In a remarkable achievement for circular fashion innovation, California-based startup Refiberd, co-founded by Sarika Bajaj and Tushita Gupta, has won the prestigious CFDA x eBay Circular Fashion Fund. The startup received a funding of 300,000 US dollars, which is approximately 2.5 crore rupees in Indian currency. This recognition marks a major milestone not only for Refiberd but also for the future of sustainable fashion and textile recycling.
What is Refiberd?
Refiberd is a cutting-edge startup working on transforming the way textile waste is managed. It addresses one of the biggest challenges in the fashion industry — identifying and recycling discarded fabrics efficiently. Using a unique blend of hyperspectral imaging and artificial intelligence, Refiberd has developed a system that can detect the precise material composition of garments. Whether it is cotton, polyester, blends, or materials with contaminants like dyes and finishes, their technology can classify it with incredible accuracy.
This level of classification is essential for textile-to-textile recycling, where the quality and purity of fibers are crucial for turning old garments into new fabric. Without such precision, a large portion of waste gets downcycled or ends up in landfills.
Why Was Refiberd Chosen?
The CFDA x eBay Circular Fashion Fund recognizes game-changing startups working on real-world solutions to tackle fashion waste. Refiberd stood out due to its scalable technology, innovative use of AI, and practical impact on reducing textile landfill waste. It is estimated that over 84 percent of discarded clothes globally either go to landfills or are incinerated. Less than 1 percent is effectively recycled back into the fashion supply chain.
Refiberd’s model has the potential to divert up to 70 percent of this textile waste toward high-value recycling processes. This means more raw materials recovered, fewer virgin resources consumed, and a substantial reduction in the fashion industry’s environmental footprint.
What Does the Fund Support?
eBay’s Circular Fashion Fund, launched to foster sustainability in fashion, plans to invest around 1.2 million US dollars or nearly 10 crore rupees by the end of 2025. Alongside funding, they also provide business mentorship, technical support, and market access to selected innovators. Refiberd is now one of the flagship startups under this initiative, and the 2.5 crore rupees investment will help the company expand its partnerships with recyclers and scale its AI systems further.
The Road Ahead
With this funding, Refiberd aims to integrate its technology into existing textile sorting and recycling centers. By automating the identification process, recyclers can sort materials more effectively and reduce manual errors. The startup also plans to enhance its AI algorithms to handle even more complex garment types, ensuring that the recycling process becomes faster, smarter, and more sustainable.
Refiberd is also working on data-sharing systems that can help brands trace the lifecycle of their products, enabling greater transparency and accountability in the supply chain. This is a major step toward true circular fashion, where materials are reused, not wasted.
Conclusion
Refiberd’s win is not just a victory for one startup but a sign of changing tides in the global fashion industry. As consumers become more conscious and brands are held accountable for sustainability, technologies like those developed by Refiberd will lead the transformation. With 2.5 crore rupees in funding and growing global recognition, Refiberd is well-positioned to disrupt the fashion waste problem and weave a greener future for fashion.
In a world where fast fashion has caused fast destruction, Refiberd reminds us that with the right technology and intent, we can slow down, clean up, and build a truly circular fashion system.