How Legislation is Addressing Greenwashing in Fashion
Concerns for the planet have given rise to a new breed of shoppers: the eco-conscious consumers. These customers believe in buying and consuming less, reducing their carbon footprint on the planet. They know their choices have a direct impact on the environment, and hence prefer using sustainable products and services.
Fashion companies are aware that they have come under scrutiny not just by the authorities but by their consumers too. Their practices are now under the spotlight and they are now being held accountable for their environmental impact.
This has given rise to the trend of greenwashing where companies make sustainable claims but fail to live up to them.
Governments have taken different measures to counter these acts. Read on to find out about them.
Need for Legislation
Due to greenwashing companies, there is a growing mistrust among consumers, who feel they have been deceived. These consumers are demanding greater transparency and accountability from fashion brands claiming to be sustainable. The rising scepticism is a major driving force behind the demand for regulations needed to check the authenticity of environmental claims.
When brands make false claims and advertise their products as sustainable, they undermine genuinely sustainable efforts being made in the fashion industry. Such greenwashing companies contribute to the ongoing environmental crises. They are adding to land and water pollution, resource depletion, and carbon emissions while giving a false impression that progress is being made.
Hence the need for regulation.
Eu greenwashing directive
The European Union has been leading from the front when it comes to tackling greenwashing. They have introduced legislative proposals and taken different initiatives.
One example is the Green Claims directive which is a great help in ensuring that companies making sustainable claims are able to back these claims with evidence. Businesses are required to provide proof for any green claims they make.
At the same time, some penalties have also been proposed for companies that fail to comply. These steps will help prevent consumers from falling prey to misleading information.
Greenwashing UK Legislation
The CMA or the Competition and Markets Authority introduced the Green Claims Code in 2021. This was in response to rising concerns about greenwashing.
The code has set out clear guidelines for businesses on how to make environmental claims which are honest and reliable. Any sustainability claim needs to be followed up by evidence. It has clarified how businesses should avoid vague or ambiguous language and also that any claim they make should be relevant to the entire life cycle of the product. Any company that fails to comply is punishable by fines or other legal consequences.
US Developments
In the United States, the Federal Trade Commission (FTC) is responsible for regulating environmental marketing claims through its Green Guides. These guidelines, first introduced in 1992, provide direction on how companies should communicate their environmental claims to avoid deceiving consumers.
The Green Guides cover a range of claims. These could be related to recyclability, compostability, and energy efficiency. They emphasise the need for clear and substantiated claims, similar to the approach taken in the EU and UK.
Global Developments
Beyond the EU, UK, and US, other countries and organisations are also pushing for stronger regulations on greenwashing. For example, in Australia, the Australian Competition and Consumer Commission (ACCC) is actively monitoring green claims and has warned businesses about the legal risks of making misleading environmental statements. Similarly, in Canada, the Competition Bureau has published guidelines on environmental claims, stressing the importance of accuracy and evidence-based marketing.
Internationally, the United Nations Environment Programme (UNEP) is working with governments and industries to promote sustainable consumption and production practices. The UNEP encourages global cooperation in setting standards for environmental claims and tackling greenwashing on a broader scale.
By introducing stricter regulations, governments can help ensure that environmental claims are truthful and substantiated and that they reflect a brand’s overall impact. These clearer rules and stronger enforcement can protect both consumers and the environment,
Types of greenwashing in Fashion
Businesses in the fast fashion industry have resorted to greenwashing to retain their customer base in many ways.
- Some fashion companies use generic and vague terms like "eco-friendly" or "sustainable" without providing clear, specific information or evidence to prove it.
- They sometimes display labels or certifications that are not verified by credible third-party organisations. Sometimes businesses feature labels that they create themselves.
- There are some instances where brands highlight one minor eco-friendly aspect of a product and ignore or downplay the staggering environmental impacts they are creating elsewhere. This could be while promoting a single organic cotton item while the rest of the line is still unsustainable.
- In a similar way, by focusing on a single positive feature of a product fashion brands attempt to divert attention from the overall negative environmental impact of their operations.
- Sometimes a product's environmental benefits are advertised relentlessly. However, these claims are not relevant to its overall sustainability (like claiming a product is made with "recycled materials" completely disregarding the high carbon footprint of its production).
- Brands could introduce biodegradable packaging or other inconsequential changes in production and then market themselves as more sustainable even though their overall practices continue to be damaging to the planet.
- They could use false claims in advertising with misleading information about the environmental benefits of a product. For example, they could be making up fabrications about their supply chain practices being eco-friendly.
The responsibility lies with consumers to identify such tactics and recognise these attempts at greenwashing. They will then be able to hold brands accountable for their environmental claims.
Final word
Greenwashing has become a serious concern for environmentalists and regulatory bodies worldwide. As a result, stricter regulations and stronger codes are being introduced to hold businesses responsible.
As more and more countries are joining this movement against greenwashing, the fashion industry is being made to become more transparent and responsible. Consumers too can contribute to these efforts by raising awareness and joining the fight.