As GLAESER Group, you operate in various fields, supplying sectors such as industrial hygiene and agriculture. You recycle used textiles and produce polyester fibers with Märkische Faser. In addition, you sell fabrics, haberdashery, and home textiles in your own stores and even sewing machines through stoffe24.com. What role do used clothing collection and surplus material recycling play in your business model?

Recycling is the DNA of our company, from which everything has developed. When our company was founded in 1888, we only dealt with waste from the clothing industry. We collected these materials from manufacturers in the Swabian Alb region and created all kinds of products from them. At some point, my father also began taking in second-choice knitwear and woven fabrics from textile manufacturers. The knitwear business developed into a division that now focuses on hygiene products and, together with a subsidiary in Bremen, produces disinfectant textiles for clinics, for example. For woven fabrics, we developed a retail approach. And from a charitable activity started by my father, used clothing collection emerged. Today, we have around 2,000 used clothing and shoe collection containers installed, including our newly developed greenbox model — collection containers with insect nesting aids and green roofs. Finally, 20 years ago, we acquired a large chemical company in Brandenburg, Märkische Faser.

Out of insolvency.

Yes. Everyone thought we were crazy, saying that producing in Germany was pointless and so on. But I already know that I am a little crazy; nobody needs to tell me that now. Our vision was simply to be better than the Chinese. And to use the “raw materials” we have here in Germany: waste. That is how we entered recycling and, for example, processed PET bottles into fibers.

With so much merchandise currently on the market, you should not run out of supply. Think of Shein and Temu. There is concern that, due to US tariffs, Chinese companies may now push even more goods onto the European market at dumping prices. The market is being flooded. We have reached the point where used clothing collection is collapsing and collection containers are being removed. The industry is in crisis. A leading provider such as Soex has even had to file for insolvency. How can this happen?

The increased supply leads to falling prices for used goods. Recycling often no longer pays off. The problem is that textiles are made from so many different materials. Conventional textile recycling ultimately only results in downcycling. From many items, I can only produce insulation materials or cleaning cloths.

“Destroying goods is not a desirable option for us as resource preservers. In my opinion, this should be prohibited or at least morally condemned. It is better to organize re-use in a meaningful way.”

How does your company deal with this?

In addition to recycling, we are actively promoting re-use. Destroying goods is not a desirable option for us as resource preservers. It cannot be that products created through value generation and carrying an ecological footprint are burned for marketing reasons or out of convenience. In my opinion, this should be prohibited or at least morally condemned. It is better to organize re-use in a meaningful way.

Do you know the extent to which goods are being destroyed?

No. But unfortunately, it does happen. Even municipalities reportedly admit privately that they burn items from used clothing collections because resale is currently very difficult.

Years ago, I was on a stage with the former CEO of Louis Vuitton and asked him what they did with unsellable products, which every manufacturer has. His answer was: “We destroy them.” To keep the sales channel clean.

Yes. That is crazy. It is an enormous destruction of assets, raw materials, and resources. That is why we advocate for re-use.

What do you mean by that?

We resell the goods — collected used clothing as well as unsellable new goods from manufacturers and retailers. For example, to Africa.

This practice is also viewed critically by some because it can flood local markets and displace local producers. 

Today, far more people in Africa are involved in altering and tailoring used clothing than have ever worked in the textile industry. These people are not working at looms, but they are active in logistics, tailoring, and finishing used clothing and newly manufactured garments.

Well.

My point is that if companies have made the decision to produce goods, they also have a responsibility for those goods. So why not give these products a second life? That is certainly better than burning them.

It is not only about second-hand goods. Do you also process new goods?

The business with new goods is becoming increasingly important for us. These include industrial surplus, excess stock from retailers, and goods from business closures that we purchase. Of course, not at the prices originally expected. But before these items are discarded somewhere, we have channels where they can still be put to meaningful use.

What prices per kilogram can be achieved?

That depends. It ranges from €0.50 to €10 per kilogram — and for the best premium goods from very high-quality brands, even more. Ultimately, resale also provides interesting tax depreciation benefits for the sellers.

And you ship these goods to Africa, and the branded products then return through the grey market to retailers like Kik & Co.?

I am very sure that the goods do not come back. Container shipping costs money as well. We sell in comparatively small quantities, so it is not worthwhile for large-scale re-importers.

“For me, the Green Deal is largely greenwashing and completely hostile to industry. Much of it is simply not feasible.”

Some see the solution to the recycling problem in new technologies.

That is why, as a group of companies, we continue to focus on used clothing collection and the processing of new goods. This is our access to raw materials. I can imagine that in five or ten years, the industrial processing of blended fabrics may also become possible.

Aren't there already some initial approaches? They are just too expensive at the moment?

That is exactly the problem. But I assume that this will continue to develop.

What do you think about the regulations that have already been adopted by the EU?

For me, the Green Deal is largely greenwashing and absolutely hostile to industry. Unfortunately, I have to say that. Much of it is simply not feasible. You may know the joke that was circulating about the traffic light coalition two or three years ago?

Tell us.

What happens if the power goes out? The traffic lights no longer work, and the right-before-left rule applies … I am not necessarily a supporter of political “right before left.” But we must not overdo green regulation either. We simply need a clear approach that is also realistic. Why do some clothing products have to consist of such a mixture of materials? Cotton, viscose, various foam products, metal, fasteners, zippers.

Because the materials serve a function?

As a polyester expert, I say: You could make a lot of things from polyester. Then I put it into a machine, melt it down, and it is done. If manufacturers were required to present a recycling concept for every product, we might make more progress.

How confident are you that we will achieve better solutions in the next five to ten years?

I am naturally a hopeless optimist.