one sustainability attribute, but about responsible sourcing, efficient manufacturing, performance and traceability working together.

Traceability is becoming critical in textiles. How does Livaeco ensure transparency across the value chain?
Traceability has become a business necessity for the textile industry as brands, regulators and consumers demand greater transparency.

Birla Cellulose addresses this through GreenTrack, our blockchain-enabled fibre traceability platform, combined with physical fibre-level verification.

The system provides two levels of provenance:

• Value-chain traceability: Mapping the journey from FSC-certified forestry to pulp, fibre, yarn, fabric and finished garment.
• Source verification: A unique molecular tracer embedded in the fibre acts as a secure identity marker, enabling verification of the fibre’s origin at different stages of the value chain.

This combination of digital traceability and physical verification provides greater confidence in the provenance of the fibre. QR-enabled communication can also help brands share relevant information with consumers.

For the textile industry, traceability is rapidly moving from being a differentiator to becoming a fundamental requirement for responsible and transparent supply chains.

What are the key application areas for Livaeco Lyocell and how has the market response been in India and globally?
Livaeco Lyocell is a versatile fibre with applications across shirting, bottom-weight fabrics, denim, bed linen and other premium apparel and home textile segments.

Its key performance attributes include:

Moisture management: Helps manage moisture effectively, supporting comfort in shirts, athleisure and home textiles.

Softness: Its smooth fibre surface provides a soft, comfortable feel, making it suitable for loungewear and bed linen.

Strength and durability: Its high strength supports applications such as denim, menswear and other products requiring durability.

Market response has been encouraging both globally and in India. Globally, brands and retailers are increasingly looking for fibres that combine performance, sustainability and credible traceability.

India is particularly well-positioned, given its strong textile manufacturing ecosystem and growing domestic and export markets. The emerging structural deficit in cotton is likely to accelerate the shift towards Lyocell and other man-made cellulosic fibres, particularly where performance, sustainability and supply security are important. We see this as a significant opportunity for Lyocell to move beyond a niche sustainable fibre segment and become an increasingly important part of mainstream textile consumption.

What role do you see India playing in the global man-made cellulosic fibre market, and how can manufacturers benefit from this shift?
India is uniquely positioned to become a major growth engine for the global man-made cellulosic fibre market.

The country has a large and integrated textile value chain, a growing domestic market, strong manufacturing capabilities and an expanding focus on sustainable production. As global brands diversify sourcing and increasingly prioritize lower-impact materials, India can emerge as a preferred destination for sustainable textile manufacturing.

For manufacturers, this creates an opportunity to move up the value chain, access premium markets, strengthen ESG credentials and differentiate through innovation and traceability.

The companies that invest early in sustainable fibres, circularity, technology and transparent supply chains will be best positioned to capture this growth.

However, the next phase of growth will require a supportive policy ecosystem, ensuring a fair and globally competitive playing field for fibre manufacturers, while enabling downstream value-chain upgradation in terms of scale, technology and skill development. Such government support will be critical to unlocking India’s full potential in the man-made cellulosic fibre industry.

Looking ahead, what are your expansion plans and how do you see the future of sustainable fibres evolving over the next decade?
At Birla Cellulose, our focus is on expanding our portfolio of sustainable fibres, strengthening traceability, developing recycled-content solutions and supporting customers in achieving their sustainability objectives.

We are augmenting our overall capacity with an ambition to reach 1 million tonnes of MMCF fibre capacity annually by 2030.

A key part of this strategy is our Lyocell expansion at Harihar, Karnataka. We have announced plans to add 165 KTPA of Lyocell capacity, taking our overall Lyocell capacity to approximately 210 KTPA at full build-out and positioning us among the leading global producers.

More importantly, this expansion reflects a strategic shift towards specialty, sustainable and premium fibres. By 2030, these segments, including Lyocell, are expected to contribute nearly 35% of our portfolio.

Looking ahead, we believe the next decade will see sustainable fibres move from being a premium or niche choice to becoming a mainstream requirement, driven by brand commitments, consumer expectations, regulation and the need for more resilient and transparent supply chains.