US-based industrial hemp processor Panda Biotech and India’s Culturewell Trading have launched a fully integrated hemp fibre-to-yarn supply chain in India, aiming to address rising demand for sustainable textile raw materials.

The partnership brings together Panda Biotech’s mechanically-processed hemp fibre with Culturewell’s established distribution network.

For the first time, US-cultivated hemp will be degummed, spun and processed into yarn in India.

The partnership also establishes capabilities for mechanical cottonisation and degumming, processes previously unavailable for hemp in India’s textile sector.

Panda Biotech president Dixie Carter described India as a “strategically important” market for textiles, noting that local mills are currently seeking high-quality, natural fibres with consistent performance and traceability.

“Through our partnership with Culturewell, we now have a trusted, experienced partner on the ground to accelerate adoption of American-grown hemp across India,” Carter added in a statement.

The newly established supply chain will provide a range of products, including mechanically cottonised fibre suitable for blending with cotton and spinning into yarns, as well as degummed fibre for finer textiles and medical products.

The joint product range also includes fibre and yarn options with varying hemp content, aiming to serve both conventional and technical textile applications.

Panda Biotech noted that these hemp products are backed by OEKO-TEX Standard 100 and USDA BioPreferred certifications, supporting traceability and sustainable sourcing.

The partnership builds on Panda Biotech’s recent debut at the Yarns & Fibers Expo in Mumbai, where interest from Indian manufacturers was reportedly strong, especially for degummed fibre and blends used in knitting single-count yarns.

The company states that its hemp fibre offers the Indian market three main advantages compared to existing suppliers:

First, processing US-grown hemp fibre in India could make exports to the US eligible for certain duty benefits, potentially offering a cost advantage.

Second, the company says its mechanically cottonised fibre provides consistent, traceable quality at a commercial scale suitable for Indian mills supplying international markets.

Third, the products are certified to OEKO-TEX Standard 100 and USDA BioPreferred standards, which the company says supports traceability and meets the sustainability requirements of global brands.

Culturewell CEO Rajesh Raizada added: “What we have built with Panda Biotech is not simply a supply agreement, it is the foundation of an entirely new industrial framework for hemp in India. For the first time, we can deliver certified American-grown hemp, degummed, spun, and ready for the mills.”