Welspun Living is pursuing a 2040 net-zero target by aligning with the Sbti’s still-unproven 1.5°C pathway, a move that places it among a small set of Indian companies adopting such benchmarks


Welspun Living, part of the USD 3.6 billion Welspun Group, says it is fast-tracking its decarbonisation goals to hit net zero by 2040, a full three decades ahead of India’s national 2070 target. The textile major has signed up to the Science Based Targets initiative (Sbti), pledged to switch entirely to renewable energy by 2030 and is expanding projects from rooftop and floating solar to biomass-based thermal solutions.

“As a signatory to the Sbti, we have developed a roadmap aligned with the 1.5°C pathway. We aim to achieve 100 per cent renewable energy in our operations by 2030 and achieve the net-zero milestone by 2040,” said Alok Mishra, President and Group Head–Sustainability, Welspun Group, in an interview with BW SustainabBilityworld.

However, such long-horizon pledges face significant hurdles, from high capital costs and reliance on emerging low-carbon technologies to the complexity of cutting Scope 3 emissions in sprawling global supply chains. Recently, the Sbti faced mounting scrutiny, with evidence suggesting its 1.5°C pathway remains unproven at scale as the body delisted 239 global firms for failing to set or meet near-term targets, according to media reports.
While India ranks sixth globally with 127 companies committed to Sbti-aligned net-zero targets, only a meagre 7 per cent of these firms hail from high-emission sectors such as power, cement, and mining, which together contribute around 55 per cent of the country’s greenhouse gas emissions, an Icra report stated.

While Welspun points to regenerative agriculture, blockchain-based traceability, and supplier engagement as proof of progress, independent verification of interim milestones will be key to separating climate leadership from corporate optimism, particularly as India’s carbon market takes shape in 2026.

Edited excerpts:

1. As Net Zero 2070 sets the national ambition, what concrete milestones is your company setting for 2047 to ensure your net-zero journey is credible, measurable, and aligned with global climate benchmarks?

Welspun Living Limited is fully aligned with India’s Net Zero 2070 target and has set interim and long-term milestones to ensure our decarbonisation journey is both scientifically grounded and globally credible. As a signatory to the Science Based Targets initiative (SBTi), we have developed a roadmap aligned with the 1.5°C pathway, we aim to achieve 100 per cent renewable energy in our operation by 2030, and achieve Net-zero milestone by 2040. At our facilities, we have implemented projects like ground mounted & floating solar, rooftop solar, wind mills, and Waste Heat Recovery (WHR) System. We are actively phasing out coal-based thermal sources and shifting towards biomass-based solutions. Simultaneously, we are targeting reduction in energy intensity, enabled through process automation, energy efficiency projects, and smart utilities. We are also addressing Scope 3 emissions by engaging suppliers in decarbonisation programs, increasing the use of sustainable raw materials, and reducing logistics emissions. These efforts are being monitored and tracked through digital platforms that allow emissions tracking and reporting. Third party GHG data assurance is also helping us to build transparency and credibility in our journey towards Net Zero.

2. In a future where regenerative business will be the benchmark for resilience and competitiveness, what systemic shifts is industry making today to lead that transformation by 2047?

The textile industry is undergoing a fundamental transformation, shifting from a linear “take-make-dispose” model to regenerative practices that restore ecosystems, create shared value, and build long-term competitiveness. At Welspun Living, we are making efforts to embed regenerative thinking into product design, operations, and community engagement. We are implementing circular design principles through innovations like Wel-Trak 2.0, a block chain-based traceability platform that supports product recycling and closed-loop manufacturing. On the water front, we’ve set an example by achieving the goal of “Zero fresh water plant” at Anjar location which uses 100 per cent recycled water for its operations. Hyderabad facility is also a “Zero discharge facility”, recycling its entire wastewater. Through the WelKrishi initiative, we are collaborating with cotton farmers to promote regenerative agriculture practices that enhance soil health, reduce chemical inputs, and sequester carbon. This program runs across 3 states with over 26,000 farmers enrolled. We also run SPUN initiative, which is a comprehensive program that bridges the gap between traditions, community empowerment, and environmental responsibility. By taking an integrated approach to sustainability, economic upliftment, and cultural preservation, SPUN demonstrates how modern business practices can be aligned with social good and environmental conservation. These systemic shifts ranging from supply chain partnerships to digital transformation are laying the foundation for a regenerative business model that can thrive in a resource-constrained, climate-impacted world by 2047.

3. With Scope 4 emissions gaining traction as a way to quantify positive climate impact, how is your company innovating products or services that enable downstream emissions reductions, and do you think that industry as a whole is prepared to track and report these benefits in the next decade?

Scope 4, or avoided emissions, is emerging as a vital metric to capture the climate benefits of low-carbon products and services. At Welspun Living, we are innovating home textile products that not only have a reduced environmental footprint but also help downstream users lower their emissions. Our patented Hygro cotton towels, for example, dry faster and reduce energy use during laundering.

                               We’ve also developed curtains with air-purifying properties that contribute to healthier indoor environments. In terms of materials, we offer Global Recycled Standard (GRS)-certified products made from post-consumer waste, enabling our global retail partners to reduce their Scope 3 emissions. Wel-Trak 2.0 supports credible downstream reporting by providing traceability data on raw material origins, manufacturing processes, and carbon footprints. While the textile sector is still early in its Scope 4 readiness, the integration of digital product passports, consumer-facing impact labels, and advanced LCA tools will enable robust tracking and reporting over the next decade. Welspun is helping lead this transition by investing in the tools and partnerships required to quantify our products’ positive climate contributions.

4. With ESG 2.0 redefining credibility through measurable impact and regulatory compliance, what strategic shifts might organisations make to move beyond disclosure towards demonstrable outcomes in environment, social, and governance metrics?

ESG 2.0 represents a shift from intent to impact, from reporting metrics to achieving measurable outcomes. At Welspun Living, we’ve embraced this shift by integrating ESG performance into business KPIs, leadership accountability, and decision-making processes. We have deployed digital ESG dashboards across our plants, tracking various indicators spanning carbon, energy, water, waste, gender diversity, occupational health and safety, and compliance. These are reviewed regularly at senior management and board levels through a dedicated ESG & CSR Committee of the board. On the social front, our programs support women’s empowerment in rural communities, health and hygiene education, and upskilling of the textile workforce, with clear impact metrics and third-party evaluations. From a governance standpoint, we are aligning with SEBI BRSR Core requirements and preparing for upcoming global regulations like CSRD. The key strategic shift is moving beyond sustainability reporting to embedding ESG into core business value creation, risk management, and stakeholder engagement. This outcome-focused approach enhances our competitiveness, resilience, and credibility in both global markets and investor evaluations.

5. With growing pressure to tackle Scope 3 and imported carbon, how is your company planning to trace and cut embedded emissions across its global value chain by 2047?

Scope 3 emissions—particularly those embedded in purchased goods, transport, and end-of-life disposal are the most significant portion of a textile company’s carbon footprint. At Welspun Living, we have prioritized these emissions in our long-term decarbonisation strategy. Our approach starts with mapping and quantifying Scope 3 categories using GHG Protocol. We are collaborating closely with raw material suppliers to transition to low-impact alternatives such as Better Cotton, organic cotton, recycled polyester, and sustainable viscose. Last year over 75 per cent of our total cotton procurement was sustainable cotton. We are also working with logistics partners to optimize freight modes, prioritizing sea and rail transport over air, and exploring electric mobility for regional distribution. Through Wel-Trak 2.0, we are enhancing upstream and downstream traceability, which will allow us to link carbon data with specific product batches and customer orders. Our aim is to have a fully traceable and decarbonized supply chain by 2047, supported by supplier training, climate-aligned procurement policies, and digital integration across the value chain. Reducing embedded emissions is not only about climate impact but also about future-proofing our exports against emerging carbon border adjustments and customer expectations.

6. As India rolls out its formal carbon market in 2026, how do you envision it driving meaningful emissions reductions within your sector, and what safeguards are needed to ensure it doesn’t simply become a regulatory burden without climate gains?

The launch of India’s carbon market in 2026 represents a critical milestone in mainstreaming market-based decarbonisation across industries, including textiles. At Welspun Living, we are eagerly watching the developments in the carbon market since it has the potential to fast track the green transition within the organisation and in the industry overall. But for the carbon market to deliver genuine climate benefits, several safeguards must be in place. First, clear sectoral baselines and robust MRV (Monitoring, Reporting, and Verification) systems are essential to ensure transparency and prevent double counting. Second, price stability and a well-governed trading framework will be necessary to attract participation and drive emissions reductions where they are most cost-effective. Third, technical and financial support must be extended to MSMEs across the textile value chain to enable their inclusion and ensure that they benefit from this market mechanism. A robust, transparent system will encourage extensive participation and will result in adoption of green energy sources and help finance some of the high investment projects. If implemented well, the Indian carbon market could become a catalyst for sector-wide transformation and position India as a global leader in sustainable manufacturing.