Embrace Circularity

A circular economy is a systemic approach to economic development designed to benefit businesses, society, and the environment. In contrast to the ‘take-make-waste’ linear model, a circular economy is regenerative by design and aims to gradually decouple growth from the consumption of finite resources. Circular economy is based off these three principles:

• Design out waste and pollution
• Keep products and materials in use
• Regenerate natural systems

In order for the fashion industry to survive and thrive, they need to implement a circular economic system. This “has the potential to unlock an enormous economic opportunity for those brands willing to innovate and invest in new ways of doing business”. This starts with companies increasing the frequency of recycled material use and rethinking designs so they are recyclable. This involves rethinking blends between synthetic and natural fibers since they are hard to separate, being mindful of how rivets, zippers and other accessories affect recyclability and watching the use of dyes and other wet processing chemicals to ensure materials can be recycled safely. It must have many lifecycles to be considered circular.

How can your business become circular?

1. Explore new business models: Circularity touches every part of your company. The brands with the strongest circular strategies are developing transformative business models that will help them be competitive in the future. These might include rental models, alternative markets for unsold goods, extended product responsibility and second-life business models.

2. Invest in innovation: As companies begin to look at their business model to see where they an make it more circular, there is a need to invest in new technologies that can close the loop efficiently and be cost-effective. In a circular model, there is no waste. All materials are viewed as a resource. A new circular textiles system will require solutions that enable us to recycle textiles back into textiles without degrading quality.

3. Push the industry forward: Textile Exchange is an affiliate partner of the Ellen MacArthur Foundation’s Make Fashion Circular initiative, which brings together leaders from across the fashion industry. The initiative's hope is to work towards a "new textile economy" where clothes are made from safe and renewable materials, new business models increase their use and old clothes are turned into new. Leading companies use industry groups such as Make Fashion Circular to guide their circular sustainability strategies and identify opportunities to collaborate with other businesses who are making the same change.