Transitioning Toward Circularity in Apparel Global Value Chains: The CREATE Project
The CREATE Project (Circular Economy in Bangladesh’s Apparel Industry) is a Danish Ministry of Foreign Affairs–funded initiative aiming to examine the circularity shift in apparel Global Value Chains (GVCs) and explore the challenges and opportunities this presents to Bangladesh’s apparel export industry. It applies a multi-scalar approach, examining dynamics from supplier firm capabilities and business strategies to buyer-supplier relations and the broader industry ecosystem.
Four-Axis Transformation via the CREATE Project
1. Data – Mapping current resource use, waste generation, and recycling potential across firms and industry infrastructure; baseline studies of waste flows and system readiness; insights to guide strategic interventions.
2. Capacity Building / Technical Assistance – Developing diagnostics and tools to assess firm-level capabilities and costs; supporting stakeholders to understand circular economy principles and integrate them into operational strategy.
3. Technology / Machinery – Identifying the technological and structural requirements for moving to circular production models, including infrastructure for waste recycling and reuse at both firm and industry levels.
4. Policy – Formulating evidence-based policy recommendations to support circular economy transitions, such as incentives for recycling, resource-efficient practices, and enabling institutional frameworks.
Strategic Impact & Value Proposition (2022–2027)
Enhanced Value Retention: By enabling circular practices—recycling, waste valorization, and industrial linkages—the project helps Bangladesh’s apparel sector retain greater value domestically, countering its traditional position at the lower end of GVCs.
Environmental Sustainability: Circularity reduces resource consumption (energy, water, raw inputs) and waste generation, supporting climate goals and sustainable economic development.
Industrial Linkages & Innovation: The transition can catalyze new activities—like textile recycling, downstream processing, and secondary markets—promoting green industrialization and generating new employment opportunities.
Inclusive Growth: A systems-level approach ensures benefits extend across industry segments from small-scale suppliers to larger firms building capacity and resilience across the value chain.