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This study examines the transformation of Albania’s garment and footwear sector within global value chains, focusing on the adoption of circular economy and clean production practices. Traditionally dominated by low-value Cut-Make-Trim (CMT) operations, the sector is gradually transitioning toward full-cycle, value-added production encompassing design, branding, and logistics. Using a mixed-methods approach, we analyze national statistics from INSTAT, trade data from the Albanian Customs Authority, and industry insights from ProEksport Association, complemented by in-depth case studies of MatilPro sh.p.k., DBS Group Albania, and EFA Solution/Prodyn Albania. Findings reveal that circular economy initiatives, such as MatilPro sh.p.k recycling of textile offcuts into pillow fillings, DBS Group’s energy-efficient machinery and zero-gap cutting, and EFA Solution’s automated stock tracking and warehouse management, reduce waste, optimize resource use, and improve environmental performance. These firm-level strategies demonstrate that integrating sustainability and operational efficiency into production processes enhances competitiveness and market positioning within European supply chains. The study provides data-driven evidence of how small economies can implement circular economy practices while strengthening industrial efficiency, traceability, and environmental sustainability. Policy implications emphasize technological adoption, workforce upskilling, and market diversification to reinforce Albania’s position as a flexible, sustainable, and innovation-driven hub in the European apparel and footwear industry.

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Clean, Green, and Competitive: Advancing Albania’s Garment and Footwear Industry Through Circular Economy

  • 会议论文

  • 发表日期：

    2026年

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  • Albana Leti,
  • Ermira Shehi,
  • Eralda Xhafka,
  • Silva Spahija

摘要

This study examines the transformation of Albania’s garment and footwear sector within global value chains, focusing on the adoption of circular economy and clean production practices. Traditionally dominated by low-value Cut-Make-Trim (CMT) operations, the sector is gradually transitioning toward full-cycle, value-added production encompassing design, branding, and logistics. Using a mixed-methods approach, we analyze national statistics from INSTAT, trade data from the Albanian Customs Authority, and industry insights from ProEksport Association, complemented by in-depth case studies of MatilPro sh.p.k., DBS Group Albania, and EFA Solution/Prodyn Albania. Findings reveal that circular economy initiatives, such as MatilPro sh.p.k recycling of textile offcuts into pillow fillings, DBS Group’s energy-efficient machinery and zero-gap cutting, and EFA Solution’s automated stock tracking and warehouse management, reduce waste, optimize resource use, and improve environmental performance. These firm-level strategies demonstrate that integrating sustainability and operational efficiency into production processes enhances competitiveness and market positioning within European supply chains. The study provides data-driven evidence of how small economies can implement circular economy practices while strengthening industrial efficiency, traceability, and environmental sustainability. Policy implications emphasize technological adoption, workforce upskilling, and market diversification to reinforce Albania’s position as a flexible, sustainable, and innovation-driven hub in the European apparel and footwear industry.