Ever since the pandemic touched our shores, we’ve been concerned about two broad things at the Circular Apparel Innovation Factory (CAIF).
One, what happens to the members of the textile supply chain — almost 60 million people around the world—who are now at risk of losing their livelihoods?
Two, will all the hard work we have put into building the momentum around the need for sustainability in fashion be undone by the need to tackle business “here and now”? As part of the very first Virtual Skoll World Forum, we spoke to seven experts about the impact of the COVID-19 crisis on the sustainability textiles ecosystem — here’s what we learned.
To address these critical questions, we put together a panel of thoughtful, like-minded humans who have been on a similar journey as us. We’d like to share some key moments and quotes that made us ponder and hopefully will do the same for you.
We asked: How is this crisis impacting your organizations and the enterprises and stakeholders you work with?
In a candid and open round of sharing, each of the panelists described their businesses that had shuttered doors, their enterprises that face uncertainty and the current state of the industry as they see it.
“This crisis is really a quarantine on consumption.”
— Gigi Mathews, Enviu
We asked: How will supply chains change in a post-COVID-19 world?
With a globally inter-linked supply chain, and especially with China at the center of both the textile supply chain and the COVID-19 crisis, we wondered what kind of systemic changes are necessary.
The panelists made the case for radical transparency and innovation as keys to business continuity. Supply chains and models that are environmentally impactful can and must also be socially impactful. Circular models have the potential to create 360-degree impact.
“The principles of how supply chains are managed will and should certainly change — but I don’t see the geography of supply chains changing.”
— Naresh Tyagi, Aditya Birla Fashion & Retail Pvt Ltd
“I speak from the lens of the US that has off-shored most of its production, but there are still some local mills, dye houses and others that may see an uptick in their work from increased on-shoring”
— Lewis Perkins, Apparel Impact Institute
“There was an interest in new models of production even before this crisis—mass customization, 3D printing, and others—primarily from an environmental perspective. These models are needed more so now to also address the social impact of the crisis. This crisis is a good moment to reflect on the relationship between brands and suppliers and how they can be stronger and more long term.”
— Katrin Ley, Fashion for Good
We asked: What is the impact of this crisis on the most vulnerable members of the textile supply chain?
COVID-19 started as a health crisis but quickly turned into a humanitarian one. With 60 million people employed in the textile value chain, we wondered about the impact on these humans — artisans, workers, women, and other communities. The panelists all spoke passionately about the kind of relief measures they had put in place in their own organizations to protect the vulnerable. What also came through was a great need for ecosystem-level interventions to ensure our social contracts with our workers are protected against crises of any and all kinds.
“Our partners are creating opportunities to link workers and vulnerable communities to existing government safeguards and social security schemes. In apparel, there is a lack of formal social security nets for contractual and home-based workers, and we need to look at the inherent social contracts we have with people in our supply chain.”
— Ipshita Sinha, Laudes Foundation
“We have created a medical fund for all our staff, and everyone is covered under medical insurance. We only employ full-time workers as a policy so that they are all protected at this time. Where we work with contractors, we have ensured the facility owners are providing food and basic household needs to the workers.”
— Sangita Rohira, House of Anita Dongre
“The first measure we took was to secure the salaries of our full-time staff through April, but we have seen our supply chain severely affected as most suppliers of the pre-loved saris and waste materials we use as raw material are migrants who have gone to their home towns.”
— Stefano Funari, I was a Sari
We asked: What kind of changes in consumption patterns might we see in a post-COVID world?
Sustainable fashion has always had a reputation for being elitist, expensive, and out of reach of the common consumer. This when most sustainable fashion advocates would tell you, it’s not sustainability that is expensive but unsustainable fast fashion that is too cheap. We wondered, will this perspective change in a post-COVID-19 world and, if so, how? This was perhaps the most optimistic part of the discussion, with nearly every panelist highlighting the emergence of a more conscious consumer with a clearer sense of the relationship between the clothes they buy and their impact on people and planet.
“With the huge focus on health and healthcare, consumption patterns will change, and SDG 12 — responsible consumption — will become one of the most important goals in a post-COVID world. And this will impact even people’s choices with regard to garments, with longevity and usability as focuses.”
“Apart from environmental concerns, responsible businesses must now focus equally on the economic and health security of their employees. Sustainable businesses will now have the right balance between environment, economy, and society.”
— Naresh Tyagi, Aditya Birla Fashion & Retail Pvt Ltd
A member of our audience asked: How can we ensure the sustainability agenda in textiles remains a priority?
“A crisis always brings with it innovation, and we will see a lot of this coming up soon. Sustainability used to feel like a distant goal, but now I think we will see the focus shift to sustainable business rather than sustainability as a part of a business.”
— Naresh Tyagi, Aditya Birla Fashion & Retail Pvt Ltd
“We need to ask ourselves if the present crisis is really the breakthrough sustainability was waiting for. Consumers will become more conscious, and sustainability will become business as usual. The explosion of innovation and ideas we will see, and businesses getting more agile and smarter, is the opportunity in the current crisis. We can ensure this happens through true collaboration and working with partners.”
— Gigi Mathews, Enviu
“This phase will culturally impact the world. We are going through this crisis without resorting to emotional shopping or retail therapy but just focusing on necessities — this will impact the youth of today’s relationship to apparel and really all products.”
— Lewis Perkins, Apparel Impact Institute
“Innovation is a core driver towards circularity but also towards economic resilience. Investing in circularity now will allow companies to emerge stronger. We are in a rare catalyzing moment and we should not miss this opportunity as an industry.”
— Katrin Ley, Fashion for Good
A member of our audience asked: How do we ensure manufacturers and brands are incentivized to continue investing in sustainability-focused innovations?
“In the value chain, innovation comes from different pockets. And no single company can innovate alone — they can adopt and scale up innovation faster when there is collaboration in the ecosystem. The next few months are crucial for finding and adopting solutions quickly, which will help businesses be resilient and re-emerge.”
— Naresh Tyagi, Aditya Birla Fashion & Retail Pvt Ltd
We asked: What is one concrete thing CAIF and your organizations can do to continue driving sustainability?
“Collaboration is key at this time, especially in the context of vulnerable communities. We need to strengthen social safeguards through public-private partnerships, regulatory frameworks, and other means, but all rooted in collaboration.”
— Ipshita Sinha, Laudes Foundation
“We should use this time to innovate, pilot things, collaborate and really take risks.”
— Lewis Perkins, Apparel Impact Institute
“We are a collective — we wouldn’t exist without the ecosystem. We are open to partnerships, to sharing what we know, and I think one of the positive effects of this experience will be to push other businesses to work in this way.”
— Stefano Funari, I was a Sari
We’re grateful to Skoll World Forum, Sankalp Dialogues, and all the panelists for giving us the platform to have this critical discussion. Circular Apparel Innovation Factory (CAIF) is an industry-led initiative with the vision to build a circular apparel and textile industry. Incubated by Intellecap and with Anchor Partners DOEN Foundation and Aditya Birla Fashion & Retail Ltd., CAIF is building the capabilities and the ecosystem needed for a transition towards a circular textile and apparel industry in South Asia. Find out more about us at www.circularapparel.co.
