Birla Cellulose and Circulose recently announced a partnership to scale the use of textile recycled materials. Both companies speak to WTiN about widespread adoption of T2T recycled materials.
Birla Cellulose, a leader in cellulosic fibres, together with Sweden-based Circulose, a producer of regenerated textile pulp, have signed a cooperation agreement to accelerate textile recycling initiatives.
As part of the agreement, Circulose will supply pulp made with 100% textile waste to India-based Birla, to produce and deliver textile fibre products to textile value chains. This collaboration is aimed at supporting and strengthening textile supply chains to ensure a reliable supply of recycled fibres for sustainable textile solutions.
Vadiraj Kulkarni, business head at Birla Cellulose, Grasim Industries tells WTiN: “Circulose (developed by Renewcell) emerged as an early mover in textile waste recycling. Their ability to transform discarded textiles into high-quality recycled pulp aligned with our broader objective of supporting circular solutions in man-made cellulosic fibres (MMCF). We recognised early on that Circulose could complement our expertise and support progress toward a more circular textile economy.”
Birla’s goal is to create responsibly produced products that support a circular economy. The company has invested in this objective over the years, from scaling up closed-loop production processes to establishing textile-to-textile recycling initiatives.
For example, in December 2024 Birla formed a long-term partnership to accelerate the scaling of textile waste recycling for producing MMCF with US-based textile-to-textile recycling innovator Circ. Under the agreement Birla committed to purchasing up to 5,000 tonnes of Circ’s pulp annually for five years.
This partnership, with Circulose’s technology, began at the pilot stage, where Birla provided “critical support”, according to Kulkarni by evaluating pulp at various development stages.
“This helped us assess how close recycled pulp could come to commercial fibre requirements,” he explains. “We believe partnerships like this are important for the industry. They bring together diverse strengths, foster innovation, and help tackle the complex environmental challenges facing the textile industry. Through this collaboration, we aim to contribute to the gradual scaling of textile recycling solutions.”
Jonatan Janmark, CEO of Circulose, tells WTiN how over the past year Circulose has “refined” its approach to “put brands at the centre (of what Circulose does), with a clear focus on creating offerings that enable mainstream adoption”.
He adds: “Our partnership with Birla Cellulose is a cornerstone of our strategy, and we’re very excited to have them onboard.”
Birla Cellulose currently operates 10 sites for pulp and fibre manufacturing. All these sites use environmentally efficient closed-loop technologies, with recycled materials. Additionally, its five research centres are kitted out with new facilities and pilot plants, all of which enable the company to collaborate with its upstream and downstream partners.
Kulkarni explains how Birla has developed an “ecosystem that ensures fibre traceability” through its GreenTrackTM system and other third-party solutions, extending from fibre production all the way to the finished garment.
“Our recycled fibres incorporate molecular tracers, allowing for seamless tracking throughout the supply chain, and are certified under the Recycled Claim Standard (RCS). This comprehensive approach gives brands the confidence to increase their use of recycled materials while maintaining transparency and accountability in their supply chains.”
Additionally, Kulkarni explains how Birla’s research and development (R&D) plays “a central role” in the company’s sustainability ambitions. Through innovations such as its ‘Liva Reviva’, which blends cotton waste with fresh pulp, and ‘IntelliColor’, which reduces water and chemical use in dyeing, Birla is committed to advancing what Kulkarni calls “practical pathways to circularity”.
In this instance, with Circulose, Birla is scaling textile-to-textile recycling while ensuring fibres meet performance and sustainability needs. Kulkarni says the company’s production lines are flexible and can accommodate varying volumes and adapt to “the unique capabilities” of sustainable pulp producers.
He adds: “Beyond chemical recycling, we actively support mechanical recycling and have invested in a demo facility to produce high-quality mechanically recycled fibres. Our R&D team is deeply committed to advancing circularity, and we have already piloted commercial products such as Liva Reviva, proving that chemically recycled fibres can meet market standards and consumer expectations.”
Circulose, moreover, has developed a patented process, which enables the recycling of cellulosic textile waste, transforming it into a new material called CIRCULOSE®. By integrating the material, brands can reduce their reliance on virgin materials and accelerate the adoption of next-generation materials across the fashion and textile industry.
Janmark says price is the biggest barrier facing brands when it comes to adopting recycled materials.
“If we can decouple the price premium and deliver drop-in products on par with virgin (products) we’ve come a long way. Needless to say, that regulation plays a role too.”
Kulkarni likewise echoes “the lack of fully implemented regulations” as making it challenging to achieve large-scale adoption of textile-to-textile recycling in the industry.
He lists a lack of design for recycling, minimum recycled content requirements and extended producer responsibility (EPR) as factors contributing to low demand.
But by collaborating with Birla, Kulkarni is confident that brands and manufacturers can start addressing these concerns.
Kulkarni says: “Collaborations like ours with Circulose give brands early visibility into the availability and scalability of recycled and sustainable fibres. This allows brands to plan their product portfolios well in advance, ensuring they can meet upcoming regulatory requirements related to recycled content and circularity.
“By working together, brands and suppliers can also co-design products for circularity - a key element for achieving large-scale recycling in textiles. Such partnerships foster a proactive approach to compliance, helping brands stay ahead of regulatory changes and consumer expectations for responsible fashion.”
Through joint experimentation, feedback, and problem-solving, all stakeholders can identify the most pressing issues and implement effective solutions.
“This collaborative model not only accelerates the adoption of recycled materials but also strengthens the foundation of a more resilient and sustainable textile industry,” Kulkarni adds.
Moving into 2026, Birla Cellulose aims to deepen its collaboration with innovators developing new sources of cellulosic material, such as those derived from textile waste, agricultural residues, or bacterial cellulose.
“We are committed to strengthening our R&D facilities to support these innovators as they progress from laboratory research to commercial-scale production,” says Kulkarni. “Our goal is to reach a point where demand for recycled fibres grows to such an extent that we can supply them without any cost penalty, making sustainable choices accessible and attractive for all market participants.”
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