Shahi Exports publishes third sustainability report focusing on renewable energy, coal elimination, biofuels, water recycling, and zero discharge in textile operations.
Shahi Exports has published its third sustainability report, offering insights into the company’s efforts in improving sustainability across its operations. Created in line with Global Reporting Initiative (GRI) guidelines, the report highlights Shahi Exports' progress and future commitments, including key areas such as traceability and due diligence. The company’s factories and mills sourced 65 per cent of their electricity from renewable sources in FY24, with a goal to reach 100 per cent renewable energy by FY27.
A major focus of the company’s sustainability efforts is in energy management, particularly in its use of thermal energy for boilers, which are essential in fabric processing. While thermal energy has traditionally been sourced from coal, the global shift towards cleaner energy is prompting change. With a global commitment to phase out coal by 2030 in OECD countries and 2040 for non-OECD countries, Shahi Exports is determined to move ahead of schedule. Many of the large brands it works with expect their suppliers to eliminate coal usage by 2025. In response, Shahi Exports is exploring alternatives, such as biofuels and biomass, to replace coal. However, the company conducted a study on the feasibility of switching to electric boilers and full electrification, finding that current technology would make the return on investment (ROI) of such a transition around 40 years. Consequently, the focus will be on eliminating coal usage by next year, with future plans to phase out biomass as well.
Water management is another critical area of focus for Shahi Exports. The company operates its largest textile mill in Shimoga, Karnataka, where strict regulations around water discharge require extensive investment in water treatment. The company has developed treatment plants that ensure zero discharge of chemicals. Currently, around 80 per cent of the water used in operations is recycled, and the company aims to achieve 100 per cent water recycling in the near future.
