Industry-wide, there appears to be positive sentiment and intentions among Australian consumers and businesses towards embracing a circular economy, purchasing second-hand clothing, and minimising textile waste. This is evinced by recent findings from a Reluv survey, which revealed that three-quarters of Australian consumers bought second-hand clothing in the past year. Further, Ebay surveys demonstrated that about one-third of wardrobes consisted of pre-owned fashion items, while about 40 per c
r cent of Australians cited sustainability as a key factor influencing their buying decisions.
Subsequently, retailers are eager to highlight their sustainability efforts – so much so that consumers are wary of greenwashing – with an increase in the number of brands adopting eco-friendly packaging solutions and integrating sustainability into their policies and practices.
However, there is still much work to be done to combat textile waste.
According to estimates from the Department of the Environment and the Australian Fashion Council, Australians collectively discard nearly 800,000 tonnes of clothing and textiles annually, with Australia being the second highest consumer of textiles per person, behind the US.
The significance of this issue prompted the Federal Minister for the Environment and Water, Tanya Plibersek, to caution the industry to get their act together and reduce waste, otherwise the government would step in and introduce relevant regulations.
With this backdrop, Ebay, supported by the Australian Fashion Council, has introduced the Circular Fashion Fund. This initiative pledges $200,000 in funding for Australian start-ups, that are working to change customer behaviours within the fashion industry, and advance the circular economy.
Awarded by a panel of industry experts across fashion, academia, logistics and sustainability, the winning startup will receive a grant of $100,000, while two runners-up will be awarded grants of $50,000 each. Eligible applicants must be based in Australia, and have been in operation for a minimum of six months and a maximum of six years.
The Australian Fashion Council CEO, Leila Naja Hibri, said that the Australian fashion industry needs to transform how clothing is designed, produced, consumed and disposed of, in order to successfully transition to a circular economy by 2030, and to achieve net zero by 2050.
The major prize winner will be announced in February 2024.
Galvanising the industry
Clare Press, a sustainability commentator, author, and host of The Wardrobe Crisis and Ethical Fashion podcasts, is leading a workshop as part of a six-week mentoring program offered to the start-ups chosen by the judges.
Press told Inside Retail that various stakeholders across the fashion industry have become increasingly engaged in addressing eco-sustainability and circularity over the years. This has coincided with the fact that issues related to this are becoming sharper, with less time available to properly grapple with them.
She said that people are becoming more aware of the need to address overconsumption and end-of-life challenges, especially as 2030 targets rapidly approach. However, Press believes that initiatives like “Seamless” – along with governments and other bodies who are working to achieve a more circular economy – are helping to galvanise major players in the fashion industry.
“The Ebay Circular Fashion Fund is a really exciting initiative. We need new players to come in, and bring in new tools that can keep clothing in circulation for longer,” she said.
This enthusiasm is underpinned by the support being offered for start-ups and independent businesses, who can find it difficult to raise funding, build their networks and actualise their ideas.
Press also pointed to positive outcomes that emerged from the United Kingdom, which ran a similar initiative last year. The winning start-up – Seam, an app that connects users with repair and alteration services in their local area – was a strong example of an organisation that’s using innovation and technology to provide relevant, circular solutions
“With the rise of the resale market [and] strong customer demand, people want to know how they can take part. [This is all about] actioning the circular wardrobe,” Press said.
Taking action
Press contended that there are often large gaps between the ambitious goals set out by major brands, and the strategies employed to achieve them. And, considering the size of the global fashion industry’s global footprint, she believes that urgent action must be taken.
However, Press also noted that she’s excited about some of the real action that’s taking place in Australia.
“I feel like, for the first time, we have different stakeholders coming together [and] there’s a feeling of great momentum,” she said.
“The likelihood of a regulated industry, and the issue of product stewardship in fashion, is inspiring everyone to move and take action.”
Press is also encouraged by the rising popularity of the second-hand market, particularly among Gen Z: the demographic that appears to be most on board with this concept.
And while the dearth of local textile and fashion manufacturing in Australia is an issue – with too much waste being exported to other countries – Press believes that producers are largely responsible for what happens to their products after they are sold.
“We need to look at what sorts of recycling and second-life solutions we can build onshore at the moment,” she said.
Positive solutions
In addressing the challenges related to recycling clothing, Press noted a distinction between wearables which are easier to resell and non-wearables, such as damaged t-shirts, which can be more difficult to dispose of. She said that the industry needs textile recycling solutions for the latter category in particular.
Press expressed enthusiasm for the networking and mentorship opportunities that form part of the Circular Fashion Fund.
While there are plenty of discussions about the problems within the industry, she also highlighted the importance of sharing solutions that are underway, or in the works.
“If you don’t tell positive stories, no one will come with you [on this journey],” she said.