Conclusions fromthe 2023-26Morocco TextileCircularity project Closing the loop:Scaling circularityin Morocco’s textileindustry Conclusions from the 2023-26Morocco Textile Circularity project About IFC IFC — a member of the World Bank Group — is the largest global development institutionfocused on the private sector in emerging markets. We work in more than 100 countries,using our capital, expertise, and influence to create markets and opportunities in develo-ping countries. In fiscal year 2025, IFC committed a record $71.7 billion to private compa-nies and financial institutions in developing countries, leveraging private sector solutionsand mobilizing private capital to create a world free of poverty on a livable planet. Formore information,visit www.ifc.org. © International Finance Corporation 2026. Some rights reserved.2121 Pennsylvania Avenue, N.W.Washington, D.C. 20433Internet: www.ifc.org The material in this work is copyrighted. Copying and/or transmitting portions or all ofthis work without permission may be a violation of applicable law. IFC does not gua-rantee the accuracy, reliability or completeness of the content included in this work, orfor the conclusions or judgments described herein, and accepts no responsibility orlia-bility for any omissions or errors (including, without limitation, typographical errors andtechnical errors) in the content whatsoever or for reliance thereon. The findings, interpretations, and conclusions expressed in this volume do not necessa-rily reflect the views of the Executive Directors of The World Bank or the governmentsthey represent. Acknowledgments In 2023, IFC launched the Morocco Textile Circularity project, and established the Morocco TextileCircularity Exchange (the Exchange), a multi-stakeholder initiative that brings together Moroc-can public institutions, industry experts, international technical partners, brands, manufactur-ers, collectors, recyclers, and development partners. Over three years, the Exchange worked totest the operational feasibility of circular textile value chains, generate environmental and eco-nomic evidence, identify regulatory and market barriers, and build a multi-stakeholder platformaround textile circularity. This publication compiles the Exchange’s findings and key learnings, and sets out the strategicimplications and regulatory requirements needed to advance circular models of production inMorocco’s apparel sector. This report was written by Robert Carmichael, author and editor, under the direction of EleonoreRichardson, Operations Officer at the International Finance Corporation (IFC). Throughout thedrafting and consultation process, valuable inputs were also provided by IFC’s Amine Kabbaj,Redouane Lachgar, Cristina Navarrete Moreno, Fatima Zohra Alaoui and Othmane Alaoui Ben-hachem. This work would not have been possible without the generous support of the Government ofSpain, through its Ministry of Economy, Commerce and Business, and the Government of theNetherlands, through its Ministry of Foreign Affairs. IFC also extends its sincere appreciation to Morocco’s Ministry of Industry and Commerce andto AMITH, the Moroccan apparel industry association, for their commitment and unwaveringsupport from the outset of this initiative. We further acknowledge the strong collaboration of theMinistry of Energy Transition and Sustainable Development and FEDERCC, the Moroccan feder-ation of collectors and recyclers, whose engagement helped advance a shared vision for textilecircularity in Morocco. The success of the pilot activities also depended on the hard work, active engagement, generoussharing of expertise, and sustained dialogue among all project participants, including collectors,recyclers, manufacturers, and international buyers. IFC also wishes to recognize Accelerating Circularity for convening the meetings of the Exchangeand for facilitating constructive dialogue among industry stakeholders throughout the initiative,helping to foster the collaboration and shared understanding that underpinned the project’sprogress. IFC would like to extend its particular appreciation to Karla Magruder, as well as Mar-tha Willis and Petra Schweiger, whose technical expertise, guidance, and commitment were in-strumental to the implementation of the initiative and the successful delivery of its pilot activitiesand stakeholder engagement processes. Table of Contents Foreword11 Executive summary 12 Introduction: From waste to value: Making textile circularity real15 Textile waste management in Morocco: ATPA and Law 28.0020Market challenges in advancing circularity22Beyond ATPA and Law 28.00: Further policy and regulatory issues22The need to act: Aligning with EU market requirements23 Part 2. Beyond the blueprint: IFC’s mission to build a circular textile economy Part 3. Real world, real waste, real results: Putting circularity to the test29 Key findings30Costs30Uptake31Technical considerations31Lessons learned31 Part 4. Measu