Green Transformation of Panipat Led by Foundation for Small and Medium Enterprises Clusters

The Foundation for MSME Clusters (FMC), a leading non-governmental, not-for-profit public charitable trust established in India, recently hosted a workshop to empower local exporters with knowledge of the European Union's sustainability guidelines for textiles and apparel.

FMC, an empanelled Nodal Agency with the Ministries of MSMEs and Rural Development, has been at the forefront of fostering sustainable livelihoods and environmental progress through its innovative cluster development approach. The organisation has implemented multiple projects on environment and livelihoods with support from agencies like NABARD, UNIDO, UNDP, EU, ADB, and major corporates such as Cisco, Mahindra Finance, HCL, Yes Bank, and Hindalco.

The workshop, aimed at equipping exporters with knowledge of sustainability guidelines, was attended by industry leaders like Mr. Lalit Goyal, Mr. Vinod Dhamija, Mr. Rajat Grover, Mr. Puran Rawal, Mr. Parvinder Singh, and Mr. Nitin Arora. The event also featured insights from Harshita from Global Fashion Agenda (GFA) on the EU textile strategy, including new requirements for eco-design, durability, and the upcoming Digital Product Passport (DPP).

Ina Bahungna from Reverse Resources presented traceability mechanisms that enable exporters to map textile waste flows and comply with the EU's Extended Producer Responsibility (EPR) framework. Chinky Yadav from Green Story demonstrated the importance of DPP in tracing the product's lifestyle, from its creation to manufacturing and distribution.

The "Green Threads" programme, delivered by a consortium of global and national partners including Copenhagen Business School, the Small Industries Development Bank of India, Global Fashion Agenda, Reverse Resources, Green Story, and FMC, is being carried out in collaboration with the Panipat Exporters Association. The consortium aims to establish Panipat as a global sustainable textile hub, introduce the Digital Product Passport for greater transparency, enhance MSME skills and technology for resource efficiency, and expand access to green financing.

Mukesh Gulati, Executive Director of FMC, emphasized the need for Panipat's exporters to align with international sustainability standards and FMC's commitment to guiding the city's transformation into a global hub for circular textiles. The European Union has introduced stricter sustainability and circularity rules to curb overproduction, demand traceability, and ensure garments entering the EU are durable, recyclable, and environmentally responsible.

FMC supports over 100,000 artisanal and industrial units, ranging from household operations to medium-sized production entities, and provides support to prominent schemes like SFURTI. The organisation also offers technical, research, and evaluation support to various organisations such as SIDBI & KVIC.

The "Green Threads" programme is being funded by the European Union's SWITCH-Asia initiative, making FMC an implementing partner of the programme. However, it is important to note that FMC is not a direct implementing partner of the "Green Threads" programme, but it has implemented projects related to environment and livelihoods with support from the EU.

The workshop marked a significant step towards Panipat's transformation into a global sustainable textile hub, as the city's exporters continue to adapt to the changing landscape of the textile industry and embrace sustainability as a core value.

Green Transformation of Panipat Led by Foundation for Small and Medium Enterprises Clusters