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AII supply chain programmes realize $38m savings for apparel facilities

BTJ Desk Report
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AII supply chain programmes realize $38m savings for apparel facilities

Fashion production facilities that have harnessed supply chain programmes introduced by the Apparel Impact Institute (Aii) saved a total of US$38m in 2021 according to a new report.

The Apparel Impact Institute (Aii) in its Apparel Impact Report for 2021 noted that garment facilities that completed their programmes in 2021 – the Carbon Leadership Program or the Aggregated renewables Pilot – saved on average $700,000 per facility.

For those that started programmes in 2021, Aii is estimating total savings of $54 million, around $800,000 per facility.

In 2021, Aii released two reports that informed its work and subsequent acceleration of resources — The Roadmap to Net Zero with World Resources Institute and Unlocking the Trillion-Dollar Fashion Decarbonisation Opportunity with Fashion for Good and HSBC.

Aii’s Carbon Leadership Program, with collaborating partner, RESET Carbon, transitioned to a permanent programme based on the pilot’s success for supporting manufacturers setting and achieving carbon targets.

Its Aggregated Renewables Pilot, with collaborating partners CEIA and IDH, became fully funded and reached recruitment goals.

Its implementation programmes, grounded in Clean by Design, expanded to new regions, including Italy, South Korea, and the United States.

These projects resulted in actual GHG reductions of 316,451 tonnes for the year for facilities that completed programmes in 2021, with another 482,706 tonnes forecast for facilities that started programmes in 2021. The payback time on capital invested was just 9 months for the former and is expected to be 13 months for the latter.

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