Renewcell and Birla Cellulose sign Letter of Intent for large scale circular fiber production

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The Swedish textile-to-textile recycling innovator Renewcell has signed a Letter of Intent with Birla Cellulose, the pulp and fibre business of Grasim Industries Ltd. a flagship company of the Aditya Birla Group and one of the world’s largest man-made cellulosic fibre producers, concerning a long-term commercial collaboration for man-made cellulosic fiber production. The agreement affirms the two companies’ intent to work together to supply high quality Liva Reviva textile fibers made using Circulose®, Renewcell’s 100% recycled textile raw material, to global fashion brands and textile industry in the coming years. The shared ambition is to use 30 000 tonnes of Circulose® per year. The agreement has been facilitated by Ekman Group, Renewcell’s exclusive global trading partner.

”Renewcell and Birla Cellulose have collaborated almost since the founding of our company. We have benefited from their technical expertise and customer feedback throughout the development and ongoing commercialization of Circulose®” notes Patrik Lundström, CEO of Renewcell. ”With recent trial successes, growing fashion brand demand, and the upcoming commissioning of our new commercial-scale recycling plant in Sundsvall, Sweden — the time is now right to proceed to large-scale commercial collaboration. Together with Birla Cellulose, a world-leading viscose manufacturer, we will work to make fashion circular and reduce its negative impact on climate and the environment.” Patrik Lundström adds.

”Birla Cellulose is excited to extend its partnership with Renewcell for expansion of its circular fibre offering – Liva Reviva ” Said Mr H K Agrawal, Managing Director, Grasim Industries Limited, ” Liva Reviva is a testimony to our commitment to circularity and sustainability, It is the pioneer commercial scale viscose fibre offering, containing recycled feedstock. We are looking forward to collaborate with innovators with an aim to scale up the circular fibers production to 100,000 tons per annum by 2024. We expect this partnership with Renewcell to play an important role in providing high quality Liva Reviva to our esteemed customers.”

The Letter of Intent signed between Renewcell, and Grasim Industries Limited provides the framework for an upcoming offtake agreement between the parties. The future offtake agreement will set out commercial terms for the delivery of certain volumes of Circulose® dissolving pulp to Birla Cellulose over a number of years. Birla Cellulose intends to use Circulose® as one of the feedstocks in the production of man-made cellulosic fibers under the brand Liva Reviva, to be supplied to textile manufacturers and fashion brands worldwide.

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