Rahman Ravelli’s financial crime expert Dr. Angelika Hellweger comments on the fashion industry’s crackdown on products misinterpreted as ‘environmentally friendly’.

The UK Competition and Markets Authority (“CMA”) will launch a Green Claims Code in the fall of 2021, making it illegal to claim that your products are “green certified” without proof that the entire supply chain process is completely eco-friendly. We cracked down on companies making claims that were accurate and unethical. – friendly.

According to a recent report, the fashion industry accounts for 10% of the world’s carbon footprint. Additionally, 85% of finished textiles end up in landfills each year.

This has made consumers more interested in buying from sustainable brands, and has since led companies to promote the “environmental certification” of their products to boost sales.

But while the entire line of clothing in the store is labeled as being made with ‘sustainable’, ‘recycled materials’ or ‘reduced waste’, in reality, The end-to-end process from shipping, packaging, and selling is actually good for the environment.

Clothing, footwear, and accessories are said to be marketed as environmentally friendly, with language used that appears vague and misleading.

That is why the CMA scrutinized fashion retailers and investigated potentially misleading environmental claims around greenwashing concerns by fashion brands such as Asos Plc, Boohoo Group Plc and George (Asda). It is not surprising that there are

The goal is to ensure that companies substantiate their claims with evidence and do not omit or hide important relevant information relevant to the entire product lifecycle.

Other sectors such as travel, hospitality and consumer goods are also expected to come under the CMA’s scrutiny, and more enforcement action is likely in the future.

Additionally, other regulators in the UK (and around the world) have already announced that they will step up their enforcement efforts when it comes to greenwashing claims.



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