Barbara Strozzilaan 201
1083 HN Amsterdam
The Netherlands
gssbsecretariat@globalreporting.org

GRI Sector Standards Project forTextiles and Apparel
Project proposal
Approved by the Global Sustainability Standards Board (GSSB) on 10 February 2022

To contact the project team email textiles-apparel@GlobalReporting.org.

© GRI 2022

Contents
Project background ................................................................................................................................................ 3
Sector overview ..................................................................................................................................................... 3
Sustainability impacts ............................................................................................................................................. 4
Project objectives ................................................................................................................................................... 5
Division of responsibilities ...................................................................................................................................... 5
Timeline ................................................................................................................................................................. 6

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Project background
In February 2019, the Global Sustainability Standards Board (GSSB) approved the GRI Sector
Program to improve clarity and consistency in sustainability reporting.
The key criterion for prioritizing sectors is their sustainability impacts.
This considers the significance of the sector's impacts, considering their scale, scope, character, andlikelihood. It also considers the sector's size, distribution around the world, and the number oforganizations from that sector that are in a position to use the GRI Standards. A second criterion forprioritizing a sector is the potential to exploit learnings and synergies from other Sector Standards
recently developed.
The first pilot sector standard – GRI 11: Oil and Gas Sector 2021 – is finalized and has been released.
The GSSB is currently considering the Sector Standard for Coal for approval, the Sector Standard for
agriculture, aquaculture, and fishing is in the final stages of content development, and a fourth Sector
Standard for mining is under development. A project proposal for a Sector Standard for food andbeverages is also being presented to the GSSB.
Textiles and apparel is prioritized for standard development, according to the list of sectors approvedby the GSSB in November 2020.

Sector overview
It is proposed that the Sector Standard for textiles and apparel will apply to organizations whose
primary focus lies on:•Textile production•

Apparel manufacturing•

Footwear manufacturing•

Apparel and footwear retail

The textiles and apparel sector provides a basic societal need (clothing). It encompasses a broadvalue chain from the production of raw materials and fibers to spinning, weaving, knitting, dyeing,finishing, cutting and sewing, logistics and distribution, and apparel retail sales.
The textiles and apparel sector is widely distributed across the globe, with major retailers in theclothing industry located in the United States, Europe, and Australia, and major manufacturers locatedin developing countries such as India, China, Turkey, Pakistan, Indonesia, Bangladesh, etc. Therefore,products are traded across countries. Many organizations are vertically integrated, but this is a highly
competitive and fragmented sector.
It is proposed that the Standard be titled 'GRI 16: Textiles and Apparel Sector 20XX'.
The scope and name of this standard may deviate from this proposal following recommendations fromthe Textiles and Apparel Working Group.

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Table 1 lists the relevant classifications from external classification standards, specifically theInternational Standard Industrial Classification of All Economic Activities (ISIC), Industry Classification
Benchmark (ICB), Global Industry Classification System (GICS), and SICS Sustainable Industry
Classification System® (SICS®)1.
Table 1: Proposed sector key for the Sector Standards Project for Textiles and ApparelClassification
Standard
ISIC

Classification
No.
13

Classification Name

14

Manufacture of wearing apparel

15

Manufacture of leather and related products

4641

Wholesale of textiles, clothing, and footwear

4751

55101020

Retail sale of textiles in specialized stores
Retail sale via stalls and markets of textiles, clothing,
and footwear
Washing and (dry-) cleaning of textile and furproducts
Textile Products

40204020

Clothing and Accessories

40204025

Footwear

40204030

Luxury Items

40401020

Apparel Retailers

252030

Textiles, Apparel & Luxury Goods

25504010

Apparel RetailCG.1

Apparel & Textiles

4782
9601
ICB

GICS
SICS®

Manufacture of textiles

Sustainability impacts
Textile and apparel products are highly traded across borders, following a complex and multi-layered
value chain that may prevent stakeholders from identifying sustainability impacts of organizations.
Apparel is a labor-intensive industry, and it is estimated that 75 million people are employed in clothes
manufacturing today, 80% of whom are young women between the ages of 18 and 24 2. Poor working
conditions and wages not meeting living standards are on the agenda among the concerns in the

1 Sustainable Industry Classification System® or SICS® is the classification system of SASB.

2 Elizabeth Reichart and Deborah Drew, ‘By the Numbers: The Economic, Social and Environmental Impacts of “FastFashion”’, 1 October 2019, https://www.wri.org/insights/numbers-economic-social-and-environmental-impacts-fast-fashion

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textiles and apparel sector. According to the United States Department of Labor 3, there is evidence offorced and child labor in the fashion industry in Argentina, Bangladesh, Brazil, China, India, Indonesia,
Philippines, Turkey, Vietnam, and more.
Production of textiles and apparel has notable environmental impacts, including water pollution and therelease of microplastics. Waste is also a critical issue for the industry, with more than 80% of clothes
and other textiles ending its life being incinerated or landfilled4.
These impacts are provided to give a first indication of the scope of issues covered by the proposed
project. However, the issues recommended for inclusion within the Sector Standard for textiles andapparel will be determined by a multi-stakeholder process in accordance with the Due Process
Protocol and may diverge from those contained within this project proposal.

Project objectives
The primary objective of this project is to develop a Sector Standard that improves the sustainability
reporting of textiles, footwear, and apparel organizations, making reporting more complete andconsistent across the sector.
This Sector Standard will:•••

Identify and describe the topics that are likely material for a reporting organization in thetextiles, footwear, and apparel sector based on the sector's most significant impacts.
Provide evidence and authoritative references for these topics to assist organizations inidentifying if they are material for them.
Identify and list appropriate disclosures for reporting on those topics.

As per the new GRI Universal Standards, organizations in the textiles and apparel sector that want toreport in accordance with GRI standards will be required to use this Sector Standard.
Recommendations may also be made by the Textiles and Apparel Working Group regarding:•The scope, key, and name of the Sector Standard.

•Considerations that may be relevant to Sector Standards for related sectors.

•Revisions or updates to other GRI Standards.

Impacts identified within this project for which no GRI Standard exists will be assessed and prioritizedby the GSSB for future GRI Standards development.

Division of responsibilities
A multi-stakeholder Working Group will be formed to identify the most significant impacts for thetextiles and apparel sector and give recommendations on the development of the Standard.
The Standards Division will draft the Standard, and the GSSB will have oversight and final approvalover the Standard before its release. The Standards Division will ensure coherence between theSector Standard for textiles and apparel and any Standards approved or under development.

3 U.S. Department of Labor, ‘List of Goods Produced by Child Labor or Forced Labor’, 23 June 2021,

https://www.dol.gov/agencies/ilab/reports/child-labor/list-of-goods
4 European Parliament, ‘The Impact of Textile Production and Waste on the Environment’, 29 December 2020,

https://www.europarl.europa.eu/news/en/headlines/society/20201208STO93327/the-impact-of-textile-production-andwaste-on-the-environment-infographic

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The project will be conducted in accordance with the GSSB Due Process Protocol.

Timeline
The commencement date of this project has not been determined and is subject to resource
availability. Table 2, on the following page, outlines the anticipated project duration. The
commencement date and the predicted dates of other key milestones will be confirmed once known.

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Table 2: Estimated duration of Sector Standards Project for Textiles and Apparel55 Project scheduling changes may occur over the course of the project, including extensions to the duration of project due to approval processes or other circumstances.