Sustainability as a Core Competitive Advantage for Portugal's Textile Industry

Portugal's textile and clothing sector, a cornerstone of the national economy, is demonstrating that environmental responsibility and business success are not mutually exclusive. A landmark report reveals that for over 2,500 companies, sustainability has evolved from a niche concern to a central economic pillar driving competitiveness, efficiency, and cost reduction. This strategic shift, documented in the third be@t Sustainability Report, signals a profound maturation of the industry's approach to environmental, social, and governance (ESG) criteria.

The Strategic Maturation of Sustainability

The report, coordinated by CITEVE (Textile and Clothing Technological Centre) under the regenerative be@t project, indicates a sector moving decisively from diagnosis to structured management. Braz Costa, director-general of CITEVE, emphasizes this transformation, stating that the sector "no longer sees sustainability as a mere commercial positioning tool, but as critical competitiveness infrastructure." This is evidenced by a 36% increase in participating companies compared to the report's first year, with 105 firms now providing data. These companies collectively represent more than 15,800 jobs, confirming that sustainable practices are becoming standard operational procedure across the value chain.

Tangible Environmental and Economic Gains

The integration of sustainability is yielding measurable results. While more companies are reporting their fuel consumption, overall consumption fell by approximately 6%. This indicates successful efficiency improvements. Furthermore, the sector is rapidly incorporating sustainable raw materials. The use of recycled materials increased by 3% to over 11% of total materials, while organic or bio-based materials now constitute around 25% of inputs, a 4% year-on-year increase. These shifts reduce environmental impact and align the industry with the stringent demands of global brands and evolving European regulations.

Commitment to Chemical Safety and Investment

A significant area of progress is chemical management. The report shows that 68% of companies reduced their consumption of chemicals, a four-percentage-point increase from 2023. Notably, 90% of companies now report on this critical indicator. Concurrently, 79% invested in replacing hazardous substances with safer alternatives, reflecting a proactive approach to product safety and environmental health. Although total sector investment saw a slight decrease of 3% to €5,576 million, the strategic focus on sustainable innovation remains clear. The rising number of environmental certifications—up 13% to 2,526—further validates the sector's commitment to verified, responsible practices.

Positioning Within the European Bioeconomy

The be@t project, supported by Portugal's Recovery and Resilience Plan (PRR), is central to a broader bioeconomy strategy. This strategy aims to reduce external dependencies, valorize local resources, and future-proof the Portuguese textile industry. By embedding sustainability into its core operations, the sector is not just complying with regulations but is actively shaping a resilient, circular economic model. This positions Portugal as a competitive and responsible sourcing destination for international fashion and apparel brands seeking transparent and sustainable supply chains.

The journey of Portugal's textile sector offers a compelling blueprint for industrial transformation. By treating sustainability as essential infrastructure rather than an optional add-on, over 2,500 companies are securing their competitive edge in a global market increasingly defined by ecological and social accountability. The consistent growth in reporting, certification, and investment in sustainable materials and processes proves that economic resilience is intrinsically linked to environmental stewardship. For other industrial sectors watching, the Portuguese model demonstrates that the future of competitiveness is unequivocally green.