BY THE OPTIMIST DAILY EDITORIAL TEAM
The global fashion industry is gearing up for a new level of transparency. One that might soon be sewn into the very labels of your clothes. By 2027, garments entering the European Union could be required to carry digital product passports (DPPs), offering consumers an unprecedented look into the environmental and social footprint of what they wear.
These digital passports, accessed through QR codes or smart tags, will reveal a garment’s full backstory: where it was made, what it’s made of, how much energy and water went into its production, and even who was involved at each stage. The move is part of the EU’s wider effort to stamp out greenwashing, the practice of making products seem more eco-friendly than they actually are.
“As consumers place a higher premium on sustainability and transparency, the digital product passport could be a key tool to provide granular records about the environmental footprint of each piece of cloth,” said Asif Ibrahim, vice chairman of Newage Group of Industries in Dhaka.
What’s driving this shift?
The $1.7-trillion global fashion industry has long faced criticism for its lack of transparency and its enormous environmental toll. While brands often boast about sustainability initiatives, a 2023 Greenpeace report found that many of these claims are misleading, especially when it comes to recycling.
For example, some companies highlight recycled content in their garments, but much of it comes from plastic bottles, not from textile waste, a practice that does little to reduce the industry’s dependence on virgin materials.
“Providing authentic and traceable data from across the supply chain is key to stop the problem of greenwashing,” said Rezwan Ahmed, CEO of Aus Bangla Jutex Ltd, which produces accessories from recycled and organic cotton.
Bangladesh braces for the digital upgrade
As the world’s second-largest apparel exporter, Bangladesh will be deeply impacted by the EU’s new passport requirement. And while large manufacturers may be more prepared, many small and mid-sized producers are not.
That’s a problem, considering that smaller factories make up a significant share of the country’s more than 3,300 export-oriented garment manufacturers, according to Mapped in Bangladesh, a data initiative from BRAC University.
Meeting the new passport standards will require major upgrades in both hardware and digital literacy.
“Suppliers will need support from global fashion brands and development organizations to upgrade their capacity—while the government should incentivize the early adopters,” said Ibrahim.
Blockchain meets the sewing machine
To tackle these challenges, several Bangladeshi manufacturers are partnering with tech companies like Aware, a Dutch firm that uses blockchain technology to track data securely and transparently.
Here’s how it works: as fabric moves through each production stage, from cotton ginning to garment finishing, key data such as water usage, yarn count, and dyeing details are entered into Aware’s blockchain platform. Once verified by third parties, this data generates a QR code that consumers can scan to see the garment’s digital profile.
“The manufacturers will have control over what they disclose to their brands and consumers—we want to give the manufacturers ownership of data,” said Md. Muyeed Hasan, Aware’s Bangladesh country manager.
Helping small players get on board
Rolling out a digital passport system across thousands of factories is no small feat. That’s why local and international partners are launching pilot projects to help smaller businesses prepare.
DigiProd Pass, a UK-based company, is working with the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) to develop training programs and tools that can simplify the transition.
“We’re launching pilot studies and plan to train smaller businesses to help them adapt,” said Salauddin Sohag, managing director of DigiProd Pass.
A turning point for fashion transparency
The digital product passport may sound futuristic, but it’s rapidly becoming a reality. And for an industry often criticized for opacity and environmental harm, it could be a game-changer.
If successfully implemented, these passports could empower consumers to make informed choices, pressure brands to back up their sustainability claims with data, and help regulators hold companies accountable.
But the passport’s success will depend heavily on global collaboration between brands, suppliers, governments, and tech innovators, as well as a commitment to support the entire supply chain, not just the biggest players.
By 2027, a quick scan of a clothing tag could tell you a whole lot more than size and price. It might just show the path toward a greener, more honest fashion industry.
