The report ‘Sorting for Circularity: Project Rewear’, published in May 2026 by Fashion for Good and Circle Economy in collaboration with academic and industry partners, explores the realities of textile reuse, repair, resale, and circular business models across Europe and key global markets. Authored by contributors from organisations including Fashion for Good, Circle Economy, Aalborg University, OsloMet, Artdiction, and the National Textile University Pakistan, the report analyses how rewear systems currently function, the limitations they face, and the policy and infrastructure changes needed to support a more circular textile economy.  

Key takeaways

• Most used garments remain technically reusable

  The report’s analysis of 8,280 garments across sorting facilities in the Netherlands, Spain, Lithuania, and Poland found that 37% of garments showed no damage, while 41% had only minor flaws. However, many items are not prepared for reuse because repair, cleaning, and restoration costs often outweigh potential resale value.  

• Only a small share of garments generates high resale value

  According to the report, only around 5-10% of garments entering sorting systems are classified as premium ‘cream’ items capable of commanding high resale prices. The report also found that consumer perception, trends, and brand identity often influence garment value more strongly than actual physical quality.

• Textile reuse systems face growing operational and infrastructure pressures

  The report highlights increasing strain on sorting operators due to rising textile collection volumes, evolving Extended Producer Responsibility (EPR) frameworks, and insufficient investment in sorting, reuse preparation, and recycling infrastructure. Smaller operators were identified as being particularly vulnerable to financial pressure.  

• Repair and reuse activities require stronger skills and infrastructure support

  Renewal activities such as repair, depilling, cleaning, and restoration were identified as labour-intensive processes requiring specialised skills, equipment, and space. The report notes that many reuse operators, particularly non-profits, currently lack the resources to scale these activities effectively. 

• Global second-hand textile flows remain highly uneven

  The report examines textile reuse systems in Ghana and Pakistan, highlighting both the economic opportunities and environmental pressures linked to global second-hand clothing trade. In Ghana’s Kantamanto Market, around 15 million garments reportedly arrive each week, supporting large informal reuse ecosystems while also creating waste management challenges. Pakistan, meanwhile, imports over 800,000 tonnes of used textiles annually and has become a major sorting and recycling hub.  

• Current circularity efforts are insufficient without reducing overproduction

  The report argues that reuse and repair initiatives alone cannot solve the textile sector’s environmental challenges if overproduction and overconsumption continue. It warns that circular initiatives risk becoming parallel systems rather than addressing the root causes of textile waste generation.  

• Policy recommendations focus on repair incentives, EPR reform, and investment in reuse systems

  Recommendations include reducing taxes on repair services and second-hand products, investing in digitalised sorting infrastructure, strengthening eco-modulated EPR systems, and supporting consumer education around garment care and repair practices.  

The report highlights the growing need for stronger infrastructure, policy alignment, repair capacity, and systemic changes to support textile circularity at scale. While reuse and repair systems continue to expand across Europe and internationally, the findings suggest that achieving meaningful circularity will require broader changes to production models, consumption patterns, and global textile trade systems.

For full details, readers are encouraged to consult the full report published on Circle Economy website.