Greening Albania’s Fashion Future: UNIDO Backs Sustainable Industry Shift

Albania’s textiles, clothing, leather, and footwear (TCLF) sector is cutting costs, improving environmental performance, and moving beyond low-value Cut-Make-Trim production — strengthening exports and creating better jobs for women. UNIDO is supporting this transformation by promoting Resource Efficient and Cleaner Production (RECP) and helping the sector modernize sustainably. Continued policy reforms, financing, and partnerships will be essential to accelerate EU integration and advance the Sustainable Development Goals.

As part of the United Nations joint project “Business Partnerships & Solutions for SDGs” (Business4SDGs) funded by the Swedish government, UNIDO is working with national stakeholders in TCLF sector to strengthen competitiveness, improve sustainability, and prepare enterprises for EU market integration. Since 2022, UNIDO has trained twenty national experts in RECP methodology and assisted twenty-five companies in implementing process optimizations to achieve energy savings, reduce waste generation, and lower operating costs. Success stories from local firms such as SAM Wear Shpk and FITAL Shpk demonstrate how investments in solar energy, digital technologies, and efficiency measures can reduce both environmental impact and operational costs. Through study visits and knowledge-sharing initiatives, Albanian experts have learned from Sweden, where circular business models, vertical integration, and smart textiles demonstrate how sustainability and innovation can go hand in hand with global competitiveness.

The UNIDO Survey

In early 2025, UNIDO, with the support of ProExport Albania, conducted a survey of 150 enterprises, and produced an “Issue Paper” titled “Current Situation, Challenges, and Future Outlook for Albania’s TCLF Sector: Strategies for Enhancing Competitiveness and Sustainability in the Textile Industry”[1] consolidating technical and market insights, which were presented at the Workshop organized by UNIDO in June. The findings revealed critical capability gaps, including limited digitalization, low environmental performance, and reliance on low-value-added production, but also a growing interest in circular models and full-package services. To address these needs, UNIDO promotes computer-aided design (CAD and manufacturing (CAM) systems, 3D modeling, and smart manufacturing, enabling firms to shift toward higher-value production, own-brand manufacturing, and stronger integration into European markets.

Way Forward

The Business4SDGs Program Advisory Board for Albania’s TCLF sector, convened with UNIDO support in early summer, stressed that integration into the EU Single Market for Green Products requires more than enterprise-level action. Strong policies, institutions, and access to finance are essential, alongside accelerated reforms for sustainable practices and circular models. Greater collaboration between government, businesses, and partners, combined with capacity-building and pilot projects, can help SMEs modernize and showcase the economic benefits of sustainability.

Looking ahead, the sector’s future lies in circular economy principles, innovation, and stronger partnerships. UNIDO, together with the ILO, UNDP, and the Swedish Embassy, remains committed to guiding this transition and aligning it with the SDGs and EU priorities. To raise awareness, UNIDO is launching the #Greening the TCLF Sector of Albania series, stemming from success of implementing RECP assessments in specific companies. Stay tuned!

For further information, please contact:

t.chernyavskaya [at] unido.org (Tatiana Chernyavskaya), Project Manager

 

[1] Available for download at www.recp.al 

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