Worldwide concern regarding the need for more sustainable textile supply chain prompted emphasis on innovation in the coloration process, often considered the most problematic segment of the supply chain. Digital textile printing, an emerging coloration technology, has the potential to improve sustainability significantly. This study undertakes an environmental sustainability analysis that compares the impacts of rotary-screen printing, the traditional, more established printing method, and digital textile printing. Researchers partnered with Creditex S.A.A., a vertically integrated textile company from Peru, to perform the research in a realistic factory setting. Creditex printed a 16-color design for an order of 1000m cotton fabric with reactive dye occupying both rotary-screen printing and digital textile printing and collected environmental impact data throughout the production process, including consumption, usage, and wastage. The findings suggest that digital textile printing is favorable to rotary-screen printing in terms of environmental sustainability impacts within the research context.