Eco Fiber Market - Global Industry Size, Share, Trends, Opportunity, and Forecast, 2021-2031

The Global Eco Fiber Market is projected to expand from USD 57.57 Billion in 2025 to USD 91.92 Billion by 2031, reflecting a CAGR of 8.11%. Defined as textile materials obtained from sustainable origins such as organic crops, regenerated cellulose, or recycled feedstocks, eco fibers are engineered to minimize environmental damage throughout their lifecycle. This market growth is primarily propelled by strict government regulations mandating carbon emission and waste reduction targets, alongside binding corporate commitments to achieve carbon neutrality within supply chains. These regulatory and operational requirements create a structural necessity for sustainable procurement, distinguishing this demand from temporary consumer fashion trends.

Despite this momentum, the market encounters significant hurdles regarding the scalability and cost competitiveness of sustainable materials compared to virgin fossil-based alternatives. The prevalence of inexpensive conventional synthetics continues to restrict the broader market penetration of eco-friendly options. According to Textile Exchange, it was reported in 2025 that while global fiber production rose to 132 million tonnes in 2024, recycled fibers comprised only 7.6 percent of the total market share. This discrepancy highlights the economic barriers that currently delay the rapid industrial adoption of eco fibers.

Market Drivers

Rising Eco-Conscious Consumerism and Ethical Fashion Demand are reshaping the Global Eco Fiber Market, as buyers increasingly prioritize environmental impact over fast fashion. This shift extends beyond attitude to tangible market behaviors, where consumers actively seek products featuring circular lifecycles and lower carbon footprints. Consequently, the demand for transparency is forcing brands to incorporate eco-friendly materials into core collections, transitioning them from niche offerings to mainstream standards. This movement is supported by the growth of the circular fashion economy; according to ThredUP's '2025 Resale Report' from March 2025, the online resale market grew by 23 percent in 2024, demonstrating an accelerating preference for sustainable consumption models.

Concurrently, Advancements in Green Fiber Processing and Recycling Technologies are resolving critical supply-side limitations regarding fiber quality and scalability. Innovations in mechanical and chemical recycling allow for the efficient conversion of mixed-textile waste into high-grade fibers, reducing reliance on virgin resources and lowering costs. These technological strides enable major retailers to significantly boost their use of recycled feedstocks. For instance, H&M Group's 'Annual and Sustainability Report 2024', released in March 2025, noted that the share of recycled materials in its commercial goods increased to 29.5 percent. Furthermore, the Global Organic Textile Standard reported in May 2025 that the number of certified facilities globally rose by 5.2 percent to 15,441 in 2024.

Market Challenges

The cost competitiveness and scalability of sustainable materials compared to virgin fossil-based alternatives remain a substantial barrier to the Global Eco Fiber Market's expansion. Manufacturers and brands, often operating with tight profit margins, are forced to favor materials that offer the lowest unit costs. Virgin synthetics benefit from low feedstock prices and decades of industrial optimization, resulting in a price gap that eco fibers - which lack similar economies of scale - struggle to bridge. This economic disadvantage discourages mass industrial adoption, confining sustainable options to premium niche segments rather than enabling widespread market penetration.

This structural imbalance is evident in the continued dominance of conventional fibers within the supply chain. In 2025, Textile Exchange identified that polyester fiber production increased to approximately 78 million tonnes in 2024, accounting for 59 percent of total global fiber output. This massive volume of cheap conventional material saturates the market, creating operational difficulties for eco fibers to compete effectively. Consequently, the availability of lower-cost virgin options continues to suppress the scalability of sustainable procurement, preventing eco fibers from capturing the market share required to drive competitive pricing.

Market Trends

The Commercialization of Agricultural Waste-Derived Cellulosic Fibers is advancing as a critical alternative to traditional wood-based pulp, helping to mitigate deforestation risks. This trend focuses on scaling "Next Generation" technologies that convert agricultural residues, such as hemp waste and wheat straw, into high-quality lyocell and viscose. By utilizing abundant harvest byproducts, manufacturers can decouple fiber production from forestry land use while offering farmers additional revenue streams. The industrial viability of this approach is growing; according to Canopy's 'Hot Button Report 2025' from October 2025, the number of commercial-scale Next Gen fiber lines rose to 16, with 54 percent of global man-made cellulosic fiber capacity achieving Green Shirt status for sourcing leadership.

Simultaneously, a Shift Toward Regenerative Agriculture Practices for Fiber Sourcing is transforming the upstream supply chain by prioritizing biodiversity and soil health over simple yield maximization. Fashion conglomerates are increasingly bypassing commodity markets to invest directly in farming initiatives that restore ecosystem services and sequester carbon. This strategy secures a resilient supply of natural raw materials like wool and cotton while enabling brands to meet science-based climate targets through insetting rather than offsetting. The scale of this transition is significant; according to Kering's 'Regenerative Fund for Nature 2024 Annual Report' released in August 2025, the company's supported projects have expanded to cover 1.1 million hectares of crop and rangelands across eight countries.

Key Players Profiled in the Eco Fiber Market

• Lenzing AG
• Grasim Industries Ltd.
• Shanghai Tenbro Bamboo Textile Co. Ltd.
• China Bambro Textile (Group) Co. Ltd.
• Pilipinas Ecofiber Corporation
• Teijin Limited
• David C. Poole Company, Inc.
• Polyfiber Industries Limited
• Sateri Group
• Wellman Advanced Materials LLC

Report Scope

In this report, the Global Eco Fiber Market has been segmented into the following categories:

Eco Fiber Market, by Type:

• Regenerated Fibers
• Recycle Fibers
• Organic Fibers
• Others

Eco Fiber Market, by Application:

• Clothing/Textile
• Household Furnishing
• Medical
• Others

Eco Fiber Market, by Region:

• North America
• Europe
• Asia-Pacific
• South America
• Middle East & Africa

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in the Global Eco Fiber Market.

Available Customization

The analyst offers customization according to your specific needs. The following customization options are available for the report:

• Detailed analysis and profiling of additional market players (up to five).

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