“Materials form the heart of the fashion industry. They are the basis of each garment and shape design, haptics and functionality of the product. They also define the brand message and their attractiveness for the consumers: Inside, a report of the global sustainability initiative Fashion for Good, which was created together with the Boston Consulting Group (BCG).
But materials go beyond aesthetics, because (and their processing) are decisive for the ecological footprint of the fashion industry: according to “Next-gen materials in fashion. They cause 92 percent of the total emissions of the industry to Executive Guide ”. “With regard to the cost structure of clothing pieces, materials account for around 30 percent of manufacturing costs (cogs) – from 15–25 percent in the luxury segment of up to 60 percent in the mass market,” said the report.
Next-gen materials could reduce environmental pollution from fashion industry
Next-gen materials, ie “new and innovative fibers and materials with desired improved ecological and/or social results compared to conventional options”, offer the opportunity to reduce the environmental impact on the industry. By 2030, almost 13 million tons of next-gen materials could come onto the market, which corresponds to about 8 percent of the entire fiber market. Textile-to-textile recycling solutions are expected to drive most of this growth in chemical fibers based on cellulose base (MMCFS), natural fibers and synthetic fibers.
“Although this represents an enormous improvement compared to today’s proportion of almost 1 percent in the entire fiber market, this progress will hardly be sufficient to meet the broader needs of the industry. Without a strong, coordinated exertion, access to these materials will remain limited to some brands, of which only a small part of the market benefits, while the majority have difficulties, “said the report.
Coordinated effort required
Since many brands lack orientation and you are either not prepared for a change of material or do not know how to drive the introduction to use the advantages of next-gen materials, the new report Marks wants to have a structured framework for measures in key areas offer and show you a way how you can manage the most important challenges and at the same time achieve measurable results. It is based on proven industry practices and the success of pioneers such as Infinited Fiber Company, Grasim Industries Limited and Textile Exchange.
The report is divided into five chapters: While the first two deal with the scaling of next-gen materials and the use of their advantages, chapters three and four examine what brands can do individually and together. “Since the demand for these materials is expected to exceed the supply by 2030, the need for a brave, coordinated action in the industry has never been so urgently. Without this, access to Next-gen materials is limited and a few chosen people are concentrated, so that most brands will have difficulties to adapt to a rapidly developing landscape, ”the final chapter warns.
Three key areas: demand, costs, capital
The uniform, strategic approach required for the scaling of next-gen materials should concentrate on three critical areas: demand, costs and capital. “By reducing the cost curve, the industry can enable wider market access to next-gen materials and pave the way for a sustainable and competitive future,” suggest the author: inside.
They warn for an acceleration of the change in order to use this “unprecedented opportunity to take on a leadership role”. While brands can develop strategies for next-gen materials that match their business goals, they can jointly bundle the demand, harmonize procurement strategies and consolidate resources to reduce risks and achieve scale effects.
“Brands that use next-gen materials today will not only open up financial advantages and create long-term value, but also position themselves as leading companies in a changing landscape,” the author assure: ” we can create a tradition of innovation, sustainability and resilience that inspires future generations ”.
- Next-gen materials offer a significant opportunity to reduce the environmental impact on the fashion industry with the potential to reach 8 percent of the entire fiber market by 2030.
- The scaling of next-gen materials requires a three-track approach that focuses on increasing demand, reducing costs and securing capital investments.
- Brands can use the next generation materials to improve their sustainability and competitiveness, while joint action is decisive through the bundling of demand and harmonizing the procurement strategies in order to achieve scale effects and wider market access.
The full report can be downloaded from the Fashion for Good website.