The German waste textiles sector is in a severe crisis. The situation has deteriorated from "very difficult” at the beginning of the year to "dramatically bad” right now, say market participants. "I cannot remember any time that was this tough,” said one sorter who has been active in the industry for more than 35 years.
Markets experts say the reasons for the abrupt downturn are unclear. "Planning has become completely impossible," one exporter commented.
Some contributing factors are identifiable, such as Cameroon’s steeply increased tariffs on imports of waste textiles or stricter controls of exports to Romania. In the Africa business, there is still major competition from both new and used clothing from China.
However, these factors alone are not enough to explain the noticeable drop in purchasing in practically all key markets, according to respondents. Even selling shoes has become more difficult. Sales of wiper rags are described as sluggish.
The same developments are being seen elsewhere in Europe: The Dutch and the British textile recycling associations VHT and TRA warned in separate statements that the sorting sector is close to collapsing.
With sorters' warehouses overflowing, prices for original collected stock softened in Germany, though the price declines reported by EUWID contacts varied widely in light of the difficult market situation.
Read the full market report on waste textiles in Germany and access the current prices and graphing tools here:
