As per another recent data cited in IndieHaat, India generates over 1 million tonne of textile waste annually, with 85 per cent of it ending up in landfills

Byline: Abhishek Agashe, Founder, CEO, Elima

The comeback of Shein or ‘Shein 2.0’ via Reliance Retails to India isn’t just another retail headline—it’s a litmus test,  not just for fast fashion but for the circular economy at large. With India’s recycling market projected to grow from USD 13.1 billion in 2023 to USD 21.7 billion by 2032, and the waste management sector estimated to reach USD 18.4 billion by 2030 as per a recent study by Mordor Intelligence, sustainability or circularity is no longer a side conversation—it is the future and a strategic necessity to achieve the ‘Viksit Bharat goals 2047.’

The real question is- Will Shein 2.0 fuel this movement, or will it be business as usual, adding to India’s textile waste crisis? Will Shein 2.0 be an eco-revolutionary or just another landfill liability?

Fast Fashion’s Impact On India’s Waste Ecosystem
Fast fashion brands like Shein model of hyper-consumption and micro-trends thrive on high turnover—churning out thousands of styles weekly at ultra-low prices. While this affordability drives massive consumption, but at what cost? As high volume production is synonyms to being nightmare for India’s textile waste problem as India generates over 7800 kilotons of textile waste annually, with most of it ending up in landfills or incinerators.

As per another recent data cited in IndieHaat, India generates over 1 million tonne of textile waste annually, with 85 per cent of it ending up in landfills . With only 15 per cent of textile waste being recycled, the country faces a monumental challenge.

Did you know Mumbai alone contributes 250 tonnes of textile waste daily? Recently the electrifying extravagancy called ‘Coldplay Concert’ in Mumbai alone left behind a whopping 82 tons of waste.

India’s Viksit Bharat 2047 vision demands a waste-to-value revolution, not a fast fashion free-for-all. If Shein is serious about sustainable growth in India, it must go beyond trend-driven consumerism and embed circularity into its business model. The shift from a linear ‘make-use-dispose’ economy to a circular one—where products are designed, manufactured, and disposed of with reuse in mind—is essential to aligning with India’s Viksit Bharat 2047 vision.

The Take-Back Program: A Step Towards Sustainability?
Globally, fashion bigwigs like H&M and Zara have introduced take-back programs, where consumers return old garments for recycling. However, such initiatives often face criticism for inefficiencies—many collected clothes still end up in landfills due to inadequate sorting, lack of textile recycling infrastructure, and limited upcycling initiatives. Eventually most returned textiles still end up in incinerators.

Shein has yet to introduce a structured take-back or recycling program in India. If it intends to contribute to the circular economy, it must:
● Invest in local textile recycling facilities to process post-consumer waste
● Collaborate with Indian recycling startups to integrate re-commerce and upcycling initiatives
● Introduce sustainable manufacturing practices to reduce water and energy consumption
● Align with Extended Producer Responsibility (EPR) frameworks, ensuring it’s accountable for the waste it creates
● Introduce an upcycling initiative that doesn’t just repurpose fashion but reinvents waste into new products
● Educate consumers about responsible fashion consumption, encouraging mindful purchases instead of impulsive hauls.

The Business Case For Circular Fashion In India
The Indian consumer mindset is evolving. Gen Z and millennials—the key demographics for Shein—are becoming more environmentally conscious. The resale market is booming with platforms like Relove, ThredUp, and Depop gaining traction in India,. Even luxury brands are embracing the re-commerce trend.
What can Shein do to cements its position as a trend-setter
● For Shein to thrive in a Viksit Bharat economy, it must:
● Shift from an exploit-and-dump model to a reuse-and-recycle framework.
● Foster a clothing swap or rental economy.
● Tap into recycled textiles instead of virgin plastics.

Shein’s Circular Crossroads—Green Leader Or Waste Culprit?
With policy shift like Extended Producer Responsibility (EPR) gaining momentum, the regulatory landscape is shifting towards mandatory waste reduction frameworks.

By proactively implementing sustainability initiatives, Shein could future-proof itself against potential bans or stricter regulations. It should consider doing these to set an example and disrupt the fast fashion industry: –
1. Double down on fast fashion chaos, adding to India’s textile apocalypse.
2. Revolutionize fashion circularity, proving affordability and sustainability can co-exist.

Final Thoughts: Can Shein Be A Circularity Catalyst?
Shein’s return to India comes at a time when recycling is no longer a standalone operation but part of a wider value chain. The growth of recycled rubber, metals, plastics, and e-waste as raw material substitutes shows a transition to a closed-loop system. Fashion must follow suit.

The reality is, Shein 2.0 has two options:
1. Continue operating as a waste-heavy fast fashion giant, contributing to India’s growing landfill crisis.
2. Lead the charge in circular fashion, proving that affordable style and sustainability can co-exist.

If Shein embraces the second path—investing in textile recycling, sustainable production, and re-commerce models—it could emerge not just as a trendsetter but as a key player in India’s Viksit Bharat 2047 journey.

The choice is theirs. But will Shein 2.0 be an eco-revolutionary or just another landfill liability? Which route will they be taking? India will be watching.

Disclaimer: The views expressed in this article are those of the author and do not necessarily reflect the views of the publication.