FROM CATWALK TO CARBON NEUTRAL:
MOBILISING FUNDING FOR A NET ZERO FASHION INDUSTRY
Despite over 400 companies committing to science-based targets, the funding for decarbonizing the apparel sector's production - where over 80% of emissions originate - largely falls on manufacturers.
The catalyst for co-commissioning this paper was the shared conviction that if we fail to devise new ways of funding decarbonisation, we will also fail to realise our climate goals.
Co-commissioned by Artistic Milliners, Epic Group, MAS Holdings, NITEX, TAL Apparel, Pactics Group, Simple Approach, and supported by Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH, FABRIC Asia Project and Transformers Foundation, this report reveals the urgent need for a transformative approach to funding decarbonization in the apparel sector, exploring funding needs and constraints, current funding options, as well as proposed solutions for innovative financing models.
This report has been endorsed by the International Apparel Federation, STAR Network, Fashion Producer Collective, The Crescent Textile Mills Limited, Compreli, PDS Ltd, and The Good Factory.
Watch the recordings of the launch webinar on March 19th at 10am CET or 4pm CET to discover financial solutions that can effectively support decarbonization efforts equitably for all in the apparel sector with Arjen Laan, Bappy Nurul Mukitadir, Dhanujie Jayapala, Matthew Guenther, Mehak Masood, Nemanthie Kooragamage, Revan Philip Wickramasuriya, Saqib Sohail, Vidhura Ralapanawe.
1.
What types of funding needs do manufacturers have for decarbonisation and what constraints do they face?
2.
What options do manufacturers seeking to fund decarbonisation currently have? Which gaps do they or don’t they fill?
3.
What are innovative financing models the sector should consider to equitably and effectively address these gaps?
The following recommendations aim to foster collaboration, bring a strong focus on value chain decarbonisation and to enhance accessibility, availability and affordability of funding to accelerate apparel sector decarbonization.
1. Policy advocacy that supports financing for decarbonisation
2. Impose Transparency and Reporting Standards
3. Establish the Fair Climate Fund
4. Increase the availability, accessibility and affordability of financing schemes for sector decarbonisation
5. Seize the moment by commercial banks and private sector lending institutions
6. Change the narrative
7. Create an environment that facilitates value chain decarbonisation
This report is endorsed by:
International Apparel Federation, STAR Network, Fashion Producer Collective, The Crescent Textile Mills Limited, Compreli, PDS Ltd, and The Good Factory.
WE NEED YOUR HELP!
1. Spread the word: let’s unleash the power of our combined network, and share the release of this report with your audiences.
2. Take the time to read the report and our calls to action to understand what you and your network can do. Share your feedback and ideas for targeted outreach with the solutions enablers identified in the report.
3. Connect with us constantia.chirnside@giz.de, our doors and ears are open to relevant ideas and feedback that drive coordinated action.