Fashion's Future Traced: Sustainability Event Highlights Transparency and Responsible Production

The 12th annual 4sustainability event, organized by Ympact, gathered over 500 participants both in-person and online at Eurojersey’s headquarters in Caronno Pertusella, Italy, on Friday, October 3. Ympact, an ecosystem designed to connect brands with their supply chains for data tracking, compliance monitoring, environmental impact reduction, and operational optimization, was founded by Francesca Rulli and Massimo Brandellero. It leads the YHub Group, whose notable shareholders include Foro delle Arti (Brunello Cucinelli SpA's holding company), Matteo Marzotto, Federico Marchetti, Giorgio Armani SpA, and Fondazione del Tessile Italiano.

Andrea Crespi, Eurojersey’s general manager, proudly hosted the event, emphasizing a united message on sustainability within the Italian textile supply chain. He highlighted the fundamental importance of tracking and monitoring production, asserting that the true value lies not in what is produced, but in how it is produced—through quality materials, skilled labor, and advanced technologies. Crespi warned that without recognizing this inherent value, the Italian supply chain risks succumbing to external pressures.

Following opening remarks from Rulli and Crespi, Valentina Boschetto Doorly, associate partner at the Copenhagen Institute for Futures Studies, delved into four defining megatrends: climate change, demographic shifts, technology and artificial intelligence, and deglobalization. She described the current era as a "new world disorder," characterized by anxiety rather than progress, and illustrated significant shifts in economic and demographic power towards China and Africa, respectively, while Europe's population declines. Boschetto Doorly also criticized fashion's current "bulimic" nature, where short product life cycles obscure the distinction between price and value, urging the industry to embrace a conscious role as guardians of the world.

Francesca Rulli and Massimo Brandellero articulated Ympact’s vision through the tagline “Tracing Fashion to a Responsible Future.” They underscored how comprehensive tracing of data, processes, and supply chains facilitates responsible production models, supported by harmonized frameworks, advanced technology, and expert implementation. Ympact’s system is instrumental in adopting the Digital Product Passport (DPP), a requirement under the European Ecodesign Regulation (ESPR), which also helps brands combat counterfeiting, an industry costing $2 billion annually. Michele Zuccheri of Certilogo and Carolynn Bernier of the CIRPASS-2 consortium discussed this crucial topic in a session moderated by Martina Schiuma, Ympact’s head of global strategy and partnerships.

A subsequent panel, moderated by Ester Falletta, technical director at Consorzio Physis and Ympact consultant, explored how systematic data collection can drive tangible improvements. Elisa Gavazza from ZDHC, Daniele Massetti from the Apparel Impact Institute, Alessandro Barrani from Prada, and Elisa Santi from Beste contributed to the discussion. Barrani from Prada shared insights into a successful raw material traceability project with Ympact, noting that data should foster trust and transparency between brands and suppliers, ultimately enhancing competitiveness for the entire ecosystem.

Elisa Santi of Beste, a Tuscan company specializing in luxury fabrics and garments within the Hind Group, provided a valuable supplier's perspective. She explained that initial brand requests for transparency were embraced as opportunities, as Beste, being highly vertical, already possessed much of the required data. While market demands and new regulations necessitated moving in this direction, the primary challenge involved engaging upstream suppliers, who often perceived data sharing as an imposition. Santi emphasized the importance of a dedicated team to audit suppliers and convey the message that traceability is a goal for mutual improvement, stressing that it should not be seen as merely an obligation but a change in mindset towards greater data awareness.

The discussion on supply chain due diligence offered contrasting perspectives from consultancy and a major brand. Franco Amelio, partner at Deloitte, provided consultancy insights, while Rossella Ravagli, sustainability director at Giorgio Armani, shared the brand's approach. Ravagli stressed the necessity for brands to fully commit to supplier monitoring systems. The Armani Group has enhanced its long-standing practices by streamlining its supplier base, implementing stringent contractual clauses, and conducting unannounced audits. She highlighted the importance of restricting supply chains to the second tier to mitigate risks, and emphasized that written contractual clauses should mandate necessary, even unannounced, audits. Armani has also adopted a new technology platform developed with Ympact to analyze data in addition to on-site audits, underscoring the critical role of supplier engagement, involvement, and training.

Speakers universally emphasized the critical need for standardized and harmonized monitoring systems to ensure consistency and effectiveness across the industry. Without such harmonization, suppliers are burdened with overwhelming, repetitive requests that offer little true value. Guided by this principle, Ympact introduced 4s ETHIC, a new pillar of its 4sustainability initiative. This program empowers suppliers to certify their environmental, social, and reputational compliance, aligning with market demands, due diligence requirements, and legal protocols. Luca Sburlati, president of Confindustria Moda; Paolo Tondi, Italy certification sales manager at Bureau Veritas; and Andrea Sianesi, professor of operations and supply chain management at Politecnico di Milano, further discussed the implications of these advancements.

Luca Sburlati raised serious concerns about the state of the Made in Italy sector, reporting a 3-4 percent fall in exports and an unexpected 6 percent rise in imports during the first six months of the year, notably a 20 percent increase from China. He specifically pointed to the dramatic invasion of ultra-fast fashion products, often priced below €150 and thus exempt from duties, as a significant threat. Sburlati urged immediate countermeasures and the formation of robust supply chain partnerships, underscoring that the €60 billion value generated by the supply chain within the €90 billion textile, fashion, and leather goods sector cannot be afforded to be lost. Speakers also highlighted the "Memorandum of Understanding for the Legality of Subcontracting in Fashion Production Supply Chains," signed in May at the Milan Prefecture, as a step towards addressing these issues.

Andrea Sianesi explained that collaborative efforts among stakeholders could position Made in Italy as a global leader in social sustainability by safeguarding responsible businesses and isolating non-compliant players. He stressed that for this mechanism to be successful in market terms, it requires tangible incentives that reward sustainable production practices, thus promoting a virtuous cycle within the industry.

The event concluded with a powerful address from Matteo Ward, CEO of Inside Out Fashion Textiles & Home. Ward urged the industry to find the courage, historically demonstrated during crises, to rewrite existing rules rather than passively waiting for external forces to dictate change. He implored participants to break free from the self-constructed cage that forces a false choice between sustainability and the status quo, advocating for increased awareness, collective action, and strong leadership as essential elements for navigating this period of destabilization and forging a responsible future for fashion.