Sustainability in consumer generated textile waste and disposal practices is a concern due to the raw materials requirements and its impact to the environment. With the Swedish government set to implement the 'Extended Producer Responsibility' legislation for textiles due to these concerns, textile sorting / recycling facilities are critical to achieve improved end-of-life consumer textile recycling. For profitability, the textile sorting / recycling operations have to be done at a scale that optimizes the opportunities. This thesis work investigates the current state and challenges of textile sorting in Sweden and researches solutions towards the scaling-up or capacity expansion of the existing textile sorting facility at Wargön Innovation from 500 tons/year to 1000 tons/year as well as application of lean manufacturing methodologies in optimisation while creating value within the supply chain. To fully grasp the situationat Wargön Innovation, detailed interviews, observations, process and equipment trails were conducted. Based on the current state, a layout was developed and sorting process flow created as well as a spaghetti diagram. Also, 3D modelling and process simulation of the sorting was carried out using Visual Components software to develop simple and yet visually powerful designs that validated the proffered solutions. To scale-up, it was established that air-throwers will need to be installed for sorted textile diversion to allow for higher sorting rates. Solutions towards improving the sorting process and value chain at Wargön Innovation was also proffered and recommendations included post-consumer textiles segregation at source, customer/suppliers diversification etc. For recommended further works, the area of automation of the manual pre-sorting process to eliminate manual handling will be another area of interest for which continued work is suggested.