We help the textile industry operate more sustainably and efficiently
Smartex is a cutting-edge technology company revolutionising the textile industry with its advanced AI-powered solutions. Through the Smartex System—comprising CORE for machine enhancement, FACT for efficient factory management, and LOOP for seamless communication—it offers end-to-end quality control tailored for modern textile factories.
With a mission to achieve full traceability and zero waste, Smartex empowers factories worldwide to adopt sustainable, efficient, and innovative practices. Its solutions prevent textile waste at the source, saving significant amounts of fabric, energy, water, and reducing CO₂ emissions. Smartex’s commitment is clear: to drive the industry towards a sustainable future while delivering exceptional productivity and oversight tools.
Co-Founder & CEO Gilberto Loureiro speaks to Fibre2Fashion about Smartex’s role in sustainability, future innovations, impact of customer feedback, training approach, and more.
What inspired the creation of the Smartex System, and how does it address modern textile challenges?
When I was a teenager, I worked in textile factories. One day, my boss told me, “I trust you, kid. I am promoting you to quality manager,” which was really just a nicer way of saying ‘fabric inspector’. I spent hours inspecting fabrics on a quality control machine—a tedious and gruelling task. After just 15 minutes, it felt like I was going blind. That experience motivated me to leave and pursue higher education.
I went to college and studied physics and computer science. However, the textile industry kept pulling me back—my family and friends all worked in textiles across Europe. That connection, combined with my personal experiences, inspired me to create a solution that could eliminate manual inspection and improve the industry.
The Smartex System was born from these experiences. It is not just about replacing outdated, laborious processes but also addressing the significant sustainability and innovation challenges the textile industry faces. From reducing waste to minimising manual labour in a traditionally ‘dirty’ industry, Smartex aims to be part of the solution by driving modernisation, efficiency, and sustainability.
How does Smartex contribute to reducing waste, CO₂ emissions, and water usage in textile production?
In simple terms, we intervene in real time during production. If we detect a defect growing too large, we stop the machine immediately and alert someone to fix it. This prevents the defective fabric from continuing through the production process—dyeing, finishing, and even cutting—where it would waste hours, chemicals, water, and other resources.
Consider this: producing a single T-shirt can require up to 3,000 litres of water, including the water used to grow cotton and the costly water-intensive dyeing process. By catching defects early, we prevent fabric waste at the factory level, saving both resources and energy.
Additionally, our system provides alerts and insights for production managers to monitor factory operations effectively. For example, they can identify machines that stop frequently or produce excessive defects, enabling preventive actions. This leads to improved efficiency, reduced downtime, and less waste—allowing factories to produce the same amount of fabric with fewer resources.
As we continue to grow—now with 100 team members, 10 countries, and 100 clients—we see even more opportunities to make a meaningful impact. From traceability solutions to reducing resource waste further, there is still a lot to be done.
For now, our primary focus is real-time intervention. By stopping machines and addressing issues early, we help the textile industry operate more sustainably and efficiently.
Can you explain how AI and Machine Learning help prevent textile waste in your system?
AI in our system is a collection of algorithms trained to analyse and make decisions based on millions of examples. We have billions of images of textile defects captured by our cameras, and our team—comprising textile and tech experts—labels these images to train the AI models. This enables the system to identify the type of defect, its nature, and whether it is continuous or caused by specific issues, such as needle damage. Based on this analysis, the system decides whether to stop the machine or alert an operator.
The AI component works by taking multiple pictures of the fabric and comparing them to billions of previously recorded images. It also cross-references the last two metres of production to ensure accuracy, especially for complex fabrics like Jacquard. Additional tools like infrared and UV light enhance defect detection, feeding data into the models to confirm whether the fabric has defects or is good to continue production.
Our system can identify a wide range of defects, categorised into approximately 50 types, as well as issues that may not be defects but still indicate potential problems, such as wrinkles, dust, or knots. For example, knots in the yarn are not defects but can indicate an underlying issue if they occur frequently. If the system detects too many knots—say 10 in 10 metres—it will alert the operator that the yarn is consistently breaking.
By providing precise insights and actionable alerts, AI and Machine Learning enable our system to prevent waste, optimise production, and improve efficiency in real time.
How do CORE Settings and the Stops Page enhance production managers’ efficiency?
We developed CORE Settings and the Stops Page to address the diverse needs of our customers. Some work with high-end brands like Gucci or Balenciaga and require machines to stop for even the smallest issues to ensure premium quality. Others cater to mass-market production, where volume is prioritised, and constant stoppages would hinder productivity.
A common challenge with AI technologies is that they can stop machines too frequently. While high accuracy might sound impressive, it can lead to excessive interruptions, frustrating operators and significantly reducing machine productivity. Restarting a machine repeatedly can be time-consuming and inefficient.
CORE Settings allow production managers to customise machine sensitivity based on their specific requirements. For example, a customer can choose whether the system should be highly sensitive to defects or more lenient to optimise production flow. This configuration is typically done during the system setup and remains consistent unless adjustments are needed later.
The Stops Page complements this by providing detailed insights into why machines stop, enabling managers to pinpoint issues and take corrective action quickly. Together, these tools empower production managers to strike the right balance between quality control and operational efficiency, ensuring smoother and more productive operations tailored to their business needs.
What challenges have you faced implementing Smartex globally, and how has the industry responded?
One of our biggest strengths—and what I like to call our ‘superpower’—is our incredible team. We have a centralised team and dedicated teams on the ground in key locations like India, Bangladesh, and Turkiye. These are the true heroes of Smartex. While I might be doing interviews and presentations, they are the ones in the field, travelling extensively and working under challenging conditions to install our systems in factories.
The installation process is not easy, and I have immense respect for our team of around 30 people dedicated to installation services. Their hard work and resilience are the backbone of our global success. We also rely heavily on local partnerships to support our efforts in each region. For example, in India, we work with a Tata Group company, while in Portugal, Italy, and other countries, we collaborate with local distributors. These partnerships are invaluable in helping us navigate the complexities of global implementation.
Despite the challenges, the industry has been highly responsive to our solutions. Our localised approach, combined with strong partnerships and a dedicated team, ensures we can adapt to diverse markets and deliver impactful results worldwide. It is tough work, but it is rewarding to see how the industry embraces innovation when it is implemented effectively.
What role do you see Smartex playing in transforming the textile industry sustainably?
I believe transforming the textile industry will never be the work of one company alone. It will be a collaborative effort, requiring contributions from many players working together as a team. Smartex aims to play a pivotal role in the digitalisation of processes from fabric construction to dyeing and cutting. However, other companies are already excelling in areas like cutting, such as Lectra, or spinning. It will be a collective effort of multiple organisations defining the digitalisation framework and setting industry standards.
Legislation also plays a significant role in aligning these efforts. For example, I recently attended a meeting in Brussels about the development of the digital product passport and its required components. We see this as a step towards creating a unified system where companies like ours will form the backbone of sustainable transformation.
Smartex envisions itself as an integral part of this journey, contributing to the larger ecosystem driving innovation, sustainability, and efficiency in the textile industry.
What future innovations can we expect from Smartex?
Innovation is at the core of what we do, and our customers can expect updates every two weeks. With a team of 120 engineers working on both software and hardware, we are constantly enhancing and upgrading our systems. If you purchased a Smartex system two years ago, it is now completely different due to continuous improvements and updates.
Our system is online-based, which allows us to respond to client requests quickly. For example, if a customer asks for a new feature or function, we can integrate it seamlessly. Looking ahead, we are planning some major updates. Early next year, we will begin deploying systems for dye houses and fabric finishing inspections—a very exciting development.
We are also focusing on garment factories with innovative projects aimed at tracking production more efficiently. Currently, buyers and merchandisers spend a lot of time calling factories to check on orders and ensure there are no delays. We are developing an online dashboard to replace this manual process. Similar to tracking a delivery on an app, this system will allow users to monitor fabric production in real-time, see defect levels, assess order risk, and receive alerts—all without constant follow-ups.
While many manufacturers already have tracking systems, they often lack integration due to the fragmented nature of the textile industry. Most companies are not vertically integrated; they might focus on spinning, knitting, or dyeing, and frequently outsource to other factories. Even in large factories, manual processes like paper approvals and signatures remain prevalent, highlighting the room for significant improvement.
We see a huge opportunity to modernise this space by building smarter, more integrated solutions. AI will add another layer of efficiency, but even basic tracking innovations can bring transformative changes to the industry. Smartex is committed to addressing these challenges and driving innovation across all levels of textile manufacturing.
How has customer feedback influenced Smartex’s development?
Customer feedback is absolutely fundamental to our development. While some client requests might seem trivial at first, most are eye-opening and provide insights we had not considered. This feedback helps us refine our solutions and better address the real problems factories face.
Many startups focus too much on their solution rather than the problem it is meant to solve. We aim to do the opposite—obsess over the problems our customers encounter, no matter how simple they might seem. For instance, if a client says, “The machine stops too much,” they are not interested in technical graphs or settings—they just want the issue resolved. Listening to these concerns ensures our innovations remain practical and impactful.
We now serve 100 clients and maintain 24/7 WhatsApp groups to stay connected with them. I personally spend about 70 per cent of my time with customers, travelling and understanding their needs. While I have a home in Portugal, I believe meaningful change in the textile industry happens on the ground, not from offices in California, New York, or Paris.
What kind of training does Smartex provide to clients pre- and post-sales?
During the sales process, we start engaging with production managers and operators to understand their needs. When we install our systems, we dedicate five days to hands-on training, covering all shifts—morning, afternoon, and night. Our team, along with local distributors, works closely with factory staff to ensure everyone feels confident using our system.
A key part of this training is addressing concerns about job replacement. Some workers initially fear that automation might threaten their roles. We focus on educating them that Smartex is designed to empower, not replace, and that the system is intuitive and easy to use. Overcoming these apprehensions is a challenge, but we are committed to ensuring a smooth transition. Overall, we have seen positive results and growing trust in our approach.
This fear of replacement reminds me of the concerns people had when computers were first introduced—it is a natural reaction to change, but with proper education, it can be turned into an opportunity for growth.
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