Recycling Powerhouse Launches Franchise Model to Scale Global Textile Recycling

Swiss-based joint venture Recycling Powerhouse has unveiled a franchise-based business model aimed at expanding industrial-scale textile fibre recycling worldwide. Formed by textile technology companies Rieter Group, Säntis Textiles and Belgian sorting specialist Valvan, the venture seeks to standardize textile recycling operations and increase the production of certified recycled yarn from post- and pre-consumer textile waste.

The company’s first franchise is scheduled to begin operations in Q1 2027 through a partnership with Suhail Industrial Holding Group in Qatar, marking the initial step in building an international network of textile recycling facilities.

Recycling Powerhouse plans to establish recycling plants capable of converting discarded textiles into high-quality yarn using standardized technologies and operating procedures. The company noted that only about 1% of used textiles are currently recycled worldwide, highlighting the significant opportunity to expand fibre-to-fibre recycling capacity.

Under the franchise model, partners will receive access to Recycling Powerhouse’s recycling technologies, engineering expertise, digital tools, operating procedures, training programmes and technical support. The company will also provide auditing, certification and end-to-end traceability services to ensure consistent product quality across its global network.

Yarns produced by franchise operators will be marketed under a common brand, with traceability systems designed to verify the recycled content throughout the supply chain. 

Each founding partner contributes specialized expertise to the platform. Rieter provides textile tearing and short-staple spinning technologies, while Valvan supplies automated textile sorting systems, including its AI-enabled Fibersort technology. Säntis Textiles contributes textile engineering capabilities to support industrial-scale recycling operations.

The first franchise partner, Suhail Industrial Holding Group, is one of the Middle East's established recyclers of metals, steel and plastics. Through the partnership, the company plans to expand its business into textile recycling as demand grows for circular textile solutions.

“Our mission is to make textile recycling simple, scalable and accessible to investors, so they can turn the textile industry’s tectonic shifts into monumental opportunity while helping to solve the world's growing textile waste problem,” said Noel Norking, Managing Director of Recycling Powerhouse.

Rieter Chief Executive Officer Thomas Oetterli said the venture combines the company’s spinning and recycling expertise with advanced traceability technologies to create new opportunities across recycling equipment, engineering services and recycled yarn production.

Frank Vandeputte, owner of the Valvan Group, said effective textile recycling begins with the ability to accurately separate waste into high-purity material streams, highlighting the importance of automated sorting technologies in scaling fibre recycling.

Source: Recycling International

SUNSHINE Spotlight: Recycling Powerhouse’s franchise model aims to accelerate global textile recycling by combining standardized processing technologies, AI-based sorting and certified recycled yarn production within a scalable international network.