Summary: China generates about 26 million tons of waste textiles each year, and after recycling they mainly flow to Africa's second-hand clothing market. Recycling costs about 400 yuan per ton, while the export price can reach 5,000 to 8,000 yuan. A Fujian exporter says daily sales in the African market can reach 200,000 yuan. Jiang Shicheng, an academician of the Chinese Academy of Engineering, says used-clothing recycling will spawn a hundred-billion-yuan industry, but the transparency of where charity donation bins send clothes remains in doubt.

Key points:

  • China processes about 50 million tons of textiles each year, and about 26 million tons of old clothes are discarded.
  • Used-clothing recycling costs about 400 yuan/ton, while exporting to Africa sells for 5,000-8,000 yuan/ton.
  • Exporters say daily sales in Africa's second-hand market can reach 200,000 yuan; only about 10%-15% of donated clothing meets donation standards.

1. The profit margin in the recycling chain

China processes about 50 million tons of textiles each year, of which about 26 million tons of old clothes are thrown into the trash. Because incineration and landfill both harm the environment and soil, the used-clothing recycling industry has gradually taken shape in recent years and has already established a relatively complete industrial chain.

Costs at the recycling end are very low. According to the figures in the article, the recycling cost of one ton of old clothes is about 400 yuan, while after sorting and baling for export, the price can reach 5,000 to 8,000 yuan per ton, a gap of more than ten times.

2. Three paths for old clothes

After recycled clothing enters the processing stage, it usually goes through sorting, transportation, crushing, cotton opening and other steps, and finally heads in three directions:

First, refurbishment and resale. Clothes that are out of style but still in relatively new condition, as well as items worn for only one or two seasons such as school uniforms collected during graduation season, can be refurbished and sold again or exported overseas, with Africa as the main destination.

Second, crushing and regeneration. Old clothes that can no longer be worn can be crushed and made into automotive soundproof cotton, greenhouse insulation cotton or recycled fabric.

Third, dismantling accessories. Zippers, buttons and other parts on clothing are removed and sold by material, for example copper zippers fetch a higher price.

Jiang Shicheng, an academician of the Chinese Academy of Engineering, commented that recycling and reusing old clothes is part of the new economy and new growth drivers, and will spawn a hundred-billion-yuan industry.

3. Why Africa's market snaps up Chinese old clothes

In some underdeveloped and poor regions, residents have limited clothing options. Africa is one of the main markets for China's old-clothing exports, and there are dedicated second-hand clothing markets locally, which are even more popular than new-clothing stores.

Chinese old clothes are popular in Africa for two reasons: better fabric quality and low prices. Old clothes are generally more than half cheaper than new clothes, making them a cost-effective choice for African regions with lower GDP per capita.

According to a Fujian businessman specializing in exports, high-quality clothes just unpacked are often snapped up within a few hours, and he can basically achieve 200,000 yuan in sales every day.

4. The "gray area" of donation bins

In addition to commercial recycling, many places also have large numbers of old-clothing donation bins in the name of "environmental protection" and "public welfare," some operated by recycling platforms. But the actual destination of donated clothing is not transparent.

According to the article, donated clothing is sorted into different grades, and only 10%-15% meets donation standards, then it must go through washing, disinfection and other steps before reaching recipients. A public welfare organization once transported 8 large bags of clothing to a village in a mountainous area, but in the end only 10% was donated, which works out to a donation success rate of only about 0.03% of all collected clothing.

Cost is the main reason public welfare donations are hard to sustain. In 2008, donating 3 million pieces of clothing to the south cost about 50 million yuan in processing fees; scattered small-scale processing costs even more.

A reporter's visit found that of two old-clothing donation bins placed in a community in Nanjing, one belonged to the Nanjing Red Cross, while the other was marked only with a contact number and the words "environmental protection unit." When the reporter called to ask whether it was doing fundraising, the other party responded, "If you don't believe it, you don't have to donate." A recycling company in Xinxiang, Henan, revealed that making a recycling bin costs only a few hundred yuan, while the clothing collected can sell for several hundred yuan per ton, and there is a "gray area" in between.

For the industry, the export profits and reuse value of old-clothing recycling are already clear, but the transparency of where the bins send clothes and their public welfare nature are still questions this business needs to answer.

Source: Chinese old clothes are snapped up in Africa, selling 200,000 a day! Old-clothing recycling will drive a hundred-billion industry · Originally published on 2022-01-13