Sustainability professionals descended on Pasadena, California last week for the annual Textile Exchange conference, and the mood was cautiously optimistic.
There is still far too much talk and not enough action to transform the industry, speakers and attendees almost unanimously agreed. There was also a strong consensus that the industry is engaging in more sophisticated conversations than ever, with panel sessions, workshops and one-to-one meetings taking place to address issues that have never been central to fashion’s sustainability efforts, but are fundamental to their success — in particular, the need for finance, business models and growth, as well as the logistics necessary to make textile recycling a reality.
“In this room, we have farmers, growers, producers, recyclers, brands, consultants, non-profits and so many others,” Claire Bergkamp, CEO of Textile Exchange, said during the opening plenary. “It really is only in working together — and getting to know someone you maybe don’t know, maybe you get to meet a producer from a country you’ve never been to — that you can truly understand the multifaceted nature of this work.”
Financing
Breakout sessions discussed the need for “innovative financial mechanisms” to support farmers and material producers, and for blended capital to drive transformation across the entire value chain. “Companies have multiple avenues for financial involvement. It’s not about a one-size-fits-all approach, but aligning available choices with their investment priorities,” says Lewis Perkins, president and CEO of the Apparel Impact Institute, who spoke in a session titled ‘New Frameworks for Strategic Climate Finance’. “If the CFO or C-suite doesn’t have an investment strategy for climate work, their climate strategy may lack real substance.”
A highlight for him was the consensus among panellists that brands and retailers are pivotal in enabling suppliers to invest in their transitions. “Whether these investments are smaller scale, like regenerative farming or larger manufacturing upgrades, the core challenge is clear: without creating tangible value for suppliers, there’s little incentive for them to take on these investments,” he says.
Suppliers, though, are not seeing that mindset translate to reality. There’s been a growing recognition in recent years that brands can’t meet their sustainability goals if suppliers don’t make the changes that will help them do so, from switching to renewable energy to reducing water use, but interviews with suppliers attending Textile Exchange indicate that they are not seeing that come to fruition.
“On sustainability, we do things, but it’s rarely considered when it comes to sourcing. That’s the reality I’m in. There’s talk about it, but when it actually comes to products, it’s rarely considered,” said Delman Lee, vice chair of supplier TAL Apparel Limited. He added a caveat: “There are brands pushing the envelope, and those are our favourite customers.” But they are the exception, not the rule.
While speakers emphasised that sharing financial risk is not only more equitable, it will also increase supply chain resilience, they said the industry is far from applying that in practice, from Tier 1 manufacturers all the way through agricultural supply chains.
“Agricultural supply chains are very volatile, both economically and environmentally. Sharing risks continues to be an important topic. I believe companies are still far from walking the talk here. Sustainability departments understand it’s key for the production of regenerative materials. But there is still a huge gap,” says Mariana Gatti, independent impact strategist and project director at Farfarm, a consultancy promoting and implementing organic and regenerative agriculture. “Resilient farm businesses invariably build stronger local and regional communities and economies. Farmers in the Global South are, in my opinion, a huge source of inspiration for that.”
Textile recycling
With sessions on textile waste, textile innovation and logistics for textile-to-textile recycling — which became a standing-room-only session, not a common sight throughout the conference — it’s clear that the industry is taking a legitimate interest in next-gen materials, and textile recycling in particular. The exhibit hall was filled with startups specialising in textile sorting and recycling. Many of them reported having meaningful conversations with brands or suppliers, and felt confident that concrete steps towards commercialisation are on the horizon.
Outward signs are still meagre, at least relative to the scale that’s needed. Partnerships do exist, and two were even launched during the conference — Circ, which recycles cotton-poly blends, announced a deal with Indian conglomerate Aditya Birla Group, while Ambercycle, which recycles polyester, launched a partnership with Arc’teryx — but until next-gen materials are regularly featured in products in mass quantities, their impact is going to be limited. Startups say that now feels different than even six months or a year ago, and they feel the wheels are turning. If that’s true, then there’s hope that 2025 and 2026 will start to reveal some of the change that the industry has been promising is happening behind the scenes.
Growth
At the end of November, Textile Exchange will release a report on reimagining growth — explaining the need to decouple financial growth from the increased use of natural resources, and exploring avenues through which fashion can attempt to do that.
In a session previewing the report, independent consultant Rachel Arthur explained that the concept is distinct from ‘green growth’, meaning businesses that prioritise efficient use of resources. “The science shows that while that is super important, it isn’t going to be enough on its own in the time we have available,” she said. To move forward, she outlined some of the key strategies that fashion will need to embrace, including: capping the use of virgin fossil-based resources, producing better products, reducing overproduction, promoting circular business models, and eliminating marketing messages that promote overconsumption and encourage obsolescence. (The report will unpack the strategies in further detail.)
She also emphasised the urgent need to address aspects of fashion sustainability, such as consumer behaviour and trend cycles, that are not measurable in the way that carbon emissions, water use and even product durability are, but are equally significant to the industry’s impacts on the planet. Products need to last a long time physically — but, Arthur explained, they also need to last a long time in people’s clothing rotation. “That emotional attachment is almost more important than durability,” she told the crowd.
Correction: The report on reimagining growth will be published by Textile Exchange only, not in conjunction with UNEP as previously stated. (5/11/24).
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