The textile industry is a significant contributor to many national economics, encom-passing both small and large-scale operations worldwide. In terms of its output or pro-duction and employment, the textile industry is one of the largest industries in Bang-ladesh are playing an utmost important role offering tremendous opportunities for the economy of Bangladesh. But hasty and unplanned clustered growth of industries leads to adverse environmental consequence in an alarming way. The liquid effluents from industries are causing major havoc to the environment. One of the biggest problems of the 21st century is the quality and management of water. Textile industry is one of the largest consumers of water due especially to their finishing processes such as dyeing and subsequent washing steps. Water is used as medium for the processing of textile materials. Usually 70L to 150L water is required for the processing of 1 kg cotton fabric. In addition to high water consumption, the textile industry is also characterized by the generation of huge amounts of wastewater. This wastewater contains different kinds of dyes and chemical additives, which cannot be easily degraded. The textile dyeing wastes contain unused or partially used organic and inorganic compounds, strong color and high Chemical Oxygen Demand, Biological Oxygen Demand, Total Dissolved Solids and the nonbiodegradable nature of organic dyes in wastewater make it difficult for ordinary treatment technologies. Most dyes having complex structure are stable against light and heat. The increase in water consumption and consequently the increase of water scarcity have caused the creation of new environmental policies focused on recycling and reuse of water. The bioadsorption of dye from dyebath wastewater by chitosan-ZnO composite and the performance of composite treated wastewater in cotton fabric processing have been investigated. The detailed study has demonstrated that composite can effectively adsorb the colouring substances and organic pollutants from dyebath wastewater with the help of effective coagulant doses. From the result obtained, the optimum removal of dye was achieved at pH 7 with 0.8% of composite dosage and 120 minutes of mixing time at a temperature 70˚C. Under this condition, about almost 90 % of dye was successfully removed. The treated wastewater was found to be reusable in textile wet processing purposes. Cotton fabric processed with composite treated wastewater exhibited a quite satisfactory performance without any significant differences. Thus the findings of the project will open up the scope for reusing dyebath wastewater which can save million litres of fresh water per day for the processing of several thousand kg of textile materials in a single dyeing industry of pernicious organic matter and colouring substances.