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Fibres/​Yarns

Circular textile fibre partnership formed

Birla Cellulose and Circulose agree to accelerate recycled fibre adoption across the textile value chain.

2nd January 2026

Knitting Industry
 |  Mumbai, India

Knitted Outerwear

Birla Cellulose and Circulose have announced a cooperation agreement aimed at advancing circular textiles and scaling textile recycling initiatives. Under the agreement, Circulose will supply pulp produced from 100% textile waste to Birla Cellulose, which will convert the material into textile fibre products for use across the value chain.

The collaboration is designed to strengthen supply chain resilience and ensure a dependable supply of recycled fibres, supporting the growing demand for more sustainable textile solutions.

Commenting on the agreement, Vadiraj Kulkarni, Business Head at Birla Cellulose, said the partnership represents a significant step in responsible sourcing. He noted that the collaboration reinforces the company’s commitment to delivering high-quality, sustainability-conscious fibre solutions that enable customers and support a circular future.

Jonatan Janmark, CEO of Circulose, highlighted the importance of close collaboration across the value chain to achieve mainstream adoption of circular materials. He said the partnership with Birla Cellulose is a central part of Circulose’s strategy and will help place brands at the centre of scalable circular solutions.

The agreement reflects a shared ambition to accelerate the transition towards a more resilient, transparent and sustainable global textile value chain.

Birla Cellulose, the cellulosic fibres business of the Aditya Birla Group, is a global producer of man-made cellulosic fibres with a strong focus on sustainability. The company operates ten pulp and fibre manufacturing sites using environmentally efficient closed-loop technologies, alongside five advanced research centres.

Circulose is a Swedish sustain-tech company that has developed a patented process to recycle cellulosic textile waste into regenerated textile pulp, supporting the move towards circular fashion.

www.livabybirlacellulose.com

www.circulose.com

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