Page 19 - TEXtalks January/February 2022

18 19
Interloop plans expansion, one

India’s Organic Cotton Scandal year ahead of the original plan,

is hitting the headlines to meet the production orders

The organic cotton movement in India appears to be booming, but much of this growth is fake, say those
who source, process, and grow the cotton. The largest single producer of the world’s organic cotton supply is
India, which accounts for half of the organic cotton sold globally and where the organic cotton movement
appears to be booming. According to Textile Exchange, a leading organic proponent, organic cotton production in
India alone grew 48% in the last year, despite the pandemic. However, much of this growth is fake.

Consumers are assured of “organic” material by brands, which rely on official stamps of approval from
external organizations. Those, in turn, rely on reports from opaque local inspection agencies that base their
conclusions on a single planned yearly inspection (in the case of the facilities) or a few random visits (for
farms). In recent months, the credibility of these inspection agencies has been destroyed. In November, the
European Union voted to accept no longer Indian organic exports certified by the prominent companies
responsible for organic cotton: Control Union, EcoCert, and OneCert. When confronted with the allegations of
fraud, many fashion brands and their sourcing partners that use Indian organic cotton admitted that the
system was not perfect but affirmed their commitment to organic cotton and said any problems that existed
were located outside their supply chains.

Eastman invests $1 billion for a Interloop Ltd will set up its sixth hosiery plant in 2023-24, one year ahead of the original plan, because of

polyester recycling plant company said its fifth hosiery plant recently started production and is currently operating at full capacity. The
“increased demand” from global customers. In a regulatory filing with the Pakistan Stock Exchange, the

civil works have a capital outlay of $100 million for the said project. The share price of Interloop Ltd has also
increased since the company announcement on PSX. Its earnings for the October-December quarter rose
33.2pc to Rs2bn on a year-on-year basis.
Eastman has planned to invest up to $1 billion in Eastman’s polyester renewal technology enables the
France’s material-to-material molecular recycling potentially infinite value of materials by keeping them The board of Interloop Ltd advised the company management to “work out possibilities of arranging new
facility. The facility would use Eastman’s polyester in production, lifecycle after lifecycle. The capital by either bringing in foreign investors or further issuance of shares through a right issue.” By
renewal technology to recycle up to 160,000 metric hard-to-recycle waste is broken down into its advancing hosiery plant 6, the company’s profitability will increase substantially, which will help set up other
tonnes annually of hard-to-recycle plastic waste that molecular building blocks and then reassembled to projects as per Interloop’s Vision 2025.
is currently being incinerated. Eastman is a global become first-quality material without any
specialty materials company. Eastman’s proven compromise in performance. The new multi-phase Launched with 10 knitting machines in 1992 to becoming a US$ 355 million company, Interloop is a
polyester renewal technology provides true project includes units that would prepare mixed multi-category manufacturer of hosiery, denim, knitted apparel and seamless activewear products and the
circularity for hard-to-recycle plastic waste that plastic waste for processing, a methanolysis unit to largest listed apparel company on the Pakistan Stock Exchange. Fully vertically integrated large industrial
remains in a linear economy today. The material is depolymerize the waste, and polymer lines to create infrastructure, diverse workforce comprising 28,000+ associates and operational excellence has established
typically incinerated because it either cannot be various first-quality materials for specialty, packaging, it as a partner of choice for top international brands and relailers. Interloop’s commitment to environmental
mechanically recycled or must be downcycled with and textile applications. The plant and innovation and social responsibility is deeply rooted in its mission and has gained Interloop global recognition as a
existing technology. center is expected to be operational by 2025. pioneer in responsible manufacturing.

The expansion of Interloop indicates the blooming textile sector in the country with playing a vital role in
enhancing exports and supporting the country’s jolting economy.

January/February 2022 January/February 2022