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How Textile Manufacturers Report Water Use and Chemical Waste

The textile and fashion industry is one of Europe’s most water-intensive and chemically complex sectors. From dyeing fabrics to finishing garments, every production stage uses — and potentially pollutes — significant amounts of water. Under the Corporate Sustainability Reporting Directive (CSRD) and the Voluntary Sustainability Reporting Standard for SMEs (VSME), textile producers and processors are expected to disclose their water consumption and chemical waste transparently.

This practical how-to guide helps textile SMEs in Europe — from fabric mills to small dyeing workshops — collect and report accurate data under VSME disclosures B6 (Water) and B7 (Resource Use, Circular Economy and Waste Management). For related guidance, see how to measure business water usage and what pollutants SMEs need to measure.


Step 1: Understand What You Need to Report

Under the VSME Basic Module, textile companies must disclose:

DisclosureRequirementExample for Textile Manufacturer
B6 – WaterTotal water withdrawal (in m³), water use in high-stress areas, and water consumptionDyeing unit draws 3,000 m³ per year from municipal supply
B7 – Resource Use and WasteTotal waste generated (hazardous and non-hazardous), amount recycled, and circular practices400 kg hazardous sludge from effluent treatment; 60% recycled

If you’re preparing a Comprehensive Module report, you may also include targets for water reduction and pollution prevention.


Step 2: Measure Your Water Use

Water use includes any water drawn into your facility, regardless of the source (tap, well, or recycled water).

How to Collect Data

  • From invoices: Check water bills or meter readings for monthly or quarterly usage.
  • From process logs: If you use multiple dyeing machines, record the average water use per batch.
  • Include all uses: Production, washing, cleaning, cooling, and staff facilities.

Example

A medium-sized textile dye house in Italy operates with 10 dyeing machines and reports: Total withdrawal: 5,000 m³ Water in high-stress area: 1,200 m³ Water consumption: 3,800 m³ (difference between withdrawal and discharge)

Tip

If your facility is in a water-stressed area, such as parts of southern Spain or Portugal, specify this clearly — it’s a VSME requirement.


Step 3: Record and Report Water Discharge

Water discharge is the volume leaving your facility after use. It’s essential for identifying pollution risks and demonstrating compliance with local water treatment rules.

  • Measure discharge through on-site meters or treatment plant reports.
  • State if it’s treated internally or sent to a municipal treatment plant.
  • Keep laboratory test results (for COD, BOD, or heavy metals) as evidence.

Example Table for Reporting (VSME Format)

MetricUnitValueComment
Total water withdrawal5,000From municipal supply
Water discharge4,200Treated by on-site ETP
Water consumption800Evaporation and product retention
% discharged to high-stress area%24%High-stress zone, Valencia

Step 4: Manage and Report Chemical Waste

Under Disclosure B7, SMEs must report hazardous and non-hazardous waste. For textile manufacturing, this includes:

Waste TypeExampleHow to Measure
HazardousSludge from effluent treatment, leftover dyes, solventsWeigh or estimate based on collection slips
Non-hazardousFabric offcuts, packaging, paper wasteWeigh or estimate by container volume

Best Practices for Compliance

  • Keep waste transfer notes and disposal invoices.
  • Partner with licensed waste handlers (required by EU waste legislation).
  • Record how much is recycled or reused (e.g., sludge for brick-making, fabric scraps for insulation).

Example Reporting Table

Waste TypeAnnual Amount (kg)Recycled (%)Disposal Method
Hazardous sludge1,20060Sent to authorised recycler
Non-hazardous textile waste3,50075Sold to fabric recycler
Packaging waste80090Collected by municipal recycler

Step 5: Document Chemical Management

Chemical reporting isn’t limited to waste volumes. The CSRD and VSME Guidance encourage SMEs to show responsible handling of chemicals throughout production.

Include in your report:

  • List of major chemicals used (dyes, surfactants, finishing agents)
  • Confirmation of REACH compliance
  • Use of ZDH (Zero Discharge of Hazardous Chemicals) or OEKO-TEX® standards
  • Storage and spill-prevention measures

Example disclosure:

“Our facility uses only REACH-registered chemicals and has phased out azo dyes. All dye baths are treated through an effluent treatment plant before discharge.”


Step 6: Set Reduction Targets (Optional, VSME Comprehensive)

If you adopt the Comprehensive Module, add specific targets such as:

IndicatorBase YearTarget YearTargetActions
Water consumption20242027–25%Install low-liquor dyeing machines
Hazardous waste generation20242026–20%Replace solvent-based finishes
Chemical safety training20242025100% workforce trainedAnnual workshops

This aligns your report with ESRS E2 (Pollution) and E3 (Water and Marine Resources) under the CSRD.


Step 7: Verify and Publish Your Data

Before publishing:

  • Cross-check figures with invoices, waste manifests, and treatment reports.
  • Ensure totals are consistent with your financial year.
  • Keep evidence for at least five years in case suppliers, auditors, or clients request verification.

You can publish the report:

  • As a PDF (with water and waste data tables)
  • As part of your annual sustainability report
  • Via your website or supplier portal

Quick Wins for Textile SMEs

ActionBenefit
Install flow meters per dyeing lineTrack water use precisely
Use low-liquor ratio dyeingSave up to 40% water
Switch to eco-friendly auxiliariesReduce hazardous sludge
Reuse treated water for washingLower costs and withdrawals
Conduct annual chemical inventoryStay REACH-compliant

Example Summary Statement

“In 2024, our textile facility in Portugal withdrew 5,000 m³ of water, of which 800 m³ was consumed and 4,200 m³ discharged after treatment. Hazardous waste (sludge) generation decreased by 15% due to process optimisation. We aim to reduce total water use by 20% by 2027.”


Key Terms

  • CSRD – Corporate Sustainability Reporting Directive (EU 2022/2464).
  • VSME – Voluntary Sustainability Reporting Standard for SMEs (EFRAG, 2024).
  • Basic Module – Core disclosures including water (B6) and waste (B7).
  • Comprehensive Module – Adds targets and risk analysis.
  • Effluent Treatment Plant (ETP) – System for cleaning wastewater before discharge.
  • REACH – EU regulation on the registration and safe use of chemicals.
  • ZDH (ZDHC) – Zero Discharge of Hazardous Chemicals Programme.
  • Scope 1–3 emissions – Levels of greenhouse gas emissions, often linked with energy and waste processes.
  • Turnover – Total annual revenue of the business.

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