The new academic research from Loughborough University London presents a bold challenge to the established narrative surrounding circular fashion economics. It posits that the often-referenced $500 billion potential savings figure could be overestimated by as much as $450 billion, revealing deep-seated flaws in the industry’s promises to address textile waste and carbon emissions while simultaneously boosting economic growth.
Led by Talia Hussain, the study meticulously analysed 20 influential reports from esteemed non-academic organisations like the Ellen MacArthur Foundation and McKinsey. It highlighted that these documents often lack clarity and connections to established economic theory, calling the viability of current circular fashion strategies into question.
Fashion’s sustainability challenges continue to plague the industry, failing to be effectively tackled. Ms Hussain noted, “At every stage and every scale, we observe problems,” ranging from water overexploitation to textile waste. She warns that the embrace of circularity doesn’t survive scrutiny, raising alarm over the pervasive issues faced by the sector.
The research exposes a paradox recognised by many professionals: the conflict between the ambitions of economic growth and the realities of circularity. The findings indicate that while circularity might aim to enhance sustainability, it often does so at the cost of profit margins due to heightened processing expenses and diminished production volumes. This could lead to reduced company revenues and compromised manufacturing business models.
Employment concerns also arise, as genuine circular systems could threaten millions of jobs in developing nations and undermine the nascent sustainability infrastructure. “Whispers of doubt” regarding circular business models have echoed in industry circles, indicating skepticism about their potential for sustainable profitability, as reported by Ecotextile News.
Moreover, the research criticises the misplaced focus on consumer behaviour as the catalyst for change, urging the industry to concentrate on systemic failures like unsold inventory and production inefficiencies instead. Emphasising a shift towards producing high-quality garments would naturally extend product lifecycles while potentially preserving profit margins in the process.
Most alarming is the revelation that many technologies needed for circular systems have been available for years. The primary barrier is not the technology itself but rather the troubling economic incompatibility with profit-driven business approaches. As policymakers develop new frameworks grounded in circular economy principles, the researchers stress the urgent need to address these fundamental economic contradictions to avoid ineffective or detrimental policies.
A recent study from Loughborough University London questions the circular fashion economy, claiming that the touted $500 billion savings might be overestimated by up to $450 billion. The research identifies fundamental flaws in economic assumptions behind circularity, suggesting that the reality of sustainability challenges and inherent contradictions threaten not just profits, but also employment in developing nations. Additionally, it calls for a shift in focus from consumer behaviour to systemic issues within the industry.
In summary, this groundbreaking research reveals stark flaws in the circular fashion economy narrative, emphasising that the projected economic savings may be wildly exaggerated. It challenges the industry’s approach to sustainability, highlighting the need for systemic reforms over reliance on consumer behaviour. With established technologies at hand, the economic incompatibility of circularity with traditional profit models emerges as a significant barrier, urging stakeholders to rethink their strategies moving forward.
Original Source: fashionunited.uk
