Brands to support decarbonisation through Future Supplier Initiative
Fashion brands Bestseller, Gap, H&M Group and Mango are to take part in a new initiative to decarbonise the fashion sector.
In 2019, more than 30 companies in luxury, fashion and textiles signed a new commitment to protect climate, biodiversity and the oceans of the world, calling the agreement The Fashion Pact.
It is The Fashion Pact that has facilitated this new decarbonisation initiative, which it has called the Future Supplier Initiative. The initial programme that the four fashion retail groups have committed to will focus on Bangladesh.
With other partners, including DBS Bank, the Future Supplier Initiative will offer financing “to support deep decarbonisation in the apparel sector” in Bangladesh. This will help suppliers there adopt energy-efficient technology and transition to renewable energy sources, for which payback periods can often be prohibitively long.
The Future Supplier Initiative will aim to reduce the cost for suppliers to make these changes. They will work with the fashion brands to decrease the cost of capital for loans that can accelerate decarbonisation.
Technical support will also be provided to help suppliers identify and implement low carbon technologies and solutions and to find projects with the highest potential for impact.
