Anti-greenwashing law calls for transparency and accountability
Apparel sector-related buzzwords like environmentally friendly, natural, biodegradable, sustainable, or organic will no longer be approved without any legal documents and certified proof. Worldwide customers are aware of sustainability, are concerned about sustainability, and seeking ethically sourced products, manufacturers need to be secure about the quality and ensure their loyalty to the consumer.
Now the bright side is the EU parliament has voted overwhelmingly for a new law banning greenwashing and misleading product information, putting a stop to generic and unsubstantiated environmental claims. In January 2024, the Truth in Labelling for Recyclable Materials, signed by Gavin Newsom 2021, the governor of California, will come into effect. This legislation aims to prevent misleading recycling claims on non-recyclable products and packaging.
Purpose & Goal
European Union drives away a vision for Eco-friendly, organic, authentic, sustainable product manufacturing and contributes to the global circular economy, the consumption of limited resources. European Union leading the way with its strategy for sustainable and circular textile products which was established in March 2022, it includes the starting of eco-design requirements under the Eco-design for Sustainable Product Regulation (ESPR), and sustainable product design, which was agreed in December 2023.EU has 230 sustainability labels and 100 green energy labels, each having individual degrees of transparency, it is very difficult to develop and maintain standardized and transparent labeling practices to assist the consumer.
Data & Report
European consumers, particularly in countries like Germany and France, are increasingly inclined towards sustainable products. Although major brands like H&M invest heavily in eco-conscious lines, the Fashion Revolution report of 2023, reveals a just 2% of fast fashion brands use 100% recycled materials, highlighting the need for stringent regulations. The EU takes a proactive stance with the Strategy for Sustainable and Circular Textiles, striving for eco-friendly and authentic manufacturing. Despite progress, challenges persist, with 53% of green claims deemed misleading and 40% lacking concrete data.
Greenwashing Directive
Will Troutman, a partner at Norton Rose Fulbright; states that this is a deliberate action taken in California to combat deceptive advertising practices related to environmental claims and also added that they are currently anticipating the release of state guidelines that will clarify which materials can be recycled. the related topic is the New York Fashion Sustainability and Social Responsibility Act, which is currently under investigation. On January 17, 2024, the European Parliament formally endorsed their provisional agreement with the Council on the Directive Empowering Consumers for the Green Transition through Security and Protection against Unfair and Unethical Practices which known is “Greenwashing Directive”.
CSR & Others
The SEC, UK FCA, and EU make substantial amendments to regulations, with the US Federal Trade Commission set to update their Green Guides in 2024. These measures aim to ensure accurate advertising, prohibit general environmental claims without evidence, and encourage durability, prominently displaying guarantee information. The EU Strategy for Sustainable and Circular Textiles aims to promote long-lasting, recyclable goods by 2030, emphasizing social and environmental justice. The Greenwashing Directive, endorsed by the European Parliament, reinforces consumer protection by curbing unfair and unethical practices.
Conclusion
The good news is That European legislation aimed to regulate the “Digital Product Passport” for garments products expected to be implemented in the year 2026, would provide information with greater transparency regarding product materials, Green labeling helps to meet consumers’ demand. With sustainability focus labels for products with at least 70% investment in environmentally friendly industries, consumers can make informed choices, aligning their investments with their values. As the global community unites against greenwashing, these regulatory shifts pave the way for a more sustainable future, where consumers can confidently make choices aligned with both their social and environmental values.
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