Ever heard of a passport for products? The European Union has introduced the Digital Product Passport (DPP), a kind of green stamp for sustainability. The DPP is a mandatory electronic record, expected to be fully required by 2030, designed under the EU Green Deal legislation. It’s specifically part of the EU Strategy for Sustainable Textiles and Eco-design, under the European Commission’s Ecodesign for Sustainable Products Regulation. One of the central objectives of the EU Green Deal is to set the EU on a path to become climate-neutral by 2050. The DPP is expected to be in the form of a scannable QR code or another type of tag. Once accessed, it will provide comprehensive details about a product’s origins, material composition, supply chain, sustainability, recyclability and possibly more— all gathered in one place from various interconnected sources. Fashion brands, retailers and manufacturers understand the complexities of their supply chains, making it challenging to disclose every material used in their products. Therefore, they need to prepare for compliance with DPP requirements or risk losing business with EU-based entities. This involves improving traceability by uncovering, gathering and disseminating fabric information.
Who does the legislation apply to?
Any company that plans to manufacture or introduce products in the EU market for the first time must create and maintain a DPP. This responsibility will begin on a specific date expected to be announced this year. Importers and online marketplaces may also fall under this definition.
This regulation applies to products exported to the EU as well. Therefore, stakeholders in the apparel and textile industries across North America, Latin America and Asia should see themselves as part of this regulation, not just European retailers and brand owners.
Finished textile goods are covered, but raw materials, substances of concern and components of the finished products also need to be identified and disclosed in detail, with specific requirements yet to be determined.
All entities (economic operators) placing products in the EU market will be subject to this regulation— including non-EU companies.
Textile and apparel brands, retailers, manufacturers, marketplaces and more should start preparing their product and location identification processes now.
A European Commission-funded group, CIRPASS, has been tasked with preparing the ground for the gradual piloting and deployment of DPPs. The project consortium comprises 31 partners representing thousands of industrial, research, digital and international standards and regulatory organisations and NGOs across Europe and beyond. The group will respond to the European Commission’s call to create a clear concept for DPPs, define a cross-sectoral product data model and develop a DPP system with demonstrated benefits for the circular economy as well as develop roadmaps for its deployment.
| While Bangladesh has demonstrated its strength in sustainability, awareness on Digital Product Passport remains limited. In discussions with Apparel Resources (AR), many exporters admitted they are not well-informed about this concept. Even some exporters working with European clients are not yet taking action. |
What information will be included in the DPP?
Several distinct data categories can be gathered and then shared across entire ecosystems and value chains:
General: This includes overall product information used to identify the product’s origin such as product IDs and batch numbers, reference numbers, weight/volume, manufacturing facility location and dates and manufacturer/operator ID. It will help consumers verify the authenticity of products.
Source: This relates to the type and origin of raw materials and components used in product manufacturing. It includes information on chemicals, plastics, ingredients and substances, as well as details about previously recycled and recovered materials. The sustainability of the manufacturing process and adherence to ethical practices can also be recorded, allowing consumers to validate a company’s green claims.
Footprint: This involves data related to the carbon footprint, expected waste generation and environmental impact of the product throughout its lifecycle. It interprets data from the above categories, providing details on energy use, emissions and recyclable materials.
Ownership: Details about past and current owners of a product, including ownership duration. This information can be configured based on unique use cases, such as clothing and luxury goods resale, where ownership can be transferred through the digital passport application.
Maintenance: Details about the repairability of a product and actual repair events throughout its life. This includes information about the repair location/outlet, the repair itself and associated costs. For example, a luxury watch owner initiating a repair after accidental damage, with all details recorded in the digital passport.
Documentation: Digital versions of warranty, service, insurance and guarantee documentation stored within a digital passport, accessible to all relevant parties.
Instructions: The DPP will store instructions and protocols for various operations, such as disassembly and recycling, end-of-life and disposal, along with procedures for repair, refurbishment, upgrade or reuse.
| The DPP is a mandatory electronic record, expected to be fully required by 2030, designed under the EU Green Deal legislation. It’s specifically part of the EU Strategy for Sustainable Textiles and Eco-design, under the European Commission’s Ecodesign for Sustainable Products Regulation. |
Bangladesh Exporters: Aware or not?
While Bangladesh has demonstrated its strength in sustainability, awareness on Digital Product Passport remains limited. In discussions with Apparel Resources (AR), many exporters admitted they are not well informed about this concept. Even some exporters working with European clients are not yet taking action. However, a few exporters are aware and have plans in this regard.
The positive aspect of this situation is that exporters are confident that, despite the initial challenges, they will adapt as needed. “It’s a buyer-driven market and we have to follow the buyers. When it comes to sustainability, we prioritise whatever instructions are given, so the Digital Product Passport will be implemented by us—it’s just a matter of time,” said one leading exporter, who requested anonymity.
On the other hand, some companies are already taking proactive steps. Nordic Textile, a buying house working with brands in a top-down approach, is focusing on ESG and pushing DPP technology. It has also partnered with a company called Unisot in Norway, which is one of the leading DPP systems in the country.
Maheer Mannan, Co-founder of Nordic Textile and Deputy MD of Shangu Tex, informed, “We have been introducing DPP to our local suppliers and buyers. Our buyers are very interested since, in a few years, everyone will move to this and they have a deadline.” Pushing this initiative has helped the company connect with new, high-quality buyers.
Exporters like Maheer, who are keen on all aspects of sustainability, believe it is better to have an early mover advantage regarding DPP, especially with many buyers keen on traceability measures.
Some companies believe that since they have similar options in place, DPP won’t be a significant challenge for them. Md. Monirul Islam, Manager of HR and Sustainability at JM Fabrics Ltd. (New Asia Group), shared that they offer products under the Oeko-Tex® MADE IN GREEN label, a traceable certification awarded to textiles and leather products that meet stringent criteria in three key areas: Safety from Harmful Substances, Environmentally Friendly Production and Social Responsibility in Manufacturing. This label can be applied to articles at any stage of production, offering f lexibility and broad applicability. Each MADE IN GREEN label comes with a unique product ID and a QR code, which enhances transparency by providing detailed information about the item’s manufacturing process, including the locations and conditions under which it was produced. By scanning the QR code, anyone can easily verify the product’s conformity and trace its journey from raw material to finished goods.
