The EFA publishes a manifesto on the fashion industry in Brussels (#1684020)

There is a battle that will save the future and the soul of fashion, as the industry's key advocate, the European Fashion Alliance, underlined in a report published on Wednesday in Brussels.

The report, which concludes with a 10-point manifesto of recommendations, comes at a time when the entire industry is grappling with vital issues such as sustainability and circularity, while its innovative fashion brands face increasing competition. of international fast fashion. And in a year when the European Union has enacted new, stricter legislation governing ecodesign and end use.

Titled “State of European Fashion Report”, the report was presented at a major policy roundtable within the European Parliament in Brussels. With a keynote speech by Jessika Roswall, the newly appointed EU Commissioner for the Environment, Water Resilience and Competitive Circular Economy.

“The fascinating thing about this industry is how it is reinventing itself for the future. A future where quality, creativity and sustainability align,” stressed Roswall, who just assumed his new position on Friday, part of the second term of the European Commission led by Ursula Von der Leyen.

Before pointing out that the European textile and clothing industry generated a turnover of 170 billion euros last year. And then it warns that each year Europe generates more than 12 million tons of textile waste, of which only 22% is collected separately and only 8% is reused.

Founded in 2022, the EFA was created to develop a unified approach towards Brussels and the main issues facing fashion. Its members include the German Fashion Council; the Fédération de la Haute Couture et de la Mode of France; the Camera Nazionale della Moda of Italy; the British Fashion Council in the United Kingdom and groups from Austria, Ireland, Iceland, Norway, Portugal, Spain, Denmark, the Baltics and more. In total, 29 fashion and luxury organizations committed to the EFA, representing 25 fashion industry associations from 23 countries, 10,000 SMEs and 11 fashion weeks.

Although even before the ALE report was published, Brussels was already busy. This year marks the first time that an EU Directive on corporate sustainability reporting requires all listed companies in Europe to submit an annual report detailing their environmental and social practices.

“All listed companies must apply this year. It makes us all more professional,” said one of the participants in the round table, Lieve Vermeire, head of sustainability at Van de Velde, a publicly traded Belgian lingerie company with a turnover of more than 200 million euros.

Although this is Europe, individual countries have also created specific national rules. As a result, Belgian exporters to France already pay a producer responsibility tax, which starts at a percentage of 0.03 and increases depending on the product. However, if a brand can demonstrate that its products are durable, it can recover 50% of that tax through what is called Eco Modulation. Although Vermeire noted that when he calculated how much Van de Velde needed to spend to be accepted into Eco Modulation, it was ten times more than they could recover.

“The intention is good, but the effect not so much. It would be better to have rules at the European level,” he lamented.

Another EU creation, the Ecodesign for Sustainable Products Regulation (ESPR), came into force in July 2024. It covers rules on digital product passports (DPP), green public procurement and destruction of unsold products, an important topic for catwalk brands. It also stipulates that it is prohibited to destroy unsold new clothing and recycle unsold inventory. This last measure targets fast fashion, with the aim of forcing the sector to produce less.

In an impassioned speech, the president of the Chamber, Carlo Capasa, trumpeted Italy as a unique country that generates more than half of the world's supply of luxury goods.

“We create dreams and not needs. That's what makes this industry unique. And the problem in Europe is fast fashion. Our goal is to create clothing that doesn't end up in landfills. If they end up there after a year, the people who create them should pay for it! Capasa insisted, underlining a common opinion among catwalk brands in Europe. And pointing out that Italian fashion and accessories employ 600,000 workers in 60,000 companies, “which we respect a lot.”

Next to him on the podium, Pascal Morand, executive director of the French Federation, called on the EU to support “creativity-driven fashion,” citing the sector as a key element in what he called the New European Bauhaus, referring to to the hugely influential pre-war design movement.

Morand also emphasized that creating a truly consistent database will be vital in any policy, noting that the database's “weak granularity obscures diversity in fashion, penalizing high-quality products.”

The EFA's stated goal is to “empower a prosperous, sustainable and inclusive European fashion ecosystem.” Its long-term goal: transform the industry and help the planet, defining an ethical, social and sustainable code of conduct for its members and for the fashion sector as a whole.

In opening remarks, Scott Lipinski, president of the EFA and executive director of the Fashion Council Germany, highlighted that the organization was founded “because we all ask ourselves: 'who do we talk to and how?' Since then, we represent the creative side of the industry.”

Part of the answer was in the room, in the presence of Dr. Christian Ehler, MEP and coordinator of the EU Industry, Research and Energy Committee (ITRE). Ehler, an avuncular German politician from the European People's Party, which includes Von der Leyen, is very much the fashion point man in Brussels.

“Ten years ago we started listening to fashion. I learned that I had to lose weight and get a better suit,” he joked, before adding: “What we learned was that we admire what you can do. Today, fashion is in the middle of a painful process of transformation. But to create a new utopia you cannot galvanize society and convince the new generation with visions of dystopia. That's another reason we talk to you: you can transform dreams,” Ehler explained.

The EU has certainly started to put its money where its mouth is, creating funds worth €2.3 billion for areas such as the development of new materials, textile innovation and recycling. Although until now very little has reached creative talent, something that the EFA wants to change. For comparison, the EU budget for 2024 was €189.4 billion in commitments and €142.6 billion in payments.

The EFA report partly projects an adverse view of fashion, according to Elke Timmerman, a member of the EFA board of directors.

“We found that 67% of people have a negative opinion of fashion,” shrugged Timmerman, as he showed slides that also revealed that their main concerns were the industry's harmful environmental impact, overproduction and negative social effects. . However, the report also revealed that 88% of fashion brands had committed financial or human resources to sustainability.

The morning, presented in a conference room beneath parliament, featured two panel discussions, the first on the fashion industry: challenges and needs, which was hosted by Salomé Roch of the French Federation and featured five speakers. One area of ​​agreement was the emotional power of fashion.

“Fashion is not just an object but something that represents feelings, a lesson in intangible values,” said Costanza Maramotti, member of the board of directors of Max Mara and granddaughter of its founder.

“Many women remember that the first Max Mara coat they bought became a treasure. Others who had received theirs from their mothers. That durability is vital. And it is vital to maintain our artisan skills and preserve our European heritage,” Maramotti added.

The EU has also set aside funds to help the development of new materials, although using (or finding them) was sometimes easier said than done.

“Yes, there are new materials, but some of our products have 50 components, which means 50 suppliers, and yes, some can provide an environmentally friendly solution, but often without enough quality or good design. For us quality, quality, quality is vital. Our first job is to ensure that Van de Velde's quality creations last a long time,” noted Vermeire.

In a second roundtable discussion on opportunities and solutions, McKinsey associate partner Nikolai Langguth argued that the problem with the new materials was that they were not readily available.

“We talk about new materials, but there really is no offer. However, when it comes to emissions, new dyeing technologies and energy sources are relatively inexpensive,” Langguth explained, before warning how incredibly fragmented the fashion industry is.

“In the automobile industry, the top 10 companies account for 90% of production. In fashion, the top 100 represent only 20%,” he snorted.

All parties agreed that talking to consumers is essential, and Ehler highlighted how advanced labels were an ideal connection, made easier by DPP legislations.

“They open the opportunity to inform consumers and open greater circularity,” insisted Michele Casucci, founder of
Certilogo, which works with 80 brands that have developed more than one million products with Certilogo smart labels.

Concluding a busy morning, Ehler also takes pains to emphasize: “What we need now is a precise catalog of proposals. “We are injecting money into the textile industry, through structural funds and regional funds, since we want to keep it in Europe.”