Praise be to Allah, the Lord of the World; and may His blessings and peace be upon our Prophet Muhammad and upon all his Family and Companions.
No doubt that the treatment you describe is contrary to Islamic teachings. In fact, the Muslim is the brother of his fellow Muslim. He should not offend him, nor humiliate him. The believer should be for his fellow believer as the building which stands together thanks to the strong link between its parts.
In Islam, the best is the pious. So, there is no difference between the black, white, the Arab, the non-Arab except by the level of piety.
The history of Islam is a witness that Muslims did not take cultural or racial differences into consideration. In fact, the person is honored according to his knowledge and morals regardless of his colour, race, language, lineage or wealth. This is why the early generations formed a great, strongly nuked Ummah. But when class or social differences began to be considered weakness and debility appeared in the whole Ummah and its enemies started disrespecting it.
As for what you mentioned about wearing Ghutra and Igaal, know that these are not considered innovations, as innovations are things that are added to the religion and are not a part of it.
So, the worldly matters that people use are not a part of religious matters, such as cars, planes, kinds of clothes, … etc.
Originally, all clothes worn by men lawful in Sharia except if they are in imitation of non-believers or women, or if they are made of silk or gold as specified by Sharia.
It is clear that Ghutra and Igaal are not among these. So there is no harm in wearing them.
Allah knows best.