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| Issue date:07/12/2009 |
| ATA Journal for Asia on Textile & Apparel - Dec 2009 Issue |
| Source:Journal for Asia on Textile & Apparel |
| by Michelle Phong |
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| Climate change has aroused concerns over the world and retailers have placed greater emphasis on a greener supply chain. One of the well-prepared textile firms which saw the trend earlier is Crystal Group, an apparel maker in Hong Kong |
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| Kenneth Lo |
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With more than 40,000 employees in 13 factories, Crystal Group is a solution provider in the areas of fashion apparel from design, manufacturing, to logistics and distribution. It currently produces 200 million pieces of apparel a year.
Rising awareness of green products among consumers across the United States, Europe and Japan led retailers to initiate programs to protect their corporate reputation. Marks and Spencer's Plan A is an example. “Retailers are concerned about in lower energy consumption, minimal wastes, more sustainable products and product design and so on, which have a profound impact on the supply chain. We were early to see the opportunities in this aspect,” said Kenneth Lo, Chairman of Crystal Group, at a seminar organized by the Hong Kong Productivity Council in September 2009 in Hong Kong.
In order to be part of a greener textile and apparel supply chain, the company rolled out a "five-year green plan" in June 2007. Environmental targets were to save 20% of energy cost, reduce 30% material wastage and 65% air freight, and to plant about one million trees in five years. About 300,000 trees were planted in China, Vietnam and Sri Lanka, and two large ecological forests occupying totally 600 acres of land have been developed in China.
Mr Lo believed that such short-term investment brings long-term production cost reduction. A top-down approach is essential to influence staffers to rethink their daily tasks in four directions: avoid, reduce, recycle and dispose, he said. This makes Crystal Group more socially accountable, and helps it to achieve better environmental efficiency and cost effectiveness, which have resulted in a better brand image of the company.
More than 100 activities were carried out across Crystal Group’s factories to reduce consuming natural resources |
He also stressed the importance of enhancing eco-efficiency at the factory. One of his factories situated in South China pioneered in joining the Low Carbon Manufacturing Programme (LCMP) of the WWF in 2008. The factory was able to achieve a reduction of 1,500 tons of carbon emission, or 17% in 2008 compared with 2007. The use of electricity and boiler (for steam and hot water) also dropped 17% and 22% respectively in the same year.
Overall, with more than 100 activities carried out across its factories and being ISO 14000 certified, Crystal Group's efforts have been recognized by China's local governments. It was awarded as the Clean Production Enterprise of Guangdong Province and being ranked as a "Green Enterprise" by the Jintan City Environmental Protection bureau in Jiangsu province. In addition, Crystal Group is a participant of the Cleaner Production Partnership Programme of the Hong Kong Productivity Council (HKPC).
The denim production unit of Crystal Group also joined the clean water programs of two well-established brands in the US so as to monitor waste water treatment in denim laundries.
All these efforts have helped Crystal Group to differentiate itself in the market, but they could just be the basic requirements in the future textile and apparel manufacturing sector, as people heighten control over greenhouse gases emissions.
United efforts being sought to combat global warming
The discussion at the United Nations Climate Change Conference in Copenhagen, Denmark, in December 2009 is believed to have a long-term impact on the textile and apparel manufacturing sector.
The two-week conference from December 7, 2009, discussed a possible successor to the Kyoto protocol to continue coordinating international action against climate change. Advocators of environmental protection hoped that agreements can be reached in Copenhagen, considering that the first commitment period of the Kyoto Protocol expires in 2012.
Global emissions must peak in 2015 the latest, said Dr R K Pachauri, Chairman of the UN-established Intergovernmental Panel of Climate Change (IPCC). The changed climate would lead to frequent floods and draughts. UN scientists said that this was an urgent and important matter for the world and called for commitments to combat global warming.
China, the United States and the European Union account for 21.5%, 20.2% and 13.8% respectively of the world’s CO2 emissions in 2006, according to data of the Carbon Dioxide Information Analysis Center (CDIAC) in the US.
It was estimated that developing nations would need 100 billion euros (US$150 billion) per year until 2020 to help them cope with the consequences of global warming. UN climate chief, or Executive Secretary of the United Nations Framework Convention on Climate Change (UNFCCC), Yvo de Boer said in November that both developed and developing countries would need to state what their greenhouse gas emissions cuts will be by 2020. The issue of finance to support mitigation and adaptation in the developing world would also be addressed at the 2009 United Nations Climate Change Conference in Copenhagen, Denmark, held on December 7-18.
The EU proposed to cut GHG emissions up to 95% by 2050 and to deepen cuts from 20-30% by 2020 if other countries promise for similar action. Japan has promised a 25% reduction from 1990 levels.
World top 25 GHG emitters by population and GDP (i.e. developed and developing countries) (Source: World Resources Institute) |
In 2001, the Bush Administration withdrew the United States from the Kyoto Protocol on Climate Change. Now, US President Obama has pledged to reduce its greenhouse emissions in the range of 17% below 2005 levels by 2020 and 83% by 2050. This can possibly come true if the proposals are ultimately approved by the US legislation.
China's Premier Wen Jiabao announced that the country would target to cut carbon intensity, i.e. carbon dioxide emissions per unit of gross domestic product, by 40-45% by 2020, compared with 2005 levels. The Chinese global warming emissions are likely to increase in years to come, but hopefully at a slower pace than its economic growth.
Leaders in the EU, and Kim Carstensen, Leader of WWF Global Climate Initiative, welcomed China's announcement. Given the size of China's economy, the decoupling of China's economic growth from growth in emissions is one of the most important factors that will determine whether the world can get on course to keep temperature rise below two degrees Celsius, he said. |
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Copyright © Adsale Publishing Limited. Credit goes to Adsale Industry Portal when used.
We reserve the right to take legal action against any party who reprint any part of this article without acknowledgement. For enquiries, please contact the Editorial Department. |
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