Session #2 UNECE Policy Recommendation, Guidelines and ......Session #2 UNECE Policy Recommendation,...
Transcript of Session #2 UNECE Policy Recommendation, Guidelines and ......Session #2 UNECE Policy Recommendation,...
Session #2UNECE Policy Recommendation, Guidelines and Call to Action
(15:10–16:00)
Enhancing Transparency and Traceability for Sustainable Value Chains in Garment and Footwear
3rd Policy Dialogue: Accelerating Action for Sustainable and Circular Value Chains - 23&24 Nov. 2020
Enhancing Transparency and Traceability for Sustainable Value Chains in Garment and Footwear
Where do we stand with the Policy Recommendation ?
Maria Teresa PisaniProject LeadEconomic Cooperation and Trade Division, UNECE
- Business Process/Sustainability Risks Analysis - Business Requirements Specifications- Reference Data Model
1. POLICY RECOMMENDATION
4. BLOCKCHAIN PILOTS & CAPACITY
BUILDING
2. TEXTILE TRACEABILITY
STANDARD
3. LEATHER TRACEABILITY
STANDARD
1. POLICY REC GUIDELINES CALL TO ACTION
STAKEHOLDERS MAPPING
STAKEHOLDERS QUESTIONNAIRE
DESK RESEARCHPOLICY/LEGAL COMPENDIUM
POLICY MEASURES
TT SYSTEM COMPONENTS CALL TO ACTION
EXPERTS CONSULTATION + PUBLIC REVIEW
Traceability & Transparency Framework
- Pilot concept - Partners engagement- User stories collection &
claims identification- Solution design
DEVELOPMENT STEPS
#Policy Recommendation Enhancing Transparency and Traceability of Sustainable Value Chains in Garment and Footwear
Desk and Field Research
Jan Mar
2020 Jan Mar July Nov 2021 Jan Mar Apr
2020 2021
Finalization Publication Translation
Jan Mar
Adoption UN/CEFACT Plenary
Apr
Launch UNECE Session
Apr
Today
Drafting of Policy Rec
Mar MayPolicy Rec
Guidelines
Call to Action
Compendium
Drafting of Guidelines and Call to Action
May Sept
UN/CEFACT Open Development
Process
POLICY REC & GUIDELINES TIMELINE
Public Review
Oct Dec
UN/CEFACT Public Review launched20 Oct – 20 Dec 2020Policy Recommendation, Part IGuidelines, Part II
https://uncefact.unece.org/display/uncefactpublicreview
LAUNCH OF THE PUBLIC REVIEW
20 Oct – 20 Dec 2020 https://uncefact.unece.org/display/uncefactpublicreview
TEMPLATE TO PROVIDE COMMENTS
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A. Introduction• Transparency and traceability: key enabelers
for compliance with policy/regulators/ corporate objectives for sustainability and circularity and for solid claims
F. Recommandation
• 5 cluster areas and 9 recommendations: norms and standards and reference to minimum data set; Incentives; R&D scaling up innovation; Awareness and education of consumers; Multi-stakeholders collaborative initiatives
E. Challenges• Organizational & technological complexities• Data: privacy and security, reliability and authenticity
• Investments in advanced technologies: e.g. blockchain, RFID
Link to Call to Action – Mechanism to monitor impact and facilitate sharing of experiences and good practices
POLICY RECOMMENDATIONS - PART I (DRAFT 20 OCT)
D. Purpose & Benefits• A level playing field: incentive for good actors• Globally recognized approach: for data sharing• Better access to remedies: for workers and consumers• Fight to counterfeiting and illegal trade
B. Scope• Whole Value Chain: from raw material
production, through manufacturing, to consumption and post-consumption
• Action areas: for Recommendations
C. Target audience• Public-sector policy makers• And: Business and industry associations;
Consumers and consumer associations; IGO; Investors/shareholders; Local authorities; NGOs; Scientific and technological community; Workers and trade unions
Multi-stakeholders collaborative initiativesi ) Support collaborative initiatives to achieve industry-wide change and create shared value for all industry actors: (i) A global, open-sourceknowledge platform; (ii) Multi-stakeholder policy dialogues; (iii) Pilot projects with innovative approaches and advanced technologies
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Norms & Standardsa) Harmonized policies and regulations for policy coherenceb) Minimum levels of traceability, from raw materials sourcing, for products, processes and facilitiesc) Companies’ efforts to embrace higher transparency, e.g. names/addresses of suppliers’ factories, and sharing of info on sustainability performancec) reduced implementation burden through use of international standards and use of existing data
SECTION F -RECOMMENDATION
Incentivesd) Economic and fiscal e) Non financial: sustainable procurement, fast customs clearance, specialized training, IT investment and technology transfer, non-financial reporting requirements, public visibility, peer learning
R&D and scaling up innovationg) Support R&D and scale-up innovation for: (i) Tracing and verifying authenticity and provenance; (ii) Advancing sustainability/circularity ofproduction and consumption processes; (iii) Increasing the lifespan of products; (iv) creating more sustainable material (iv) Recycling ofgarments and textiles(Awareness and consumers education(h) Provide education in order to: (i) Allow consumers to make informed choices (ii) Create an awareness of the shared responsibility of allstakeholders, and (iii) Increase the demand for materials, products and processes that are more responsible and sustainable.
Ec & Fiscal incentives
Green & Responsible Procurement
Fast-track/Fast custom clearance
Specialized managerial & workforce training
IT investments and technology transfer
Non-financial reporting requirements
Public visibility (B2B and B2C)
Peer learning
Availability of User-friendly interface tools
Development and promotion of open-source technologies ENABLERS
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REC E &F INCENTIVES – SAMPLE MEASURES
Incentives that could be put in place to support the implementation of a traceability system
(e) Provide economic and fiscal incentives (positive and negative):for establishing and implementing value-chain traceability andtransparency systems
(f) Provide non-financial incentives, including measures tofacilitate access to markets
…especially in support of SMEs, small farmers and producers, andother vulnerable groups
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IMPLEMENTERS – SAMPLE MEASURES#Policy Recommendation Enhancing Transparency and Traceability of Sustainable Value Chains in Garment and Footwear
(a) Regulation for transparency and traceability(b) Adoption/promotion of international standards for data
collection & exchange
(f) Financial and non-financial incentives, e.g. sustainableprocurement, fast customs clearance
(i) Public communication and information campaigns
POLICY MAKERS
BUSINESS AND INDUSTRY ASSOCIATIONS
(b) Action plans with targets for transparency and traceability
(g) Product passports
(g) Investment in advanced technologies (blockchain systems/DNAmarkers)
CIVIL SOCIETY
(h) Consumers education
(i) Collaborative initiatives to achieve industry-wide change
Enhancing Transparency and Traceability for Sustainable Value Chains in Garment and Footwear
Where do we stand with the implementation Guidelines?
Virginia Cram-MartosCEO Triangularity, UN/CEFACT project expert
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A. Introduction• Purpose: Practical guidance on the
development of traceability systems To Support Claims and Regulatory Compliance For Sustainable and Circular Garment and Footwear Value Chains
• Target audience: High Level Government and Private Sector Managers with implementation responsibility
F. Creating inclusiveness in traceability systems
E. Supporting role of advanced technologies• Opportunities and challenges• Type of supporting technologies: e.g. AI, IOT,
Blockchain, Internet Cloud Services, Advanced product labelling (QR, RFID, DNA markers, NFC labels)
• Criteria for their selection and impact
• The digital divide• Gender considerations• Small- and medium-sized enterprises• Integrating Developing Countries
Annex– Action Plan: A step-by-step approach to frame and implement a traceability system
GUIDELINES - PART II
D. Cost allocation & incentive systems• Costs related to traceability and transparency: e.g.
costs for development of the system; data collection and exchange, certification, inspections, audits, etc.
• Type of incentives: financial and non-financial, public vs private
• Criteria of cost structure for value-chain partners
B. Traceability principles• 9 Principles: Awareness, Knowledge, Risk-
based Analysis, Commitment, Engagement, Structured implementation, Norms & Standards, Appropriate technology, Inclusiveness
C. Key traceability systems concepts• Claims• Traceable Assets• Logistics Units• Unique Identifiers (IDs)• Entry & Exit Points• Traceability models• Verification criteria• Verification processes
s
Illustrations by Econceptive, Lakshisha and Wolf Böse from the Noun Project
Which claims & principles willsupport ourcorporateobjectives?
How can weimplement aninclusive system?
How can wecollect/trace data across a value chain?
How should costsand incentives be distributed?
How do we define a traceable asset?
How can weverify data across a value chain?
Which standards& new technologiescould we use?
TO HELP YOU ANSWER QUESTIONS…..
From raw material production,
…..through manufacturing and branding,
to consumption and post-consumption
Input (Chemical/Pesticides) WaterEnergyCO2SoilAir Thermic Noise BiodiversityDeforestationHabitatWaste/End-of-life Animal Welfare
Child labourForced LabourLand UseWork & Social protectionTrade Unions & Collective bargainingSexual harassmentGender inequalityDiscriminationHomeworkers
PermitsContracts Compliance to legislation/regulations
Management /Administration Quality Inspections /Certificates
Environment Social Health
Characteristic
RequirementValue
ObservationActual Value
Evaluation Criteria
Degree of fulfilment
Data component
Sustainability Data
Health Safety
Product FacilityProcess
GUIDELINES - PART II
Traceability Information CollectionWhat we need to trace and assess
WhereWhenWhyWhatWho
For Each Activity/Event
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GUIDELINES - PART II#Policy Recommendation Enhancing Transparency and Traceability of Sustainable Value Chains in Garment and Footwear
TT Principles
9 Principles
Key TT system concept
8 Components
Processes, procedures & technology
TT Action PlanStep by step implementationapproach Governance structure
TT Framework• Provides the basis for increased collaboration across value chains• Supports your journey to a more sustainable future
Enhancing Transparency and Traceability for Sustainable Value Chains in Garment and Footwear
Francesca Romana RinaldiCoordinator of SDA Bocconi Sustainability Lab Community for Circular FashionUN/CEFACT project expert
Where do we stand with the Call to Action?
Civil society collaboration initiative
Foundation/ Association initiative
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establishing a mechanism for supporting
the implementation of themeasures proposed in theRecommendation
to take action for traceability and
transparency with the goal of
accelerating sustainabilityand circularity of value chains
Public initiative
Private initiative
The Call to Action invites all actors inthe garment and footwear industry
Public-private initiative
THE CALL TO ACTION
POSSIBLE OUTCOMES
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Enhanced visibility of compliance with sustainability and circularity requirements
Enhanced traceability of the social/environmental/ethical attributes of product(s)/materials, processes and organizations along the value chain
Measurable impact on sustainability in value chains over time
Increased environmental and socially responsible consumption and production patterns
Special attention to SMEs, small producers, farmers, and other groups including, women, young workers, home-based, informal/invisible and migrant workers
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“As there is no universally applied methodology for the
sustainability impact valuation and measurement,
some reference scheme could be added”
“It is important that companies carry out a due
diligence exercise on human rights to identify which specific vulnerable groups they should
consider”
HIGHLIGHTS FROM THE EXPERTS CONSULTATION
How can we make the Call to Action effective?Monitoring Implementation and Assessing Impact
1. Refer to relevant goal(s) and specific target(s) of the UN 2030
Agenda
4. Asking about strategic/public awareness activities
3. Asking about good practices
2. Establishing KPIs for the Actions (specific for each stakeholder)
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5. Establishing a Platform for sharingexperiences and lessons learned
8. Inviting Member States to formally disseminate information about the Call
to Action
7. Preparing a Report to be presented to Member States and the General
Public
6. Reaching out to parties in the Call to Action to receive updates on
progress
MONITORING, IMPLEMENTATION AND ASSESSING IMPACTS
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Open for comments to UNECE secretariat by 20/12/2020
See item 11 - ECE/TRADE/C/CEFACT/2020/6http://www.unece.org/index.php?id=55141 (EN-FR-RU)
ON GOING UPCOMING
Launch of the Call to Action 26/11/2020 (UN/CEFACT Plenary endorsement)
Send commitment(s) to action(s) to UNECE secretariat
LAUNCH OF THE CALL TO ACTION
EXAMPLE: PRIVATE INITIATIVE (REAL CASE)
Who: SDA Bocconi Sutainability Lab Communityfor Circular Fashion (5 Members: 2 Ingredients, 2brands, 1 Platform/ERP - November 2020 update)
Where: Italy
What: Launching a Circular Fashion Manifestohighlighting the importance of Transparency andTraceability as enablers of Sustainability andCircularity
How: Through the identification of KPIs andrequirements to scale-up circular pilot projects ingarment value chains
Who: Blockchain for Made in Bangladesh
Where: Bangladesh
What: Traceability and transparency to validatesustainability claims and promote fair practices ingarment manufacturing
How: Through the conception andimplementation of a Blockchain pilot project
EXAMPLE: PUBLIC INITIATIVE (SIMULATED)
Enhancing Transparency and Traceability for Sustainable Value Chains in Garment and Footwear
Claudia di BernardinoLawyerUN/CEFACT project legal expert
Where do we stand with the Mapping of supporting policies, regulations and guidelines?
Tool
For monitoring the changing policy and regulatory framework and checking business compliance with regulations and policies
Asset
For connecting different stakeholders and fostering the implementation of sustainable development measures
What isthe Mapping Document
Objectivesfrom the Policy Recommendation to its application
P O L I C Y M A K E RS
Fill the gaps through new Legislations and Guidelines
B U S I N ES S A N D I N D U S T RY
A S S O C I AT I O N S
Monitoring & AssessmentCompliance & Risks
CO N S U M E RS , WO R K E RS a n d
N G O sRights & Protection
S C I E N T I F I C A N D T EC H N O LO GI C A L
CO M M U N I T Y
State of the Art Research & Development
Policy Recommendation Stakeholders
Identification of National, European or International Frameworks on Transparency and Traceability
Industries
Geographical Areas
Average
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Cross-industry (85)Garment and Footwear (12)
Animal Welfare (12)Agri-Food (14)
Minerals (3)Cosmetics (2)
Timber (3)
430 million employees working in textile production
World Bank (2017) Total Labor Force
Europe (75)America (16)Oceania (3)
Asia (8)Africa (20)Global (15)
+ 100 Policies, Regulations and Guidelines
Mapped
Due Diligence Circularity Sustainability claims Consumers’ rights and protection Human rights Environment Animal Welfare Labelling Non-financial Reporting
Key Topics
Advanced Monitoring of Policy andRegulatory Framework on Transparencyand Traceability
Continuous Inputs from UNECE Experts
Digital Mapping Update
Open Stakeholders Forum
Interactive Platform
Reports
A Traceability and Transparency Knowledge Platform on Regulations, Policies and Guidelines
Moving towards an Integrated and Collaborative Approach
Thank you!