WUHAN, Nov. 23 (Xinhua) -- An investment fund will channel billions of yuan into establishing a textile recycling base in Huanggang City, central China's Hubei Province.
The Yangtze River Economic Belt Industry Fund will provide 13.5 billion yuan (1.9 billion U.S. dollars) to recycle textile waste and turn it into environmentally friendly material.
Head of the fund Wang Hanbing described recycling, just one the emerging industries the fund is looking for, as like "washing gold out of waste."
Currently, only 10 percent of China's textile waste is recycled. The textile industry consumes 50 million tonnes of polyester fiber every year and the recyclable resource has a huge market.
Huanggang government confirmed on Tuesday that the recycling base will start production in 2017 is expected to provide 20,000 jobs. The annual production capacity of the base is set to reach 1 million tonnes within five years and double that amount again five years later.
The Huanggang center is expected to use polyvinyl degradation technology made by Lyuyu Co.
The Yangtze River Economic Belt Industry Fund was started by Hubei provincial government in 2015 with 40 billion yuan. It has now raised 160 billion yuan from China and abroad. he fund mainly targets new energy, new materials, chip manufacturing, aeronautics and aviation sectors.