By Anuj Jalan, Managing Director, Tandhan Denim
India is the world’s second-largest denim fabric producer, ranking behind China. The country’s installed capacity as per industry estimates scrolls around 1.6-1.7 billion metres per annum. In the exports market, India is the third largest with a global share of about 23 per cent by value.
Yet, Indian denim manufacturers continue to navigate myriad challenges that can potentially stymie the segment’s growth. From eruptive costs of raw material to increasingly stiff global competition, the segment now requites to innovate strategically to forge ahead in the field.
Key Challenges
The foremost challenge is the price volatility. The prices of cotton, polyester, and spandex remain erratic and adding to the price unpredictability is domestic cotton, which can often be 10% costlier than imported alternatives. Input products used in denim, like spandex and polyester, are 25–30% more expensive in India than in competing nations, causing profit margins of mills to shrin
Besides, Indian denim exporters are facing steep tariffs—up to 50% in the US market—making them less competitive against Bangladesh and Vietnam, not to mention geopolitical tensions and trade barriers that further erode India’s cost advantage in key overseas markets.
Domestic Market Saturation and competition from the unorganised segment are also a matter of concern for large denim manufacturers. Too many players are jockeying for space in the Indian denim market, with the unorganised segment accounting for nearly 60% of production. The smaller units operate with lower overheads, forcing organised mills to compete aggressively on price while struggling with higher compliance and operational costs.
Sustainability and regulatory costs are also adding to the woes of the denim manufacturers in the organised segment. Stricter environmental norms, especially Zero Liquid Discharge (ZLD) mandates, require significant capital investment in water treatment and sustainable finishing technologies. Many mills are finding it challenging to balance compliance costs with affordability.
How do they overcome these challenges?
- Invest in Technology and Innovation
Adopting AI-driven demand forecasting, 3D virtual sampling, and sustainable finishing techniques like laser and ozone treatments can enhance efficiency and reduce waste. Vertical integration, from cotton farming to finished garments, can also stabilise input costs and improve quality control.
- Diversify Export Markets
Reducing dependence on the US by exploring emerging markets in Africa, Latin America, and Southeast Asia can mitigate tariff risks. Building agile supply chains with shorter lead times will help serve fast-fashion and e-commerce channels more effectively.
- Strengthen Domestic Branding
With domestic demand underperforming, manufacturers should focus on premiumization and differentiation through design, sustainability credentials, and storytelling. Collaborations with designers and lifestyle brands can open new revenue streams.
- Embrace Sustainability as a Competitive Edge
Investing in eco-friendly practices, such as waterless dyeing, recycled fibres, and energy-efficient machinery, can attract global buyers increasingly prioritising ESG compliance. Government incentives for green manufacturing should be leveraged to offset transition costs.
- Policy Advocacy and Industry Collaboration
Collective advocacy for rationalised input taxes, streamlined GST processes, and temporary relief on import duties for critical raw materials can ease cost pressures. Industry bodies should facilitate knowledge-sharing on best practices and emerging technologies.
By aligning innovation, sustainability, and market diversification, Indian denim manufacturers can transform current challenges into catalysts for long-term resilience and global leadership.
Tandhan Denim: Eastern India’s Design-Led Denim Pioneer
Tandhan Denim is positioning itself as a future-focused denim manufacturer from Kolkata, combining scale, product innovation and measurable sustainability to reshape how Indian mills are perceived globally. Led by Anuj Jalan, Managing Director of Tandhan Group, the company is building a design-led, partnership-oriented denim platform that serves progressive Indian brands, Bangladesh’s export garment ecosystem and select global buyers.[fibre2fashion][fibre2fashion][fibre2fashion][tbsnews][fibre2fashion]
A transformation beyond capacity
For Tandhan, “transformation” is not just about adding machines or increasing capacity; it is about changing the way an Indian denim mill is perceived in global fashion markets. Traditionally, many Indian mills have been viewed primarily as volume suppliers. Tandhan Denim wants to be seen differently: as a mill with a stronger product point of view, deeper design understanding and a clear identity that brands can build stories around.[fibre2fashion][fibre2fashion]
Internally, this shift changes how teams think and work. Conversations move beyond specifications and delivery timelines to include fabric direction, innovation, wash potential, sustainability and relevance to the evolving denim consumer. The goal is for a customer in New York, Tokyo, Dhaka or Delhi to view Tandhan not just as a supplier but as a long-term product partner.[fibre2fashion]
Eastern India’s only large-scale denim mill
Based in Bagnan, Howrah, near Kolkata, Tandhan Denim is the only large-scale denim manufacturing mill in Eastern India, with an annual production capacity reported at around 20–22 million metres. Eastern India has a strong textile and craftsmanship culture, but modern denim manufacturing has historically been concentrated in other clusters. Tandhan aims to prove that innovation and quality are not limited to traditional manufacturing geographies.[fibre2fashion][fibre2fashion][tbsnews][fibre2fashion]
Its location offers natural advantages: access to raw material networks, availability of skilled and trainable manpower, and the freedom to build with a fresh mindset outside the established system. Over the next few years, the company wants Tandhan Denim to become a compelling reason for brands and buyers to look at Eastern India as an important part of India’s denim future, not merely an alternative.[fibre2fashion]
Addressing gaps in the denim market
Tandhan sees space for a new kind of mill from India—one that combines strong manufacturing with product relevance and innovation. The denim market is evolving faster than before, with growing demand for comfort-driven denim, performance blends, lightweight constructions, sustainable processes and fabrics with stronger wash and fashion versatility.[fibre2fashion][fibre2fashion]
Brands increasingly want closer development partnerships rather than purely transactional relationships. They look for mills that can respond quickly, understand changing consumer trends and collaborate on product creation. Tandhan is consciously building this capability into its system from the start, while emphasising consistency, reliability and transparency for global brands seeking long-term partners.[fibre2fashion][fibre2fashion][linkedin]
Craftsmanship and technology as complements
At Tandhan, tradition and technology are treated as complementary rather than opposing forces. Denim remains a craft: the texture of a fabric, the character of a weave and the way denim ages and fades come from deep material and process understanding, not just machine settings. At the same time, modern consumers expect more—comfort, performance, sustainability, versatility and new aesthetics—which is where technology and product innovation become critical.[fibre2fashion][fibre2fashion]
The company’s approach is to combine authentic denim character with modern fabric development, innovative blends, advanced finishing techniques and thoughtful product creation. One of its manufacturing highlights is a 22-box Morrison rope-dyeing range from the USA, described as among the world’s longest, enabling deep, consistent indigo and other shades without inconsistencies.[fibre2fashion][fibre2fashion][linkedin]
Sustainability as practice, not promise
Tandhan Denim emphasises a grounded, practical approach to sustainability rather than marketing language. Its focus areas include improving water efficiency, working with more responsible raw material options, reducing chemical load in treatments and finishes, and building greater transparency across the supply chain so brands can make credible claims.[fibre2fashion][fibre2fashion][tandhangroup]
Key elements of its sustainability infrastructure include:[fibre2fashion][linkedin][linkedin][facebook]
- Zero Liquid Discharge (ZLD) plant: Water is treated, recovered and reused on-site through reverse osmosis and multi-effect evaporator systems, rather than being released into the natural environment.[fibre2fashion][linkedin][facebook]
- Responsible raw materials: Use of recycled fibres and development of fabric directions focused on natural fibres and lower-impact dyeing approaches.[fibre2fashion][linkedin]
- Cleaner processing and energy: Investment in cleaner processing, water recovery and expanded renewable and advanced energy solutions to support a lower-carbon future.[fibre2fashion][tandhangroup]
- Compliance and traceability: Alignment with ISO and ZDHC standards, with an emphasis on real traceability and measurable progress rather than exaggerated claims.[fibre2fashion][linkedin][linkedin]
The company frames this under a disciplined “PQR” framework—Process, Quality, Responsibility—linking engineered production, international-standard testing and sustainability into one loop.[fibre2fashion][linkedin]
Product innovation as a growth engine
Product innovation is central to Tandhan’s growth strategy because the future of denim is about creating better and more versatile fabrics, not just more fabrics. The mill’s strengths include developing denim with a premium look and feel, strong depth of colour and excellent wash versatility. It is particularly known for darker denim shades where richness and depth stand out, and for designing fabrics that allow customers to achieve multiple wash looks and shade variations from a single base fabric, giving brands greater creative flexibility and value.[fibre2fashion][fibre2fashion][fibre2fashion]
Significant attention is paid to hand feel and finish. Through the right construction, processing and finishing techniques, Tandhan aims for denim that feels elevated and premium—not just visually, but in the physical experience of the consumer. This combination of aesthetics, performance, versatility and commercial practicality is intended to help brands create stronger products for the market.[fibre2fashion]
Target markets and early traction
Tandhan’s immediate focus is the Indian domestic market, especially progressive mid-to-premium brands, private label manufacturers and export-oriented garment factories seeking stronger product development and reliable supply partnerships. Bangladesh is already an important market due to its proximity and strong garment manufacturing ecosystem; the company is supplying to factories there that cater to international denim brands and sees significant long-term potential in deepening those relationships.[fibre2fashion][tbsnews]
It is also supplying to customers in North Africa, many of whom manufacture for European brands, gaining closer exposure to global product expectations, quality requirements and evolving denim trends. Rather than trying to serve every segment, Tandhan is focusing on customers who value quality, premium fabric aesthetics, wash versatility, consistency and collaborative product development. Participation at shows such as Denims and Jeans India in Bangalore has reinforced confidence that there is strong demand for differentiated, premium denim products in and from India.[fibre2fashion][linkedin]
Cross-sector experience shaping leadership
Anuj Jalan’s wider experience across textiles, energy and industrial solutions influences his leadership approach in denim. From textiles, he brings a deep respect for product, process and craftsmanship; from sectors like energy and industrial solutions, he emphasises systems thinking—efficiency, resource management, long-term planning and operational discipline.[fibre2fashion][tandhangroup]
Common across these sectors are trust, consistency and long-term relationships. In many ways, the denim business is also built on those foundations: it is a relationship-driven industry where credibility, quality and reliability matter over the long term. Working across industries also encourages more open, creative thinking, with ideas often emerging from applying learnings from one sector to another.[fibre2fashion]
Quality, relationships and continuous innovation
For Tandhan, quality, relationships and continuous innovation are deeply connected. Quality is the foundation: in denim, consistency in shade, construction, performance and final fabric feel is essential, and without reliable quality nothing else can be sustained long term.[fibre2fashion][linkedin]
But quality alone does not build lasting partnerships. Trust comes from the relationship side—being responsive, understanding customer requirements properly, developing products collaboratively and supporting customers beyond just supplying fabric. Continuous innovation is equally important because consumer preferences, fashion trends, wash directions and performance expectations keep changing, and mills must evolve along with them. Tandhan is trying to build all three together—strong quality, genuine relationships and continuous product development—to create long-term credibility in the market.[fibre2fashion][fibre2fashion]
Long-term ambition: a design-led Indian denim ecosystem
Anuj Jalan’s long-term ambition is for Tandhan Denim to be recognised as one of the most innovative and respected denim mills from India, with strong global relevance. Beyond building a successful mill, the company wants to contribute to a new ecosystem for Indian denim—one that is more design-led, innovation-driven, quality-focused and globally connected.[fibre2fashion][fibre2fashion][fibre2fashion]
The belief is that Indian manufacturing has the capability to move beyond being seen only as scale-driven and become equally known for product thinking and creativity. At the same time, Tandhan hopes to play an important role in bringing new energy and opportunity to Eastern India as part of this larger evolution. Ultimately, the aim is to build a company that brands trust, the industry respects and its people feel proud to be part of.[fibre2fashion][fibre2fashion][fibre2fashion][youtube]
