New research shows huge growth ahead for an unexpected industry: ‘A transformative shift’

New research estimates the sustainable fashion market will grow more than 25% annually through 2029. Consider it good news for your closet, your wallet, and the planet.

Market Insights Research reported the sustainable fashion sector can expect a 26.8% CAGR — or compound annual growth rate — through 2029, per OpenPR. This means that, on average, the sector will grow 26.8% each year through 2029, assuming current buying trends continue.

The firm reported the global sustainable fashion market was valued at $7.85 billion in 2023. It further estimated the market will be worth a whopping $32.66 billion in 2029. 

Market Insights Research defined sustainable fashion as clothing and accessory brands committed to producing products ethically and sustainably, prioritizing the environment in material sourcing, production, distribution, and consumption.

“The global sustainable fashion market represents a transformative shift in the fashion industry, driven by a growing awareness of environmental and social issues,” the firm said in the report. 

It also noted that a key driver toward sustainability in fashion is consumer demand for ethical, eco-friendly clothing options. Customers are pushing brands for transparency and accountability more than ever before, considering factors like supply chain, sourcing, production methods, and environmental and social impact before purchasing. 

“Today’s consumers are more conscious of the environmental and social impact of their purchases, prompting a shift in preferences toward sustainable and ethically sourced garments,” the firm said. This, in turn, has pushed fashion brands and retailers to take sustainability seriously by adopting eco-friendly and ethical practices.

The firm also highlighted tech innovations as playing a key role in growing the sustainable fashion movement, including the development of eco-friendly fabrics, advancements in dyeing processes, and monitoring technology for transparency and supply chain management.

The study also highlighted how the fashion industry has embraced circularity, which helps “eliminate waste and pollution by extending the lifespan of garments through recycling, upcycling, and designing for durability and longevity.” 

Beyond improvements from clothing brands, the popularity of clothing rental sites, resale platforms, and take-back programs are helping bring sustainability to fashion.  

In its report, Market Insights Research noted hurdles toward broader acceptance of sustainable fashion, including further consumer support, improved price perception, and the need for scalable innovation. 

Yet, one of the biggest threats to sustainable fashion is the popularity of environmentally-taxing fast fashion. With low price points driven by cheap materials and ethically questionable labor, fast fashion continues to grow in popularity. According to a 2023 report by Allied Market Research, the fast fashion industry was worth $103.2 billion in 2022 — and can expect to be worth $291.1 billion by 2032. 

However, inexpensive fast-fashion pieces are notorious for wearing out quickly, forcing you to consume more and, in most cases, spend more over time. And the short life cycle of fast fashion pieces causes a lot of strain on the planet. According to Earth.org, more than 101 million tons of textile waste end up in landfills annually, with the average U.S. consumer throwing away an estimated 81.5 pounds of clothing each year.

And that’s why buying high-quality clothing from ethical brands — or shopping secondhand — is better for your wallet and the planet.

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