Eco-friendly denim manufacturing techniques require upfront costs from the mills that employ them. Sustainability is linked to research and innovation. If the company doesn’t invest, there is no innovation and, as a consequence, there is no sustainability. Organic cotton fibers, nontoxic dyes and other sustainable components are all more expensive than their conventional counterparts. Even machinery upgrades that allow for water, energy and chemical efficiencies require constant investment. Mills may have to incur additional costs to have their processes and products audited and certified by third parties to verify claims.

There are three main areas of investment for eco-friendly denim production--dyeing, recycling fibers and finishing. Sustainability is one of the biggest expenditures for mills because it requires a lot of R&D, new technologies, innovations and education. The more sustainable innovation a fabric includes, the higher the price point is going to be. Because there is always room for improvement, there is no way any business can be 100 per cent sustainable. Mills must therefore stay nimble, both in terms of their strategies and plans for financing.

But because sustainability measures often improve efficiency, many, if not most, initial investments are eventually recouped through cost savings. These savings are in terms of energy, water and chemicals.