Options for Excess Inventory in the Time of COVID
The textile supply chain is undergoing massive upheaval as a result of Covid-19. Orders are being cancelled, existing inventory is sitting idle and an enormous number of employees have been laid-off or furloughed at every level of the textile supply chain.
Brands and Retailers are looking for palatable options to dispose unsold apparel and textiles, while the second-hand industry is looking for opportunities to play a larger role in reuse and recycling.
The options presented here, in descending order of embedded resource value, are feasible in the US. By retaining value, we benefit our communities through meaningful employment, we mitigate environmental harm by keeping waste out of landfill, and we create economic value for business.
1. Donate to Disaster Relief Agencies
Pro - clothing and other textile items to help in communities affected by disasters; potential tax write-off
Con – finding acceptable organizations within short timeline, collecting and shipping costs
2. Warehouse goods to be used for future seasons
Pro – potential to retain some value in existing goods
Con – the need for warehouse space and carrying costs
3. Reuse through sale in domestic or international markets (3rd party de-brands and sells on)
Pro – affordable clothing is available, potential economic value for brands/retailers, economic value for reseller
Con – merchandise sold in original state including brand/label is a perceived risk
4. Recycle into new products
· Disassembling items to make new ones from the existing textiles
Pro – potential to maintain some economic value; no need to reprocess into fibers
Con – requires organization; design; the cost to make new products and a sales plan
· Recycle fiber into new fibers and yarns
Pro – making into yarns that have the potential to go into a variety of products.
Con – collection, sorting, feedstock conversation, shipping between steps required and loss of garment value.
· Make into wiping rags
Pro – maintaining some value for fiber companies
Con – likely to be disposed of after short-term use
· Make into insulation and stuffing
Pro – maintain some value for fiber companies
Con – likely to be disposed of after mid- or long-term use
5. Disposal
· Incinerate
Pro – small benefit generating energy
Con – loss of usable material, loss of embedded value, particulate air pollution, reputational risk
· Send to landfill
Pro – none
Con – loss of useable material, loss of embedded value, environmental risk associated with landfill, reputational risk
The signatories to this document believe the above solutions can help with some of the issues currently being experienced in the textile supply chain due to COVID-19. We are convinced that working together is our best option for creating new and better textile supply chains.