Latest News: ESG in apparel

The Future Supplier Initiative has launched its first collective financing model in Bangladesh with H&M Group, Gap Inc, Mango and Bestseller to support apparel suppliers with the move towards decarbonisation.

The four fashion companies have committed to the initial decarbonisation programme in Bangladesh and the Future Supplier Initiative is actively recruiting more brands with the hope of expanding to China, India, Vietnam and Türkiye. 

Facilitated by the Fashion Pact and in partnership with the Apparel Impact Institute, Guidehouse and DBS Bank, the initiative offers a collective financing model to support “deep decarbonisation” in the apparel sector.  

The Future Supplier Initiative explains that an estimated 99% of total fashion brand emissions occur within the supply chain (Scope 3), which is why it wants to accelerate the transition to net zero by sharing the financial risks and responsibilities of transitioning to renewable sources in Tier 1 and 2 garment and textile factories.  

The scheme aims to help brands and suppliers to meet their Science-Based Targets (SBTs) and stay within the 1.5 degree pathway. 

Sri-Lanka headquartered clothing maker MAS Holdings has signed a three-year-long supply deal with US-based materials science company Ambercycle for its recycled polyester material Cycora. 

MAS is the first apparel manufacturer to establish an offtake with Ambercycle in its efforts to commercialise circular polyester and reduce the volume of virgin polyester entering the apparel supply chain. 

The deal allows MAS to reserve capacity to use Ambercycle’s cycora material for its customer partners, enabling the recycled fibre producer to scale its production as quickly as possible. 

In February (2024), the European Centre for Innovative Textiles in France recognised cycora as a circular alternative, which still meets the spinnability standards of virgin materials and outperforms other recycled materials. 

The deal is part of MAS’ wider ambition to create more sustainable products by - its 'Plan for Change', specifically its key objective to source half of its revenue from sustainable products by 2025. 

MAS’ director of group sustainable business Nemanthie Kooragamage said: “We're committed to revolutionising apparel product creation and manufacturing, and this collaboration is an important milestone for the industry to achieve circularity at scale. 

The Tunisia textile and apparel industry launched its Tunisian Textile Green Transition (TTGT) project in April to become more innovative, smart, and ecological, and meet international sustainability requirements.

The initiative aims to recycle 90% of wastewater released by the apparel industry, reduce companies' carbon footprints by 30%, use 100% renewable electricity, cut textile solid waste by 50% and certify 100 textile companies to meet International Organization for Standardization’s (ISO) environmental and energy management standards by 2030.

Representing 1,600 companies, the Tunisian Federation for Textiles and Garments (Fédération Tunisienne du Textile et de l'Habillement – FTTH) is leading the initiative. It is doing so in partnership with the UN’s International Trade Centre’s (ITC) Global Textile and Clothing Programme (GTEX) and the Dutch governmental Centre for the Promotion of Imports (CBI) as well as several ministries, including the ministry of higher education and scientific research.

A key concern is Tunisia’s exposure to the European Union’s (EU) Carbon Border Adjustment Mechanism which from 2026 will price carbon emitted during the production of carbon intensive goods entering the bloc – effectively a new eco-tax. In 2022, 98.1% of Tunisia’s electricity was derived from natural gas, which could impact Tunisian exports to the EU.

Rim Jelassi, general coordinator at the FTTH told Just Style: “People realised the need to work in an ecologically responsible way because they see each summer here is increasingly infernal.”

The project also aims to create a more circular economy in which companies cooperate to boost creativity and innovation that tackle fashion production problems. To do this, raising the industry’s human capital is essential, she said.