The European Union (EU) has put forth a groundbreaking proposal on July 5, which will require fashion companies to finance the collection, sorting, and recycling of textile waste. 

This move comes as part of the EU's strategy for sustainable and circular textiles, aimed at addressing the environmental impact of textile production and consumption. Under the proposal, EU member countries will introduce harmonized Extended Producer Responsibility (EPR) schemes at the national level. 

Manufacturers will be obligated to cover the costs of textile waste management, with fees based on the level of pollution caused—a concept known as "eco-modulation." The intention is to incentivize waste reduction and promote the circularity of textile products. 

While environmental groups appreciate the increased accountability for producers, they express concerns about potential loopholes and delays in the legislation. 

They argue that the focus should extend beyond waste management to encompass waste prevention targets and improvements in product design. Although harmonized EPR schemes are seen as a step in the right direction, experts emphasize the need for a more comprehensive transformation towards circular product design and business models to address the root causes of textile waste.