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According to the Spanish "National newspaper" website reported on October 9, a research report released by Oxford Economics said that the second-hand clothing industry not only has a positive impact on the environment, but also has "great potential in promoting sustainable economic growth."

The study, entitled "Socio-economic Impact of the second-hand clothing Industry in Africa and the EU-27 +," shows that the sector is estimated to contribute €7 billion ($7.7 billion) overall to the gross domestic product (GDP) of the EU-27 +(EU + UK) in 2023, of which €3 billion comes from direct impacts (employee salaries and profits).

In addition, 150,000 jobs are created in the sector, 73% of which are green jobs, and pay an average of 12% more than the minimum wage in the relevant countries. The sector has created a large number of jobs in less economically developed regions such as Bulgaria, Romania and Poland and boosted female employment, as women make up about 79% of the total number of employees in the sector and are paid the same as men.

The report highlights that in addition to environmental benefits, the industry creates jobs and promotes more sustainable and inclusive economic growth. A thriving second-hand clothing sector can enable countries to accelerate the transition to a more circular textile industry, while delivering significant socio-economic benefits globally.

The study also looked at the impact of second-hand clothing exports in three African countries: Ghana, Kenya and Mozambique. In Ghana, 47% of imported second-hand clothing comes from the EU27 +. The sector contributes $76 million to the country's GDP (of which $35 million is a direct contribution) and creates 65,000 formal and informal jobs. In Kenya, the sector's contribution to GDP is estimated at $17 million (of which direct contribution is $9.2 million) and has created 6,300 formal jobs and at least 68,000 informal jobs. In Mozambique, the sector contributes $10.7 million to GDP (of which $2.7 million is a direct contribution) and creates 5,700 formal jobs and 15,000 informal jobs.

The report highlights that these imports are likely to have an even greater positive impact on African countries in the future, hence the need to create an effective link between the global North and the global South, creating economic value and green jobs at every link.

In particular, the researchers highlight that without the right regulatory framework, this green and sustainable industry risks losing its competitive edge and being replaced by fast fashion giants. The latter has dominated the global textile market with cheap, low-quality new clothing at a huge cost to the environment.

The report warns that without action to strengthen the EU's second-hand clothing sector, Europe's green policy goals, African countries' climate goals and Sustainable Development Goals, particularly those related to poverty, women's integration and responsible consumption, are at risk of being unmet. In particular, the report calls for more support for the industry, as the EU's mandatory textile recycling targets will place greater constraints on operators, who will have to sort more clothing without being able to increase profits.