Bangladesh Textile Pilot Tests Water Recycling and Innovative Financing Model
The textile water recycling pilot in Bangladesh aims to reduce garment manufacturing's environmental impact through innovative technology and financing. Led by Solidaridad Network Asia and QStone Capital, the project features a modular plant capable of recycling 85% of wastewater. Initial results were presented in February 2026. The financing model includes a voluntary surcharge and blockchain-based water credits to fund factory upgrades. The next phase targets zero liquid discharge to enhance cost-effectiveness and environmental benefits.
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The textile water recycling pilot in Bangladesh combines technical innovation with a new financing model to reduce the environmental impact of garment manufacturing. Funded by the Sustainable Manufacturing and Environmental Pollution (SMEP) programme, the project operates a 5m³/hr modular plant at Zaber & Zubair Fabrics in Dhaka, designed to recycle up to 85% of textile wastewater.
Operational costs for recycling range from $0.12 to $0.30 per cubic metre. The financing model proposed by QStone Capital includes a voluntary 1% surcharge at retail checkouts and blockchain-based water credits. The next project phase aims for zero liquid discharge, with results from denim washing trials expected in one month.
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