Štip: Textile as a Political, Economic and Social Driver in the Heart of Europe

The municipality of Štip (North Macedonia) has established itself as one of the leading textile hubs in the Balkan region. With a long-standing tradition in the industry and strong political commitment to drive its transformation towards sustainability, digitalization and international cooperation, the city faces the challenge of remaining competitive in an evolving global landscape. In this interview, the Vice President of Štip Municipality shares his vision on the strategic role of textiles in the local economy, the key challenges ahead, and the opportunities that collaboration within the ACTE network can unlock.

1. From your political perspective, what role does the textile sector play in the economic and social transformation of your region?

From a political standpoint, the textile sector is not just an industry, but a strategic priority for Štip and the Eastern region. It accounts for nearly 70% of local industrial output, employs around 40% of the city’s industrial workforce, and indirectly sustains 15–20% more jobs in logistics, trade, services, and other support industries. On the national level, textile production contributes about 13% of industrial GDP and 10% of exports.

Politically, this concentration makes the sector a key lever for economic stability, social cohesion, and gender equality in our community. Every major municipal policy — from urban planning and education to waste management and digitalization — must consider the textile industry’s needs. At the same time, we recognize the political responsibility to improve working conditions, ensure fair wages, and support transformation towards sustainability and innovation. For Štip, textile is not only a legacy, but the political foundation of our economic and social development strategy.

2. How do you assess the importance of transnational cooperation between textile cities and regions in Europe? And what do you expect from this cooperation?

Transnational cooperation is not just desirable, it is essential for the long-term survival and transformation of textile cities like Štip. Our municipality recognizes that we cannot remain competitive if we work in isolation. European markets are deeply interconnected, and without cooperation, smaller cities risk being left behind in the transition to a green and digital economy.

For Štip, cooperation with other textile regions in Europe opens doors to technology transfer, access to EU funds, and policy learning. We expect this cooperation to help secure joint projects, targeted at sustainability pilots, recycling infrastructure, digital training, and fair labor standards. Politically, such cooperation strengthens our ability to negotiate better conditions for workers, to lobby for more favorable EU policies toward peripheral textile regions, and to ensure that Štip’s voice is heard.

At the same time, such cooperation allows us to project Štip’s identity as a textile city on the European map. This is important politically because it positions our municipality as a relevant actor in regional development, not just a peripheral production site. We expect this network to be a platform where Štip can share its experiences — for example in heritage preservation and workers’ rights activism , while also learning from cities that have advanced further in automation and sustainability. In short, transnational cooperation is a political commitment to solidarity and competitiveness, ensuring that our textile workers and our industry are not left behind in the European transformation.

What do you see as the main challenges facing the textile sector in the next three years?

The sector faces serious challenges:

Competition from low-cost imports threatens to reduce SME revenues by 5–10% annually.
Unstable supply chains may increase costs by 15–20%.
A lack of automation and digitalization risks missing productivity gains of 20–30%.
Textile waste, estimated at 5,000 tonnes per year in Štip, has a reuse rate of less than 10%.
Labor conditions remain fragile, with an average textile wage of €420–533/month, compared to the national average of €686/month.

These issues require local and national strategies, combined with European-level support.

What textile sustainability initiatives is your municipality currently promoting?

The Municipality of Štip has taken important first steps toward textile sustainability by conducting an assessment of local textile waste, which is estimated at over 5,000 tonnes annually. Based on this, the municipality supports small-scale initiatives and projects aimed at treating and reusing part of this waste, often in cooperation with national programs, measures, and EU-funded projects. These efforts also increase the visibility of programs for self-employment, qualification, and requalification of unskilled workers, strengthening the social and economic dimension of sustainability.

In parallel, the municipality actively cooperates with NGOs addressing textile waste and sustainability issues, and it supports public events such as Textilijada and the newly launched Štip Fashion Days, which promote local textile companies and young designers who are building their own brands. Štip is also an active member of the ACTE Textile Network, which allows us to exchange practices with other European textile cities, while our long-term cooperation with the city of Borås in Sweden provides inspiration from their globally recognized textile waste management model. Through this combination of local initiatives, NGO partnerships, national measures, and international cooperation, Štip is gradually creating the framework to transform textile industry from a a challenge into an opportunity for jobs, innovation, social inclusion, and sustainable growth.

What opportunities does digitalization open up for local textile companies, and how can they be supported through public policies?

Digitalization and production modernization are central to enhancing the competitiveness of Štip’s textile sector at both European and global levels. By integrating advanced digital systems, companies can optimize production planning, inventory management, and quality control, while reducing material waste and improving responsiveness to market demand. Modernization also encompasses the adoption of advanced technologies and the implementation of innovative production methods, ensuring alignment with the standards of leading textile nations.

Education and workforce development are critical components of this transformation. Secondary textile schools and technical faculties in the region are introducing advanced programs that combine digitalization, 3D printing, and contemporary textile production techniques, preparing a skilled workforce capable of supporting the sector’s modernization.

Public policy can play a key facilitative role by:

Providing co-financing and grants for digital tools, advanced machinery, and training programs;
Establishing innovation hubs and shared digital facilities for SMEs;
Partnering with educational institutions to integrate practical, hands-on training in modern production technologies;
Supporting small and medium enterprises with targeted loans and incentives to adopt innovative solutions.

Through these initiatives, Štip’s textile industry can strengthen productivity, expand into new markets, and maintain strategic alignment with the technological and competitive standards of leading European textile regions.

Could you share any specific examples of success or good practices in your municipality that might inspire other members of the network?

A successful example in Štip demonstrates how local government, NGOs, and social partners can work together to generate tangible results. Through collaboration with NGOs, social partners, and partners from Borås, we leveraged best practices and positive examples to successfully establish a municipal initiative for textile waste recycling, supported by local policies.

In parallel, the municipality conducted a comprehensive assessment and analysis of the local textile sector, identifying over 40 textile companies and mapping related industries such as logistics, machinery maintenance, packaging, and other services. This research provides a solid foundation for designing initiatives that strengthen the industry’s sustainability and competitiveness.

Štip also organizes Textilijada, an annual event that celebrates the city’s textile heritage and promotes networking among companies. The municipality financially supports Textilijada, and organized by Glasen Textilec which brings together social partners, decision-makers, and industry representatives to discuss achievements and plan future solutions, creating a platform for collaboration and strategic planning for the textile industry.

These combined efforts have enabled Štip to join the ACTE Textile Network, connecting the city with other European textile regions and sharing successful approaches.

This example illustrates how strategic partnerships between local authorities, international cities, and the NGO sector, supported by data-driven analysis, can drive innovation, sustainability, and regional collaboration while strengthening local employment and industry visibility.

If you think about the future of the European textile sector, what would you like it to be like in ten years?

In ten years, I envision a European textile sector that is sustainable, socially fair, highly inclusive, digitally connected, and circular. This means minimizing waste, implementing strong systems for reuse and re materialization, and ensuring that workers’ rights are fully respected. Ideally, Štip and other “textile cities” will serve as hubs of creativity and technical expertise, where local skills are valued, employment is secure, and industrial activity aligns with green regulations and fair market practices.

Achieving this vision requires strategic investments in people, partnerships with European textile cities, and clear policy frameworks that promote sustainability, including Extended Producer Responsibility (EPR), certifications, and grants for green technologies. By combining these elements, the European textile sector can become a model of innovation, fairness, and environmental responsibility.