Primark and Circ Partner to Boost Textile Recycling by 2029
Primark has committed to buying recycled polyester from textile recycler Circ through a multi-year supply agreement that marks the retailer's first long-term contract with a textile-to-textile recycling company. The deal, announced in September 2026, will see Circ supply Primark with recycled polyester made from discarded clothing and textile waste from 2029 onwards. For Primark, the agreement provides a route to increase recycled content in its ranges. For Circ, it delivers the demand certainty needed to support construction of a major industrial facility in France.
This type of arrangement matters because textile recycling has struggled to move beyond pilot schemes. Most recycled polyester currently comes from plastic bottles rather than old clothes. Meanwhile, blended fabrics such as polycotton have proved particularly difficult to recycle at scale. Circ's technology is designed to separate those blends and recover usable polyester and cellulose fibre, turning textile waste back into raw material for new garments.
The partnership signals a shift from short-term trials to binding commercial commitments. Consequently, it offers a test case for whether textile-to-textile recycling can work at the volumes and price points required by mainstream fashion retailers. For UK businesses watching the circular economy develop, the Primark deal provides a concrete example of how longer-term offtake agreements are being used to support infrastructure investment in next-generation materials.
Circ's French facility and production timeline
Circ plans to build its first industrial-scale textile recycling plant in Saint-Avold, northeastern France. The facility is expected to process 70,000 metric tons of textile waste each year once operational. Construction is scheduled for completion by the end of 2028, with commercial production beginning in 2029. The estimated project cost is around $500 million.
Importantly, Primark is not directly financing the facility. Instead, the retailer has signed a purchase agreement that commits to buying recycled polyester once production starts. This distinction matters because the deal represents a demand commitment rather than a capital investment. However, that demand signal reduces project risk for Circ and its financial backers by demonstrating confirmed future revenue.
The facility will process both post-consumer textile waste, such as discarded clothing, and post-industrial waste from manufacturing. Some of that feedstock will come from European sources. Circ's process is designed to handle polycotton blends, which currently make up a significant portion of clothing but are difficult to recycle using conventional methods. By separating polyester from cellulose fibres, the technology aims to recover both materials for reuse in new textiles.
The 2029 timeline gives Circ roughly three years from completion of construction to ramp up production and deliver material that meets Primark's specifications. That timeframe reflects the complexity of bringing a new recycling technology to full industrial scale. It also aligns with wider industry timelines for circular materials, as other retailers and brands have set similar target dates for increasing recycled content.
What the agreement means for Primark's sourcing
Primark has publicly stated that it wants all clothing it sells to contain recycled or more sustainably sourced materials by 2030. The Circ partnership forms part of that strategy by adding a new source of recycled polyester derived from textile waste rather than plastic bottles. Currently, most recycled polyester in the fashion industry comes from bottle-to-fibre processes, which have limited capacity to absorb the growing volume of discarded textiles.
The retailer has also introduced a Circular Product Standard to guide how its products are designed and sourced with end-of-life considerations in mind. This agreement with Circ sits within that broader framework. By securing a supply route now for materials that will become available in 2029, Primark is positioning itself to meet its 2030 target while supporting infrastructure development in textile recycling.
From a commercial perspective, the deal offers Primark visibility over future material costs and availability. Recycled polyester from textile waste is not yet widely available at the volumes required by large retailers. Therefore, early offtake agreements like this one help secure supply before the market becomes more competitive. Primark has stated that the agreement will enable it to offer recycled polyester to customers at scale and at an affordable price point, which suggests cost competitiveness is a key consideration.
The partnership also addresses supply chain transparency. Textile-to-textile recycling creates a more closed-loop system compared to sourcing virgin polyester or even bottle-based recycled polyester. Consequently, it may help Primark meet growing expectations from customers, investors, and regulators around circular business models. For businesses tendering for public sector contracts or corporate supply chains, demonstrable circularity is increasingly becoming a qualifying criterion.
However, the 2029 start date means Primark will need to rely on other sources of recycled content in the interim. The Circ agreement is one component of a wider sourcing strategy rather than a complete solution. Other retailers are pursuing similar partnerships with different recycling technology providers, which indicates that multiple approaches are being tested in parallel across the industry.
Polycotton recycling and the technical challenge
Polycotton blends are widely used in clothing because they combine the durability of polyester with the comfort of cotton. However, separating those two fibres has historically been difficult and expensive. Most textile waste containing blends ends up in landfill or incineration because conventional recycling cannot handle mixed materials. Circ's technology aims to solve that problem by chemically breaking down the blend and recovering both polyester and cellulose in forms that can be reused.
The technical difficulty lies in the fact that polyester is a synthetic polymer while cotton is a natural cellulose fibre. Standard mechanical recycling, which shreds textiles into shorter fibres, degrades quality and cannot separate the two materials. Chemical recycling processes like Circ's use solvents or other treatments to dissolve one component while leaving the other intact. This allows higher-quality recovery but requires significant investment in plant and process control.
Several other companies are developing similar technologies, each using different chemical pathways. Therefore, the industry is still in a competitive and experimental phase. Circ's partnership with Primark represents a step toward commercial validation. If the French plant can deliver recycled polyester at the promised volume, quality, and price, it will provide evidence that textile-to-textile recycling can compete with virgin materials and bottle-based recycled polyester.
For UK manufacturers and suppliers, the implications are significant. As brands like Primark commit to recycled content from textile waste, demand for feedstock will increase. Textile waste collection, sorting, and pre-processing will need to expand accordingly. Businesses involved in waste management, textile sorting, or garment collection may find new commercial opportunities as the infrastructure for textile recycling develops.
Summary of key facts
- Primark signed a multi-year offtake agreement with textile recycler Circ in September 2026, committing to purchase recycled polyester from 2029.
- Circ is building a 70,000-metric-ton-per-year textile recycling facility in Saint-Avold, France, due for completion by the end of 2028.
- The facility will process post-consumer and post-industrial textile waste, including polycotton blends, using chemical recycling technology.
- Primark is not directly financing the plant but has provided a demand commitment that reduces project risk for Circ and its investors.
- This is Primark's first long-term supply agreement with a textile-to-textile recycler and forms part of its goal to source all clothing from recycled or more sustainable materials by 2030.
Industry momentum behind textile recycling partnerships
Circ's partnership with Primark follows a pattern of brands moving from pilot projects to binding commercial agreements with recycling technology providers. Other major retailers and textile companies have announced similar collaborations in recent months, indicating that the industry is entering a commercialisation phase. These agreements provide recycling companies with the financial visibility needed to raise capital and build large-scale facilities.
The shift matters because it changes the risk profile for investors and project developers. Previously, recycling technology companies struggled to secure funding without confirmed customers. Meanwhile, brands were reluctant to commit to untested technologies without proof of industrial-scale delivery. Long-term offtake agreements help break that cycle by creating mutual commitments that support investment.
For UK businesses, this trend has several implications. First, companies involved in textile waste collection and sorting may see increased demand as recycling facilities require feedstock. Second, manufacturers and brands may face growing pressure from customers and supply chain partners to demonstrate circularity. Third, businesses competing for public sector contracts may need to show how they are reducing reliance on virgin materials, particularly in sectors where carbon reporting and PPN 06/21 compliance apply.
The regulatory environment is also shifting. Extended producer responsibility schemes for textiles are being introduced or expanded across Europe, including in the UK. These schemes require brands and retailers to take greater responsibility for the end-of-life management of the products they sell. Consequently, partnerships with textile recyclers may become a compliance necessity rather than a voluntary sustainability initiative.
Moreover, consumer expectations are changing. Surveys consistently show that a significant portion of UK consumers, particularly younger demographics, prefer brands that demonstrate environmental responsibility. While price and quality remain primary purchase drivers, circularity and recycled content are increasingly influencing brand perception. For businesses selling directly to consumers or supplying retailers, these shifts in expectation create both risks and opportunities.
Considerations for UK manufacturers and suppliers
Businesses supplying the fashion and textile sector should pay attention to how major retailers are restructuring their sourcing strategies. Primark's agreement with Circ is one example, but similar commitments are being made across the industry. Therefore, suppliers may need to adapt their own operations to meet growing demand for recycled and circular materials.
Manufacturers currently using virgin polyester may face questions from brand customers about alternative material sources. In some cases, brands may specify minimum recycled content levels or require suppliers to source from approved recycling facilities. Consequently, understanding the availability and cost of recycled polyester from textile waste will become commercially important. Suppliers who can demonstrate credible circular sourcing may gain a competitive advantage in tenders and contract renewals.
Textile waste collection and sorting businesses may see new opportunities as demand for feedstock grows. However, quality and contamination control will be critical. Chemical recycling processes require relatively clean, well-sorted input material to function efficiently. Businesses that can provide consistent, high-quality feedstock will be better positioned to supply the emerging textile recycling sector.
For companies with sustainability reporting obligations, the shift toward circular materials also has implications for carbon accounting. Recycled polyester typically has a lower carbon footprint than virgin polyester, particularly when it replaces fossil-based production. Therefore, increasing the use of recycled content can contribute to Scope 3 emissions reductions. Businesses required to report emissions under ESG compliance frameworks may find that material sourcing becomes an increasingly important element of their carbon reduction strategy.
Training and skills development will also matter. Understanding circular economy principles, material traceability, and the technical differences between recycling technologies is becoming more important for procurement and supply chain teams. Resources such as the SBS Academy can help businesses build internal knowledge and ensure teams are equipped to navigate the transition toward circular materials.
Where to find further information
The UK government has published guidance on the circular economy and textile waste through the Department for Environment, Food and Rural Affairs. This includes information on extended producer responsibility schemes and waste management requirements. Details are available on the Defra website.
WRAP, a registered charity working on sustainability and resource efficiency, provides research and guidance on textile recycling and circular economy models. Their Textiles 2030 programme offers information for businesses looking to reduce textile waste and increase circularity.
The Institution of Environmental Management and Assessment (IEMA) publishes resources on sustainability strategy and environmental reporting, including guidance relevant to supply chain management and material sourcing. Further details can be found on the IEMA website.
For businesses interested in how circular materials fit within broader net-zero strategies, the UK government's net-zero guidance and carbon reporting frameworks provide context on emissions reduction and supply chain accountability. These resources are available through the gov.uk net-zero strategy page.