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Five reasons why transparency is the foundation for a climate-neutral fashion industry

By Sponsor

17 Nov 2022


Image: tex.tracer

As envisioned in the Paris climate agreement, global warming needs to be limited to 1,5 degrees. Being a major contributor to climate change, the fashion industry must act now to become climate neutral by 2050.

In their Monitor 2022 report, Global Fashion Agenda indicates that systematic changes need to be achieved on the following five fronts:

  1. Respectful and safe work environments

  2. Better compensation systems

  3. Resource management

  4. Smart material choices

  5. Circular systems.

To establish a climate-neutral fashion industry, understanding the environmental and social footprint of clothing is crucial.

Transparency platform tex.tracer explains how to map your organization's environmental footprint and what steps can be taken next. Semora Mangnoesing, Chief Commercial Officer at tex.tracer explains: 'Start by collecting scope 1, 2 and 3 emissions data. Measuring the current footprint provides insight into the environmental impact and where emissions originate. Using this as a basis, you can work on reducing the footprint.'

Scope 1, 2 and 3

What falls under these scopes? The Greenhouse Gas Protocol divides emissions into three different categories:

  • Scope 1: This concerns emissions of greenhouse gases caused directly by a company, such as by the use of vehicles.

  • Scope 2: These are emissions that are caused indirectly – for example, through the generation of purchased and consumed electricity or heat.

  • Scope 3: Here’s where things get tricky. This category concerns all emissions that are not directly related to the company itself, but for which the company is indirectly responsible, up and down its value chain. This applies to products bought from its suppliers, for example, and to its own products when used by customers. In terms of emissions, Scope 3 is nearly always the largest, sometimes accounting for up to 80% of total emissions.

Scope 1 and 2 are relatively easy to chart. But where does one start when it comes to making Scope 3 intelligible?

Chain transparency

Gaining insight into Scope 3 begins with the identification of suppliers throughout the value chain. Collect data at each step in the supply chain - directly from the supplier. Cooperation with your suppliers is crucial here. ‘Make sure everyone is on the same page. Explain to suppliers why you would like to gain this insight and how the process can also help them in the future', Mangnoesing says.

Image: tex.tracer


The collected data can be analyzed, such as by performing a Life Cycle Assessment, also known as an LCA. Once Scope 1, 2 and 3 have been clarified, both the largest emissions and the quick wins are identified, allowing you to take action to actually reduce the footprint.

This gives your organization the opportunity to communicate environmental performance to stakeholders. A great example of this is Mud Jeans. They have created transparency throughout their value chain, including footprint data along the entire chain, and share this with consumers using on-product QR codes, see here.

Chain transparency is the basis for the necessary changes in the fashion industry. Contact tex.tracer to start taking your first steps toward understanding the environmental and social impact of your product, helping to contribute to a climate-neutral fashion industry.




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