The Or Foundation, adidas, BESTSELLER, H&M Group and Inditex have launched the Apparel Recovery Coalition (ARC) with support from Circle Economy. The coalition will explore how reuse, upcycling, recycling and responsible waste management can be supported in countries that receive large volumes of exported second-hand clothing.
The initiative seeks to address the impacts associated with cross-border flows of post-consumer textiles. While producer responsibility systems are largely linked to the markets where products are first sold, used textiles are often exported elsewhere, with the environmental and social impacts felt in recipient countries. According to the European Environment Agency, around 1.4 million tonnes of used textiles are exported from the European Union each year, mainly to countries in Africa and Asia.
First project to focus on Ghana
Over the next two years, ARC plans to develop and test a producer responsibility blueprint that reflects the global nature of post-consumer textile flows. The process will involve brands, producer responsibility organisations (PROs), sorters, recyclers, policymakers and affected communities.
The coalition was launched at Kantamanto Market in Accra, Ghana. According to The Or Foundation, the market, considered one of the world’s largest second-hand clothing hubs, recirculates around 25 million garments every month while supporting the livelihoods of tens of thousands of people.
ARC’s first demonstration project will be carried out in Ghana and will focus on strengthening the country’s existing circular textile ecosystem. As part of the initiative, The Or Foundation will continue its work on infrastructure improvements at Kantamanto Market, environmental remediation efforts and training programmes.
In a second phase, the coalition plans to add at least one further demonstration project in another country that receives significant volumes of imported second-hand textiles. ARC aims to use the evidence and practical learnings generated through these projects to help improve post-consumer textile management systems.
The coalition will operate through an independent foundation registered in the Netherlands. Between 2026 and 2027, adidas, BESTSELLER, H&M Group and Inditex will make voluntary contributions to support circular economy activities in second-hand clothing markets.
