AMSTERDAM - Fashion for Good's Sorting for Circularity framework expands to address the challenge of ensuring rewearable textiles remain in use as opposed to finding their way into global waste streams or landfills. This 18-month project tests automated sorting technologies using artificial intelligence and machine learning to optimise the sorting of rewearable garments and enable greater circularity.
Global textile production and consumption have doubled over the past 15 years, while the number of times a garment is worn has dropped by 40%, averaging only seven uses before it is tossed away. In the EU, the amount of used textiles exported has tripled over the last two decades from slightly over 550,000 tonnes in 2000 to almost 1.7 million tonnes in 2019, and their fate is highly uncertain. Many of these garments receive the designation of "fit for reuse" and are later sold to second-hand stores across Europe or export markets like Africa or Asia. However, due to the sheer volume of these exported textiles and the lack of understanding of demand and criteria for resale across the industry, many ultimately end up in waste streams, landfills or incinerated.
As legislative changes loom in the EU, including Extended Producer Responsibility (EPR) schemes mandating accountability on garments placedon the market, and the Waste Shipment Regulation imposing stricter restrictions on textile exports outside EU borders, the volume of collected and exported textiles will continue to increase, underscoring the urgency for comprehensive solutions.
“As our Sorting for Circularity framework expands, we’ll be able to address the root cause of shifting the waste burden elsewhere. Addressing this requires an agreed upon framework for quality and resale potential in key export regions as well as developments in using AI sorting. This pioneering consortium will provide crucial insights for policy developments and investments towards a circular economy.” — Katrin Ley, Managing Director, Fashion for Good.
To address these challenges, Fashion for Good is expanding its Sorting for Circularity framework to address the challenge of sorting for rewearable textiles to understand better their resale potential and the demand across the second-hand market. While current Near Infrared (NIR) technology can determine garment composition, the task of assessing re-wearability is largely manual.
This project will test automated sorting technologies using machine learning and artificial intelligence (AI) to collect product information — such as colour, style, garment type, and quality. This will enable sorters and brands to make better decisions and sort efficiently based on product data and criteria from local, European, and export resale market requirements, thus optimising the flow of textiles to achieve their highest value potential.
The findings will be shared in a report with a supporting business case and implementation roadmap to inform investment decisions in infrastructure, Circular Business Models (CBM) and repair centres.
The Rewear Project builds on Fashion for Good’s Sorting for Circularity framework initiated in 2021 and subsequently launched in Europe, India and the United States harmonising the collection, sorting and recycling industries in order to advance textile-to-textile recycling technologies and the resale industry.
“With this project, we hope to clarify the myths and half-truths on post-consumer waste dumping, but also salvage those by understanding the processes and journeys these garments travel. Then we can reach true circularity.” — Marieke Koemans-Kokkelink, Head of Sustainability, ERDOTEX.
The Sorting for Circularity Europe: Rewear Project is driven by Fashion for Good with catalytic funding provided by brand partners adidas, BESTSELLER, Bonprix, C&A, Inditex, Levi Strauss & Co., Otto Group, PVH Corp., and Zalando. Circle Economy Foundation leads the creation and implementation of the methodology, with support from Consumption Research Norway, Oslo Metropolitan University and Revaluate.
To ensure accuracy and representation in capturing data on the flow of textiles within the EU and export markets, this project will focus on specific geographical regions: Lithuania (Nordic/Baltic), the Netherlands (Western), Poland (Central-Eastern), and Spain (Southern Europe). The project also brings together the largest industrial textile sorters in Europe; including Erdotex, ModaRe, Humana People to People Baltic and Wtorpol, showing how different stakeholders — brands, sorters, and innovators — can work together to comply with evolving regulations.
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Circle Economy Foundation announced a leadership change today. Ivonne Bojoh, the current Chief Operating Officer (COO) and Director of Digital, will assume the role of CEO, succeeding Martijn Lopes Cardozo. Martijn, who has served as CEO for four years, will continue as a Senior Advisor while exploring new opportunities outside the organisation. We are truly grateful for Martijn’s efforts in the last four years as CEO and before that as Supervisory Board Member and are pleased he will stay on as a Senior Advisor to ensure a smooth transition.
Ivonne Bojoh has a distinguished career, spanning professional services as Partner and Managing Director of The Valley, a leading customer experience agency in Amsterdam and co-founder of a FinTech company in Singapore, scaling and transforming organisations. Ivonne joined Circle Economy in 2020 as Director of Digital and was promoted to COO in 2022, demonstrating her commitment to the organisation's mission and ability to drive impactful change.
The outgoing CEO, Martijn Lopes Cardozo, expressed his confidence in Ivonne's ability to lead the organisation: ‘I congratulate Ivonne on her new role. I have witnessed Ivonne operate in the last three years, and with her deep sense of purpose combined with a can-do mentality and bias to action, she is the right person to head up the organisation going forward. Leading Circle Economy Foundation during the last four years has been a great honour. It has been amazing to work alongside such an incredible group of “circlers”, funders and partners and together drive the transition to a circular economy with practical and scalable solutions.’
Founder and Chairman Robert-Jan van Ogtrop conveyed his positive outlook about the leadership transition: ‘We are very pleased Ivonne will step up as CEO. She is the right person to lead Circle Economy Foundation to deliver impact at scale. I thank Martijn for his leadership, initially as a Supervisory Board member and subsequently as CEO during the last four years. Under his guidance, the organisation has grown, further professionalised and solidified several new key strategic partnerships.’
Ivonne Bojoh shared her excitement about the next phase: ‘When Circle Economy was founded in 2011, the circular economy was still a relatively new concept. Today, we see wide adoption of circularity principles, and with that comes a shift for us to provide the “how” in addition to the “why”. Circle Economy Foundation is uniquely positioned to do just that. I look forward to leading the organisation and accelerating our impact to achieve our goal of doubling global circularity by 2032.’
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Circle Economy Foundation is excited to announce the launch of the Impact Report 2023. Following a year of firsts for the organisation, we turned our attention inward to take stock of our impact across the three levers of our Theory of Change: Analyse, Act and Scale. Read on to see some of our highlights from 2023.
To Analyse, the Circularity Gap Report Latin America and the Caribbean provided the first of its kind analysis in the region, finding that 40% of the region’s raw materials are exported—revealing the disparity between global material demand and local communities that bear the brunt of ecological breakdown. This year also saw the launch of the Circularity Gap Report for Cities, bringing the Circularity Gap Report to the local level: Munich was up first, demonstrating it can use 43% less materials than it uses now while cutting its consumption-based CO2 emissions by 23%.
To Act, Circle Economy Foundation developed a training programme with Oxfam to build the capacity of small- and medium-sized enterprises towards a green and circular economy. Our circular training model has so far been implemented across several countries: Nigeria, Egypt, Uganda, Somaliland, Kenya and Cambodia.
To Scale our work, we have finalised our spin-off, Circle Economy Consulting, and are proud to announce that Deloitte will be its Scaling Partner. We have also been building capacity across key value chains via the UN-led SWITCH to Circular Economy Value Chains programme and our acquisition of Sustainability Games—an educational tool for teaching circular principles. Sustainability Games was implemented by plastics companies in Morocco and textiles companies in Bangladesh via SWITCH to educate and inform workers on the ground.
Zooming in on the practical outcomes of our work, we’ve seen our research inform the creation of circular policies across Europe, the UK and Canada. For example, thanks to our Circle City Scan, Circular Montréal: Baseline Assessment, Montréal has released its public consultation document, ‘Towards a Montréal roadmap in the circular economy’, which will inform the creation of their future circular strategy.
Meanwhile, in Austria, the Circularity Gap Report Austria was presented to the Ministry of Environment in 2019. Four years later, the report has contributed to the country’s recent policy changes. The Austrian Cabinet of Ministers has now adopted a National Circular Economy Strategy. Following our analysis, the comprehensive policy document aims to boost circularity from 9.7% to 18% by 2030.
Wrapping up this year, we have empowered 30 businesses, three cities and four nations across three continents to become more circular. This contributes to the total of 150 businesses, 55 cities and 27 nations across six continents that we’ve aided over the past ten years. We’ve also trained more than 4,230 people in circular principles over the past decade.
These are just a few highlights from the Impact Report 2023. Download the full report to see how we’re making the circular economy a reality.
The World Circular Economy Forum (WCEF) is an annual event organised by Sitra, the Finnish Innovation Fund, that brings together leaders from business, government, academia and civil society to find circular solutions to the world’s biggest challenges. This year, Sitra partnered up with Circle Economy Foundation and the International Resource Panel to co-produce the event, shaping the programme, speakers and topics.
The theme of this year’s conference is ‘Turning circular visions into actions’. With this in mind, WCEF2024 will feature the most impactful circular solutions from around the world, guided by the latest scientific evidence. The programme is designed to facilitate targeted discussions around the key enablers of a circular economy: governance, finance, people and employment, and business and innovation.
‘We are pleased to announce our partnership to make this year’s World Circular Economy Forum the most impactful yet’, says Circle Economy Foundation CEO Martijn Lopes Cardozo, ‘Our experts have planned several days of exciting programming that will leave all participants feeling empowered and inspired to make the circular economy a reality.’
What sets this edition of the forum apart from previous iterations are the targeted discussions with clear outcomes, hands-on workshops and collaboration with two major players in Brussels: the European Circular Economy Stakeholder Platform (ECESP) and the Belgian Presidency of the Council of the European Union. The ECESP will deliver a European track to the main event while the Belgian Presidency team will curate a full day of accelerator sessions on 17 April, including site visits to circular economy companies in Belgium.
This collaborative programme aims to facilitate a spirit of discovery, participation, learning and cross-sectoral, international coalition-building by advocating for a just transition to circularity. The forum will encourage countries worldwide to continue working towards a circular economy that holds people and the planet at its core. More details about the programme and speakers will be announced in January 2024.
WCEF2024 is brought to you by the Finnish Innovation Fund Sitra, Circle Economy Foundation and International Resource Panel in close collaboration with international partners. WCEF2024 will be hosted at the SQUARE Brussels Meeting Centre from April 15–18, 2024. The forum can also be joined online or from WCEF Studios around the world.
Amsterdam, Netherlands, 30 November, 2023—Circle Economy Foundation and Circulair West announced today that the organisations have entered into a strategic partnership to develop and pilot the Circulair West Academy. This pilot project aims to introduce the tools of the Foundation’s Circular Starter Kit to the Circulair West network of founders, leaders and friends. This consists of a documentary about circularity and a gamified e-learning platform.
The partnership brings together Circle Economy Foundation and Circulair West on their missions to nurture a circular economy across sectors. Circulair West was founded by six leading companies—AW Group, de Beelen Group, HOEK, Meerlanden, Ouwehand Bouw & Ontwikkeling and Timpaan—with the goal of accelerating the circular transitions of small- and medium-sized enterprises in the Netherlands. Circle Economy Foundation has developed a series of digital tools, namely the Circularity Academy—a gamified e-learning platform, to train and monitor the adoption of circularity within organisations or communities of stakeholders.
"We are so excited and grateful for the partnership with Circulair West to bring circularity to small- and medium-sized enterprises and their employees across Holland, our home base’’, said Ivonne Bojoh, COO of Circle Economy Foundation. ‘Through this innovative collaboration, our goal is to enable members of the Circulair West network with insights, promote action, connect and track their progress towards a circular economy using the circular digital tools. We trust this is the beginning of an impactful partnership that brings circularity to many Dutch businesses’.
Friends in the Circulair West network will now have access to Circle Economy Foundation’s Circularity Academy (in Dutch), along with the Going Circular documentary and discounted Circular Starter Kits to kick-start their circular transitions. These unique digital tools take stakeholders on an evidence-based journey to help them find out where they are, envision where they can go and understand how to get there. With this in mind, businesses can spearhead their circular transition and help entire sectors and regions transform simultaneously.
"We are thrilled and grateful that Circle Economy, one of the most successful global circular economy impact organisations, is willing to partner with Circulair West to deploy their innovative digital gamification tool towards our members in the provinces of Noord- and Zuid-Holland. This tool, which has already demonstrated remarkable impact and scalability, will now benefit small and medium-sized enterprises, fostering a deeper understanding of circular principles throughout entire organisations’, said Leon van Ast of Circulair West. ‘The comprehensive gamification and user experience will undoubtedly accelerate the adoption and execution of new circular strategies and business models. We eagerly anticipate the transformative impact this collaboration will bring’’.
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The Dutch province of Groningen sits on the largest natural gas field in Europe and one of the largest in the world. However, on the 1st of October, 2023, Groningen’s gas pumps went silent. In the year of the Dutch gas industry’s 60th anniversary, production was halted, presumably, for good. This decision was long-awaited as extraction activities provoked disastrous earthquakes, endangering the local population and making Groningen’s gas one of the most debated topics in Dutch politics.
To aid Groningen’s transition to a more sustainable and diversified economy, the Dutch government launched The National Programme Groningen (NPG)—a partnership between the government, province and municipalities—allocating seed capital of €1.5 million to implement initiatives and projects that could strengthen the living environment, the economy, education, jobs, nature and the climate.
Together with the Programme, NOM, Groningen Seaports, Chemport Europe and Circle Economy Foundation developed a circular economy transition plan. We explored four strategic directions to guide future NPG’s multi-year investment plans towards a circular economy: optimised biomass valorisation, circular industrial processes, circular agricultural practices and urban-rural-industrial symbiosis.
The study zoomed-in on two of the region’s biggest industries: chemical manufacturing and agrifood. These sectors are crucial for the regional economy, but they are also massive resource consumers and carbon emitters. Building a symbiosis of agriculture and chemical manufacturing could substantially cut emissions and waste, creating an efficient, circular system.
We found that many elements needed to build a circular economy are already present in the region. Groningen's farmers, for example, have some of the most advanced equipment and knowledge in Europe, which would facilitate a seamless transition to circular agriculture. In addition, the green chemistry sector has already taken root in the province. Advanced logistics and infrastructure, including a seaport, could also contribute to Groningen’s status as a global circular economy hotspot.
However, a lack of skilled workforce hinders the region's transition, and circular materials are still more expensive to produce and obtain. On top of that, local legislation needs to be adapted to favour more circular business models.
Although barriers to Groningen's circularity remain, local entrepreneurs, government representatives and knowledge institutions support the transition plan. The Circular Economy in Groningen report was presented at the event ‘Circular without borders’ in Delfzijl on the 14th of November. The event was attended by local stakeholders and co-organised by Holland Circular Hotspot and Circular Groningen, an organisation established just six months ago that already boasts more than 50 participating companies.
Groningen’s provincial council member responsible for agriculture and economy, Henk Emmens, officially endorsed the transition plan, adding: ‘In this way, we’ll maintain guaranteed employment for a generation in sectors that continue to become more sustainable. We’ll have jobs and a better environment.’
The benefits of the circular economy in Groningen are clear to all stakeholders: from job creation to enhanced social welfare, prevention of additional earthquake damage, and a competitive advantage for the region's main economic sectors. Governments and industries are ready to take action. Groningen’s journey from gas capital to circular hotspot can also serve as a blueprint for the European post-fossil fuels future.
Munich’s residents, on average, use 32 tonnes of raw materials per person per year. This is 11 tonnes more than the German average and four times the estimated ‘sustainable’ level of 8 tonnes per person per year, a threshold established by UNEP and the International Resource Panel needed to support ‘a safe operating space’ on Earth. However, this trend of overconsumption could be reversed if the city fully embraces the circular economy.
These are some of the main findings of the Circularity Gap Report Munich, the first-ever study measuring the Circularity Gap of a city. This report measures the city’s material consumption, material cycling, consumption-based carbon footprint* and other indicators.
The study points out that, like many metropolises, Munich almost entirely relies on imports to satisfy its needs. It gets 48% of its materials from Germany, 16% from Europe and 36% from the rest of the world. But while resources are consumed locally, the environmental pressures stemming from their extraction, processing and transportation are felt globally.
What’s more, the average Munich resident is responsible for 23 tonnes of consumption-based carbon emissions annually.* This is almost two-thirds more than the German average and is nearly 2.5 times the footprint of the average EU citizen.
Such a high carbon footprint* is linked to the overconsumption of raw materials—a common occurrence for wealthy cities like Munich. For example, the city is known for its robust manufacturing industry and booming service economy. Both industries are big consumers and emitters.* While a service economy can help decouple value from raw material use, it still drives material consumption as necessary infrastructure is built up through construction, and as buildings are heated and maintained—activities that demand massive amounts of materials and energy.
A circular economy can serve as a means to maintain Munich’s citizens’ high quality of life while substantially reducing negative impacts elsewhere, such as climate change, deforestation and biodiversity loss. The report estimates that of all materials consumed by the local economy annually, 2.4% are recycled materials, which is low compared to the global average of 7.2%. To improve these and other key circularity indicators, Munich is advised to adopt circular economy strategies in high-impact areas like construction, manufacturing, transport, food and lifestyle choices.
Like in many growing cities, construction is the largest contributor to Munich’s material consumption and carbon footprint,* claiming 21% of annual material use—meaning that strategies targeting this sector are the most impactful ones. The report advises, for example, that the city could limit urban sprawl and focus on preserving and repurposing existing buildings. In addition, Munich might speed up existing efforts to boost the building stock’s energy efficiency.
Encouraging circularity in manufacturing could also deliver sizable benefits. However, much depends on Munich’s residents. Shifting their lifestyle choices towards buying fewer items and keeping them for longer could cut the city’s material use by around 10%. At the same time, local producers can bolster circularity by designing their products for easy repair and recycling.
The study acknowledges the successes of Munich’s circular economy strategy with initiatives like investment in public transport, community gardens and remanufacturing activities, but calls for bolder action to accelerate the circular transition. If all recommendations mentioned in the report were implemented, Munich’s material use could be reduced by 43%, and the carbon footprint* could be lowered by 22%.
*The Circularity Gap Report Munich was commissioned by CIRCULAR REPUBLIC and authored by Circle Economy Foundation. This report uses a consumption-based carbon accounting approach for emissions from goods and services consumed by the residents of a locality, regardless of where those emissions occur. However, normally a territorial-based methodology is used in Germany to calculate greenhouse gas (GHG) balances at the municipal level, using the BISKO standard. Thus, Munich's GHG balances following BISKO standard should and can not directly be compared with the results of this study.
Read the full Circularity Gap Report Munich here
Countries in Latin America and the Caribbean (LAC) export more than double the amount of materials they import—40% of what is extracted annually. The rapid rise in global material demand has become a major driver of environmental degradation and social inequalities in the region. However, a new study finds that implementing circular economy strategies could cut the region’s material use and carbon footprint by roughly 30% each while generating over 8.8 million new formal jobs.
The Circularity Gap Report Latin America and the Caribbean, commissioned by international development bodies* and authored by Circle Economy Foundation, explores how materials are extracted, used and cycled in the LAC region. The report also estimates the potential impact of circular economy strategies in improving the region’s environmental health, reducing carbon emissions, and creating jobs.
According to the report, LAC countries supply over 11% of the world's raw materials despite representing only 8.3% of the world's population. The region consumes, on average, 12.4 tonnes of materials per person per year, which includes biological matter, fossil fuels, metals and non-metallic materials. This is on par with the global average of 12.2 tonnes but far less than many European countries. Switzerland, for example, consumes 19 tonnes of materials per capita, while Sweden uses a whopping 25 tonnes.
The study warns that overconsumption in wealthy countries has damaged the region’s local environment. LAC is the largest net food exporting region worldwide, producing almost a quarter of all meat consumed globally. However, this drives deforestation, resulting in greenhouse gas (GHG) emissions and biodiversity loss. What’s more, current agricultural practices damage pollinators and soil health, threatening the sector’s long-term resilience.
The report calculated that out of all materials consumed in local economies, less than 1% make it back into use in the form of reused and recycled materials. However, reliable calculations are challenging as up to two-thirds of waste in the region isn’t tracked by official statistics. Other data gaps are also prevalent, allowing for illegal landfilling and pollution, and preventing local governments from effectively monitoring waste streams. The report highlights the importance of rigorous waste and material tracking and its reflection in official accounts.
Local governments are also encouraged to recognise the value of circular economy principles, such as regenerative farming, reducing industrial waste and renovating old buildings instead of building new ones. Implementing circular economy strategies in just two sectors—Agrifood and Manufacturing—can cut LAC’s material and carbon footprints by one-third each, ensuring a healthier environment and a safer climate.
The study also estimates that around 8.8 million new formal jobs could be created if the region transitions to a circular economy. In this way, informal jobs could be transitioned to formal employment. Examples of new occupations include recycling facility workers, repair and maintenance operatives, public transport operatives, logistics managers, urban planners, and biotechnicians. The successful implementation of circular strategies can bring other socioeconomic benefits, such as improved health and well-being, and decent work. However, to harness its full potential, the transition to a circular economy must be just and inclusive by design.
*The Circularity Gap Report Latin America and the Caribbean was commissioned by IDB, IDB Invest, ECLAC, UNIDO, UNEP’s initiative Global Opportunities for the Sustainable Development Goals GO4SDGs, the Circular Economy Coalition for Latin America and the Caribbean and authored by Circle Economy Foundation. Read the full Circularity Gap Report Latin America and the Caribbean here.
About Circle Economy Foundation
Circle Economy Foundation envisions an economic system that ensures the planet and all people can thrive. We are a global impact organisation founded in 2011, and to date have worked with 80+ businesses, 31+ cities and 20+ nations around the world. Our practical and scalable approach is focused on empowering decision-makers from the public and private sectors to develop and implement circular economy strategies and business models. We do this by combining research, data, and digital tools for the greater good.
About the Circular Economy Coalition Latin America and the Caribbean (CEC)
The CEC is a regional platform to enhance inter-ministerial, multi-sectoral and multi-stakeholder cooperation, and increase knowledge and understanding of the circular economy. It provides training and technical assistance for the development of public policies related to the circular economy and sustainable consumption and production.
About the IDB
The Inter-American Development Bank is devoted to improving lives. Established in 1959, the IDB is a leading source of long-term financing for economic, social and institutional development in Latin America and the Caribbean. The IDB also conducts cutting-edge research and provides policy advice, technical assistance and training to public and private sector clients throughout the region. Access our virtual tour.
About IDB Invest
IDB Invest, a member of the Inter-American Development Bank Group, is a multilateral development bank committed to promoting the economic development of its member countries in Latin America and the Caribbean through the private sector. IDB Invest finances sustainable companies and projects to achieve financial results and maximize economic, social, and environmental development in the region. With a portfolio of $16.3 billion in assets under management and 394 clients in 25 countries, IDB Invest provides innovative financial solutions and advisory services that meet the needs of its clients in a variety of industries.
About GO4SDGS
The UNEP-led GO4SDGs initiative—Global Opportunities for Sustainable Development Goals—is at the forefront of accelerating efforts towards achieving the Sustainable Development Goals (SDGs), particularly emphasizing sustainable consumption and production (SDG 12) and promoting green jobs and economic growth (SDG 8). It connects global partnerships with regional efforts, amplifying its impact and guiding economies towards sustainability, in line with the 2030 Paris Agreement. The initiative supports governments in policy coherence, facilitates SMEs to secure funding for circularity, and empowers youth to embrace sustainable lifestyles. An integral part of GO4SDGs is the "Green Jobs for Youth Pact", a UN collaboration involving the ILO, UNEP, and UNICEF, dedicated to fostering decent job opportunities for youth and promoting sustainable development and circularity.
About ECLAC
The United Nations Economic Commission for Latin America and the Caribbean - ECLAC brings together economic analysis, policies proposals and policy implications, providing technical assistance and international cooperation all over the region. In performing this mission, ECLAC regularly convenes governments, policymakers, and researchers to address economic, social, and environmental challenges for the economic development of Latin America and the Caribbean and translate these challenges into policies at regional and national levels.
About UNIDO
United Nations Industrial Development Organization (UNIDO), as a specialized agency of the United Nations, has the primary responsibility to promote inclusive and sustainable industrial development in the developing countries and in countries with economies in transition.
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