Renewcell, a Swedish textile-to-textile recycling innovator, has signed a Letter of Intent with Birla Cellulose, the pulp and fiber business of Grasim Industries Ltd., a flagship company of the Aditya Birla Group and one of the world's largest man-made cellulosic fiber producers, to collaborate on man-made cellulosic fiber production over the long term.

The agreement confirms the two companies' intention to collaborate in the coming years to deliver high-quality Liva Reviva textile fibers created with Circulose®, Renewcell's 100% recycled textile raw material, to global fashion brands and the textile industry. Circulose® will be used in the amount of 30 000 tonnes per year, according to the stated goal. Ekman Group, Renewcell's only global trading partner, handled the agreement.

Patrik Lundström, CEO of Renewcell, said that Birla Cellulose and Renewcell have been working together nearly since the beginning of their company. Throughout the development and ongoing marketing of Circulose®, they have profited from their technical experience and consumer input. With recent trial achievements, increasing fashion brand demand, and the imminent commissioning of their new commercial-scale recycling plant in Sundsvall, Sweden, the moment has come to move forward with large-scale commercial collaboration. They will cooperate with Birla Cellulose, a global leader in viscose, to make fashion circular and lessen its negative impact on the climate and environment.

Mr H K Agrawal, Managing Director, Grasim Industries Limited, said that Birla Cellulose is pleased to announce the extension of its relationship with Renewcell for the expansion of its circular fiber offering - Liva Reviva. Liva Reviva is a testament to its dedication to circularity and sustainability since it is the first commercially available viscose fiber made from recycled feedstock. They’re excited to cooperate with innovators in order to increase the production of circular fibers to 100,000 tonnes per year by 2024. They anticipate that their collaboration with Renewcell will help them provide high-quality Liva Reviva to their valued customers.

The Letter of Intent signed by Renewcell and Grasim Industries Limited lays the groundwork for the parties' impending offtake agreement. The future offtake agreement will outline the commercial arrangements for delivering specific volumes of Circulose® dissolving pulp to Birla Cellulose over a period of time. Birla Cellulose plans to employ Circulose® as one of the feedstocks in the production of man-made cellulosic fibers under the Liva Reviva brand, which will be sold to textile and fashion companies throughout the world.