![]() At each stage, there is a risk of pollution from factories, unsafe working conditions and forced labour. For example, the overall stages in the supply chain of a cotton piece of clothing are cotton seed, cotton harvesting, ginning, spinning and weaving and the cut-make-trim stage. The fashion industry poses a higher risk of unethical sourcing than many other sectors because of the long and complex supply chains involved in manufacturing garments. It’s an approach that is likely to backfire. The adverse media coverage following reports by the Changing Markets Foundation and Baptist World Aid Australia should remind companies of the need for greater due diligence on their supply chains. The pressure leads companies to cut corners and neglect sustainability concerns to maintain a competitive advantage. In the fashion industry, brands compete to quickly produce high volumes of affordable clothing, with clothing ranges changing every season. Long supply chains and seasonal trends have raised risk level 77% of companies are working to actively improve leverage and relationships with suppliers, through supplier consolidation and/or industry collaboration. 67% of companies are making efforts to train suppliers, buyers and factory managers to understand human trafficking, child labour, and forced labour risks. ![]() The Ethical Fashion Report found that 26% of companies published their full supplier lists this year, compared to 16% last year. The lesson for brands is clear: if you do not know who your suppliers are, you cannot ensure the workers making your products are free from exploitation.īut many companies have tried to improve their supply chain transparency in recent years. Yet children have reportedly been used to pick and process raw cotton which ultimately provides clothing for high-end shops in the west. The report said, “transparency remains a challenge in the industry” noting that only 7% of companies knew where all of their cotton came from. It investigated the workers’ rights policies of 106 clothing companies which represent 330 brands, and graded them on how effectively they address the risk of forced labour, child labour and exploitation in their supply chains. This revelation of supply chain failures in the fashion industry follows the publication of the 2017 Ethical Fashion Report by Baptist World Aid Australia. It said this is “destroying marine life and exposing workers and local populations to harmful chemicals.” The report found evidence of severe environmental damage, including water pollution from untreated contaminated waste and air pollution. Investigators for the Changing Markets Foundation visited ten manufacturing sites in China, India and Indonesia which allegedly produce materials for firms including Marks & Spencer, Tesco, H&M and Inditex (which owns Zara). ![]() Viscose fabrics win rave reviews for their silky feel, soft drape and breathability, but after some global fashion brands were recently accused of buying viscose from highly polluting factories, consumers may have a change of heart. Recent reports have exposed fashion’s supply chain failures. Due diligence and monitoring of suppliers and third party business partners helps businesses mitigate ethical sourcing risks.
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