H &M have announced they would offer a €1m (£0.8 million) grant to five innovators who can reduce the industry's impact on the environmental footprint.
This year’s winners will also gain access to H&M’s innovation acceleration programme ensuring they have the resources to make their idea work.
Last year’s Global Change Award, funded and run by H&M, saw winners like clothes made from citrus by-products and an online marketplace for textile leftovers share the prize.
Entrants this year are asked to focus on recycling in three categories: circular business models, circular materials and circular processes.
The winners are selected by a judging panel, and the money is then divided between them in accordance with an online public vote.