BY JOAHANNA WICKRAMARATNE
As the fashion industry faces pressure to come clean over environmental claims, local eco-businesses are calling for action to prevent companies from greenwashing.
Regulatory watchdogs the Australian Securities and Investments Commission (ASIC) and the Australian Competition and Consumer Commission (ACCC) launched investigations into greenwashing in March, following a 2022 internet sweep of businesses' environmental claims.
The ACCC’s analysis of 247 businesses showed more than half (57 per cent) had falsely promoted environmental credentials.
The cosmetic, clothing and footwear, and food and drink sectors were found to have the highest proportion of concerning claims among the industries targeted in the operation, according to the ACCC.
Australian independent eco-business founder Sarah Garrett says more should be done to prevent companies from greenwashing.
As the founder of Sustainable Fashion, Ms Garrett says she has put sustainability first since creating the Brisbane-based label 20 years ago.
Ms Garrett says it did not come without its struggles.
“No one was interested in sustainability back then,” she says. “When we were wholesaling, retailers and agents used to tell us that people don’t really care about our ethics.”
But she was determined to show everyone that sustainability is a lifestyle, not a trend. “Everything is always made locally,” Ms Garrett says.
“We drive to our sewers and make sure they are within 30 kilometres of our home where most of our production occurs.”
She believes the proof is in the purchase, thanks to her cost-per-wear rule.
“You pay $100 for our bamboo t-shirt because it was slow-made to last you longer than the ultra-fast and cheap $20 version,” she says.
“I find it so frustrating when independent labels like us work really hard, but big brands are the poster people for sustainability while still doing the wrong things.”
Erika Geraerts, founder of skincare range Frank Body and Fluff Cosmetics, says greenwashing is inevitable across all industries, but sustainability should be a responsibility for businesses.
“The most sustainable thing we could all do is stop producing, but if consumers continue buying, how do we say no?” Ms Geraerts says.
“We have to find ways to tread lightly, while still growing our business and spreading our message.”
Ms Geraerts says these ideas are at odds, but that’s why her vegan brand Fluff prioritises transparent communication with consumers.
“Our podcast, Pretty Hard, continues this conversation and keeps it real with how we do beauty,” she says.
Ms Geraerts says the biggest mistake businesses make is rushing to release more products to satisfy consumer demand, instead of taking a slower approach and controlling the narrative. And the fashion industry should turn its attention to the bigger picture.
“Once businesses invest time into what success looks like beyond profitability, content production is far easier and more fulfilling for everyone.”
Meanwhile, Ms Garrett says the real solution requires regulation.
“There should be tariffs and charges for the cheap stuff coming in, to give us a better playing field.”