Apparel manufacturers in India are switching a percentage of their production to organic following gradual rise in consumer demand. The United States and Europe are major markets for organic apparels for Indian textile manufacturers. Textile units are gradually increasing their production of organic and sustainable products with eyes set on both overseas and local niche market. Every year they are increasing the procurement of organic cotton from farmers to meet increasing demand.

According to apparel manufacturers, India is a niche market for organic clothes but countries like Europe and US are rapidly switching to organic, especially in women and kidswear. However, despite increasing demand in overseas market, resistance by brands in increasing prices for organic products is hitting margins of manufacturers.

Industry experts says, cost of manufacturing organic apparels is about 5 per cent higher than normal due to higher cost of procurement, certification and other charges. They said high competition from other manufacturing countries and negligible scope to hike prices in international market is hitting profitability of textile mills.