Boston-based startup Galy is developing a new technology similar to cell-based meat to produce lab-grown cotton, Bloomberg reports. The new approach to cotton production offers a greener and more ethical alternative to traditional cotton farming, and could help the fashion industry reduce its level of emissions and environmental impact.

Why does this matter? Traditional cotton farming is resource-intensive, consuming vast amounts of water, pesticides, and fertilizers, the news outlet wrote. Growing the cotton for a single T-shirt requires 50x more water than the amount used to wash it over its lifetime. Cotton farming also occupies about 2.3% of global arable land and accounts for 16% of all insecticide sales, contributing to significant environmental degradation.

Enter Galy: Galy’s process of growing cotton in the lab can cut land use by 97% and water use by 99%. It can also reduce the impacts of chemical fertilizers by 91%.

How does it work? Galy scientists cultivate cotton plant cells in a nutrient-rich environment, then genetically engineer the cells to produce elongated, fibrous structures, Bloomberg explains. They activate specific genes responsible for fiber development while suppressing others. The process ultimately transforms the cells into the cotton fibers that are used to create fabrics.

The company has big backers: The company just closed its Series B funding round, raising around USD 33 mn from Breakthrough Energy Ventures, H&M Group, and Inditex. This brought the company’s total raised funds to USD 65 mn, according to Bloomberg.

What’s next? The company has only been able to produce a few kgs of its material but hopes to develop other lab-grown products such as cocoa and coffee. The company also secured a USD 50 mn with Suzuran Medical to supply it with medical cotton for 10 years once they scale up their operations.