What REALLY Happens to Donated Clothes in Australia?

what happens to donated clothes

This post was last updated in 2022

 

When people donate clothes to charities, they are under the impression they are given away or resold at a lower price point, to help those in need in Australia. But that’s not always the case. 

With fast fashion being what it is and Australians purchasing and discarding clothing at an alarming rate, the quantity of clothing flowing into charities has rapidly increased. And that has created a situation where – by necessity – items donated to charities do not go to those in need.

 
When you donate clothing to charities in Australia, it is either sold in a second-hand store, repurposed within Australia into rags or something else of use, sold to rag traders overseas or sent to landfill as waste. A small percentage is given to those in need in Australia. 
 
And all this varies, depending on the charity the clothes are donated to. 
 

You will find further information on this topic below. Specifically, I look at the questions:

No doubt you are here because you have heard reports of donations ending up overseas in landfill. Does this concern you? It is concerning and worth learning more about, so I do cover that here. 

 

 

What happens to clothes given to Australian charities?

Charitable Recycling Australia is a national network representing “reuse and recycling enterprises”. In 2021 they commissioned independent market researchers MRA Consulting Group to gather data from 27 Charitable Reuse and Recycling Sector Enterprises, representing 54% of the charity shops in Australia.
 
Use of Donated Clothing PercentTonnes
Sold in Charity Shop16.50%51,202
Repurposed Domestically36%111,714
Exported for Reuse in Developing Countries33%102,404
Provided as Welfare0.50%1,552
Waste to Landfill14.00%43,444
Source: https://www.charitablerecycling.org.au/education/charitable-impact/

This split will vary from charity to charity. 

 
For example, Karina Seljak from the Seljak Brand reported this, after she had volunteered at the Smith Family sorting facility: 
  • 3% is sold at The Smith Family retail stores.
  • 2% is used for rags sent to mechanical industries. 
  • 50% is exported as Smith Australian Mix-Summer (SAMS). Shorts, t-shirts and summer dresses are all baled up together and shipped to Dubai and Malaysia to either be worn or sorted and re-baled and sent to African nations. 
  • 5% is sent to export markets in the middle east and Asia. This is where the winter clothing goes. 
  • 14% is shipped off as Processing Engineered Fuel (PEF) which powers cement factories in Asia. 
  • 16% ends up as landfill. 
The SCR group is a commercial operation that collects unwanted clothing to redistribute them to charities and sell them to overseas markets. 
 
  • 5% are resold by local charities
  • 65% goes to Malaysia for international redistribution 
  • 15% is recycled 
  • 15% is burnt for fuel 
So what happens to donated clothing can vary depending on the organisation they are donated to. In some cases, the majority of the clothing is shipped overseas. 
 

How much donated clothing is thrown away in Australia?

The major charities in Australia report that 14% of donated clothing ends up in landfill. This isn’t because charities aren’t committed to reuse and recycling – it is just an inevitable consequence of the poor quality and sheer quantity of products being sent to them as donations. 
 
Based on my reading, there are several reasons why this occurs: 
  • Illegal dumping in front of charity stores or outside charity bins exposes clothing to the elements. These end up being ruined beyond repair. 
  • People donate clothing that is not fit for wear, including items that are stained, torn, smelly or mouldy. 
  • It is not possible to recycle most clothing because the materials are difficult to recycle and the technology does not exist.
  • It is possible to recycle however the processing facilities do not exist in Australia at present or it is not fully developed. 
If charities are receiving clothing not fit for wear and there is a cap on what they can send to recyclers, they will need to send clothing to landfill. 
 
The National Association of Charitable Recycling Organisations’ chief executive, Omer Soker, told The Sydney Morning Herald that charities spent $13 million each year disposing of unusable donations. This money comes out of charitable funds and is a significant cost to their business. 
 
This can be avoided by ensuring what you donate to charities is of very high quality. And of course, by not dumping clothing outside of the store or outside clothing bins. 
 

 

If you want to know more about what condition your clothes need to be in so it doesn’t end up in landfill, have a read of Donating Clothing? Know What You Can or Can’t Donate. 

 
Even then, there is still a possibility that your clothes will end up in landfill. This can happen if the clothes are chosen to be shipped overseas.  
 

What happens to clothes that charities can't sell?

Clothing that can not be sold by charities is either repurposed domestically as rags or sold overseas as part of the used clothing export market. From there it can flood local markets and end up causing an environmental catastrophe in the country the “donations” were meant to help.

 

No doubt it is the selling of clothes overseas that you are most concerned about. 

 

The most comprehensive report on this was conducted by the ABC, which looked at what happened to clothes sold to Ghana. This Foreign Correspondent report summaries the ABC report: 

 
If you play the video from the section marked, you will hear an account from a rag trader that imports bales of used clothing from Australia. You see him open up the bale of women’s jackets and how he sorts through it. 
 
In the end, he shows that in a bale of 180 – 200 pieces that cost him $92, he was able to find 7 pieces worth selling. The rest he sent to landfill. 
 
A significant loss for him. And a terrible cost to the environment. 
 
The ABC report looked at a market in Ghana and they estimate that 40% of the 15 million used clothing sent from the UK, Europe, North America and Australia end up in landfill. 
 
And these landfill sites are filling fast. And fires have erupted at these sites, most likely because of the sheer quantity of clothes and trapped methane gas creating conditions for a fire to occur easily. 
 
And not all the clothing discarded makes its way to landfill. Some are piled up and burned on location, creating black clouds of smoke. Others are cast aside in unofficial landfill sites, where storms and winds wash the clothing into drainage and stormwater pipes, with clothing ending up in waterways, the sea, flooding pipes and causing floods and associated diseases. 
 
In short, some of the clothing sold to overseas markets end up causing an environmental catastrophe in the countries they are meant to help. 
 
african textiles
 
While the report focused on Ghana, it’s a similar story in other African nations, where a lot of the used clothing bales are sold in the second hand clothing market. Worst still, attempts by African nations to ban these imports have been met with strong opposition by the US in particular. 
 
When Rwanda maintained a ban because they wanted to revive their local textile market, the country lost some of its duty-free privileges on exports to the US. 
 
Interestingly, a BBC report notes that “since Rwanda imposed its tariffs on second-hand clothing imports, government data shows the value of its home-grown textile industry has increased from about $7m to $9m.” While that can’t be directly attributed to the textiles ban, it is interesting to note. 
 
While many charities in Australia do not directly sell to Africa, our exports can potentially end up there. 
 
The ABC reports: 

Australians donate 310,000 tonnes of clothing to charities every year... But one-third of these clothes can’t be sold in local op shops. Instead, they are shipped overseas. Charities sell them to Australian exporters for around 50 cents a kilogram. They’re then exported to Malaysia, Pakistan and the UAE for sorting into bales based on their market segment, for example, “men’s shirts” or “women’s jackets”. Those bales are then sold to importers in Eastern Europe, the Pacific and Africa. Once these garments arrive in those markets, many end up in landfill

That said, this is only part of the story when it comes to the second-hand export market. No doubt it is a key part of the story that needs to be kept in mind, but it is only one part. 
 
Stats from the OEC shows, there are a variety of countries that import used clothing, so what happens to exported clothing can vary as a result:
 
clothing imports
Source: Importers of used clothing in 2020, OEC https://oec.world/en/profile/hs/used-clothing
 
One key argument in support of these markets is the fact that imported second-hand clothing provides income to those that purchase the imports. If the quality of goods is high, these importers can make a sizable profit by selling clothes on eBay, Etsy and other online markets. 
 
According to Adam Minter, author of Secondhand: Travels in the New Global Garage Sale, some countries like those in northern Africa do not have the infrastructure to sell clothing on the online second-hand market. But others like Kenya and Malaysia, have the logistics and familiarity with e-commerce to take advantage of the online resale market. They know how to take used goods and sell them online for a profit. 
 
This seems to work pretty well when these countries receive high-quality items as imports, specifically excess stock items or high-quality vintage pieces. 
 
 
And there are probably other stories, which would explain why the second-hand export market is so large and ever-present. 
 
It is a huge industry that employs quite a lot of people. 
 
 
But it does seem that employment in this industry is precarious and profits are not guaranteed. And it is a shame that in some cases vibrant local textiles industries are displaced because they can’t compete with second-hand goods. 
 
So there is no simple answer to what happens to clothes exported overseas and whether it is a good thing or not – a wide range of things can happen, with varying consequences. 
 

Why would Australian charities support these activities?

In defence of this practice, Charitable Recycling Australia notes on their website: 

Some clothing is exported, and these are also donated items intended for reuse. The only difference between exported items and the items sold in op shops, is that they are of a slightly lesser grade without a viable reuse/resale market in Australia – but perfectly ideal and in high demand for developing countries overseas with consumers of limited purchasing power. In addition to serving a vital need overseas, the export trade generates millions of dollars in revenue for Australian charities, which goes directly toward social welfare programs for the most disadvantaged people and communities at home.

The claim that second-hand exports are “also donated items intended for reuse” is a little weak, given they are sold overseas and what happens to them once they are sold overseas can vary.
 

If items exported overseas were high quality and the quantities were not overwhelming, I imagine the problems noted in the ABC report could not be attributed to the used clothing sold by Australia. 

 
However, the quality of clothes we send overseas is not always the best. I could see that reading some of the comments on the Foreign Correspondent report on YouTube (shown above): 
 
 
So there is a risk that Australian donations end up in landfill overseas. 
 

The argument that these exports support the overseas reuse market is persuasive if you are not concerned with its unintended consequences. But given the potential for these exports to displace local textile markets, create unstable employment for those overseas and create situations where countries are disadvantaged, with textiles ending up in landfill and causing environmental damage – it’s not the strongest argument. 

 

But the second part of the quote above is important to note. 
 
In a submission made to the government, the National Association of Charitable Recycling Organisations Inc argued that:
Protecting the export trade in clothing textiles needs to be an important priority for the Government. Should the export of clothing textiles be undermined by misrepresentations, the negative consequences on the Australian environment, on Australian charities and therefore on those in need in Australia would be serious. Clothing textile exports serve Australia well.
Truth is, this business model allows Australian charities to earn funds by offloading goods that do not sell well in Australia.
 
According to OEC stats, Australia received $50 million in 2020 from the export of second-hand clothing. We are not the largest player in this market, as seen in the diagram below, but that does not mean that we do not play a part.
 
clothing exports
Source: Exporters of used clothing in 2020, OEC https://oec.world/en/profile/hs/used-clothing
 
Considering the submissions the charitable sector has lodged to the government, it clearly relies on the used clothing export market to fund its activities and this may go a long way to explain why charities would continue to sell clothing overseas.
 

Does this apply to all charities?

A lot of what I have referenced about charities has come from Charitable Recycling Australia, which represents the majority of the retail charities out there. But there are other charities that operate differently.
 
On one end you have commercial operators that seem like charities but are nothing of the sort. These include:
  • SCR group –  the Sydney Morning Herald notes that 65% of their clothing donations is sold to Malaysia for international redistribution 
  • Clothing Clean Up –  70% is shipped and recycled overseas 
  • King Cotton – they note 95% of collections is reused and reworn in third-world countries.
They state they give donated clothing to charities for reuse but the majority of the goods donated to them are sold overseas. 
 
King Cotton is one to be aware of – they operate several clothing bins around Australia, many of which are branded with the words “Make a Wish”. King Cotton does donate money to the Make a Wish foundation however we should be aware that clothing placed in these bins are sold overseas for a commercial benefit – they are not donated to those in need through the Make a Wish foundation. 
 
make a wish clothing bin
 
That’s one end of the spectrum.
 

In the middle are the larger charities that accept donations, many of which are represented by Charitable Recycling Australia. So this includes The Salvation Army, St Vincent de Paul Society, Australian Red Cross, Save the Children, Lifeline, Anglicare, RSPCA, Uniting, Good Sammy Enterprises, Red Nose, Uniting, Brotherhood of St Laurence, Family Life, Sacred Heart Mission, Ted Noffs, Helping Hands, Outlook Victoria, Endeavour Foundation, Diabetes, Epilepsy Foundation, Alinea, Link Vision and dozens more. 

 

They tend to export around 33% of donations, as noted previously.

 
And at the other end are charities like Dress for Success and other smaller charitable organisations that take clothing donations and ensure they are given to those in need. They typically do not accept donations that do not fit their needs and have strict quality standards. And they do not sell clothing overseas.
 
So no, not all charities that accept clothing donations sell clothing overseas or send clothing to landfill.
 
For a list of these smaller charities that are worth donating to, check out Where to Donate Clothing in Australia – A Full Guide.
 
 

Is donating clothes to charities a good idea?

Donating to the major charities in Australia may not always be a good idea. It’s a great idea if the quality of the clothes is very high – this will ensure the clothes are sold in Australia and not disposed or sold overseas. If your clothes are looking worn out, it’s not a great idea to donate. 
 
Ultimately whether or not you should donate clothing to charities depends on what you are looking to donate. And your personal values.
 
The used clothing export market is large and Australia is a small player. And it is an industry that does employ a lot of people. 
 
However, when clothing is sent overseas it may end up flooding local markets and end up in landfill. It’s also a sickening cycle where cheap, disposable clothing is made in the Global South, brought by the Global North, to be discarded down the line and sold back to the Global South, once it’s been used and is no longer wanted. 
 
In general, it is not a trade that sits right with me. 
 
So personally the commercial operators that rely heavily on clothing exports are ones I would avoid at all costs – so SCR group, Clothing Cleanup and King Cotton clothing bins. These are not actually charities in any case. 
 
I also don’t like the idea of the major charities selling clothing overseas, so I would look to other options before donating to the major charities like The Salvation Army, Red Cross and St. Vincent de Pauls.  
 
I would look at the smaller charities that donate directly to those in need. 
 
If you want a comprehensive list of the charities that give directly to those in need, have a read of Where to Donate Clothing in Australia – A Full Guide.
 
 
And if donating to large charities can not be avoided, I would ensure that the quality of my donations is high. This lowers the chances that clothing is sold overseas. And if it does send up overseas, it lowers the chances that it would be sent to landfill. 
 
If you want to know where to draw the line with this, have a read of Donating Clothing? Know What You Can or Can’t Donate.
 
 
For clothing from fast fashion brands or anything looking slightly worn, DO NOT DONATE THESE TO CHARITIES. 
 
I would consider other options covered here at What to Do With Clothes that CANNOT be Donated.
 
 
Where you draw the line with all of this may be different to mine. It’s a matter of personal choice and preferences 😊 
 
But hopefully, now you have the information to make an informed decision. 
 
xxx Tahsin 
After more information? You may be interested in....

What to Do With Unwanted Old Clothes – A Complete Guide – for a full list of options, based on how many items you have and what condition they are in

 

The BEST Places to Sell Clothing Online in Australia – a full guide that will help you choose the best place sell your clothes, covering all clothing types and situations  

 

Is Selling Your Clothes Worth It? Tips to Help You Out – a deep dive into selling clothing online, what price to set and what you can do to make the process easier for you

 

Where to Donate Clothing In Australia – A Full Guide – the best places to donate your fit for wear clothing, including what to do with a bulk lot of clothes  

 

Donating Clothing? Know What You Can or Can’t Donate – if you need to know what charities do or do not accept and the condition clothing should be in before you donate 

 

Do charity and thrift stores wash donated clothing? – if you were wondering if charities wash clothing and why clothes from charities smell the same 

 

Throwing Away Old Clothes – Can You and Should You Bin Them? – if you want to know what happens when clothes are thrown into landfill, charity or recycling bins 

 

What to Do With Clothes that CANNOT be Donated – a full guide on what to do with clothes that are not fit for wear 

 

Where to Recycle Clothing in Australia – All Options Covered – a full list of places that accept clothing for recycling, along with details on what REALLY happens when they take your clothes

 

What To Do With Old Underwear and Bras – Practical Tips – if you want to know whether you can donate underwear and bras, as well as practical reuse and recycling options

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