From the Sector

• Successful measures to fight against the COVID-19 pandemic with a focus on the safety and health of employees, customers and partners and securing sustainable business development
• Implementation of strategic investment projects and climate targets progressing on schedule – launch of first TENCEL™ branded carbon-zero fibers
• New level of transparency in the textile industry: introduction of blockchain technology
• Target setting: Lenzing raises the bar even higher and sets new sustainability goals

The Lenzing Group presented its Sustainability Report 2020 on April 22, 2021, World Earth Day. Featuring the title “Stand up for future generations”, Lenzing once again emphasized its commitment to taking responsibility beyond the products it makes. The non-financial report, prepared in accordance with the reporting standards of the Global Reporting Initiative (GRI) and the Austrian Sustainability and Diversity Improvement Act (NaDiVeG) and reviewed by KPMG Austria GmbH Wirtschaftsprüfungs- und Steuerberatungsgesellschaft, illustrates how the company is responding to the global challenges of our time.

The 2020 financial year of the Lenzing Group was largely dominated by the COVID-19 pandemic. Lenzing took short-term measures to safeguard its business operations and mitigate the effects of fiber prices and fiber demand which came under increasing pressure. The priority was to protect employees and strengthen long-term partnerships with suppliers and customers. Following the current fight against the coronavirus and its consequences, the company continues to move ahead determinedly to achieve its sustainability targets, also against the backdrop of such a difficult market environment.

With the implementation of its science-based targets, the Lenzing Group actively contributes to mastering the problems caused by climate change. In 2019, Lenzing made a strategic commitment to reducing its greenhouse gas emissions by 50 percent per ton of product by 2030. The overriding target is to be climate-neutral by 2050.*

The launch of the first carbon-zero TENCEL™ fibers certified as CarbonNeutral® products in accordance with The CarbonNeutral Protocol – the leading global framework for carbon neutrality – represents another important milestone from the reporting year. As of June 2021, Lenzing will also market the first VEOCEL™ branded lyocell fibers as certified CarbonNeutral® products.

Promoting the circular economy
Lenzing also sets standards for the entire fiber, textile and clothing industry with respect to the circular economy which is of such crucial importance in climate and resource protection. In order to enhance resource efficiency and offer a solution for the global problem of textile waste, the company developed the REFIBRA™ recycling technology. REFIBRA™ is the only technology in the world enabling the production of new lyocell fibers on a commercial scale from cotton scraps derived from manufacturing cotton clothing as well as from used garments. In this way, an important contribution is made to promoting circularity in the textile industry.*

New level of transparency in the textile industry
In addition to environmental protection, the issue of transparency along the supply chain poses a major challenge to the textile industry. Working in cooperation with TextileGenesis™, Lenzing offers an innovative solution to ensure greater transparency on the basis of blockchain technology. Following several successful pilot projects with renowned fashion brands, this digital platform was ultimately launched in 2020 to enable the traceability of textiles, from the fiber to all stages of production and distribution. Thanks to the innovative Fibercoin™ technology of the TextileGenesis™ platform, Lenzing and its partners are able to issue so-called “blockchain assets” in direct proportion to the physical fiber deliveries of the brands TENCEL™ and LENZING™ ECOVERO™. These digital assets function like a “fingerprint” and thus prevent adulteration.*

Target setting: Lenzing raises the bar even higher
The Lenzing Group operates in line with three strategic principles within the context of its “Naturally positive” sustainability strategy: partnering for change, advancing circularity and greening the value chain.*

*See attached document for more information..

• New level of transparency in the textile industry
• Building on several successful pilot projects with TextileGenesis™, the digital platform for the traceability across the textile supply chain has now been introduced.

The Lenzing Group, a leading company in the area of wood-based specialty fibers, celebrates another milestone on the way to making the textile and apparel industry more sustainable and transparent. Since 2019, Lenzing has been using the blockchain technology powered by the Hong Kong start-up TextileGenesis™ to ensure the traceability of textiles from fiber to production and distribution. After several successful pilot projects, the digital platform was launched on 5 November for TENCEL™ and LENZING™ ECOVERO™ branded fibers. The platform provides customers and partners as well as consumers with an overview across the entire textile supply chain.

With the COVID-19 pandemic, more changes have been brought to the already transforming fashion and textile industries. To date, supply chain traceability has become a top priority for apparel and home brands. With the blockchain-enabled supply chain traceability platform powered by TextileGenesis™, Lenzing supports the entire supply chain in meeting the increasing demand for transparency and sustainability.

Phased onboarding and new digital certificates

A follow-up of a 12-month pilot program and field trials with four leading sustainable brands (H&M, ArmedAngels, Mara Hoffman and Chicks) and supply chain players from 10 countries in three regions, the global roll-out of Lenzing’s blockchain-enabled supply chain traceability platform will be conducted in phases. During the first phase, Lenzing’s supply chain partners based in South Asia (India, Bangladesh, Pakistan and Sri Lanka) will complete the onboarding process within Q4 2020. An estimated 300+ supply chain partners in China and Turkey will also join the program in Q1 2021. It is estimated that by Q2 2021,  most eligible Lenzing supply chain partners will be onboarded into the platform, ensuring full supply chain traceability.

One of the core components of the platform powered by TextileGenesis™ is integration with the Lenzing EBranding fabric certification system, which allows brands and retailers not only to access the full supply chain traceability for TENCELTM and LENZINGTM ECOVEROTM branded fibers but also to view the results of forensic (physical) verification of fabric samples via the digitally signed Lenzing E-Branding fabric certificates. “

Over the past year, during the pilot program and field trials we have been receiving very positive feedback from brands and supply chain partners. Our brand partners have also been encouraging us to accelerate the global roll-out for traceability of Lenzing fibers. With this new system and the integration with Lenzing E-Branding fabric certificates, the entire Lenzing ecosystem will create an unprecedented level of transparency. This will provide consumers with the most sustainable and climate-friendly clothing and home textile products that are made of TENCEL™ or LENZING™ ECOVERO™ branded fibers”, says Robert van de Kerkhof, Chief Commercial Officer and Member of the Board at Lenzing.

“With increasing compliance and reputational risks, CEOs and Boards of top 100 fashion brands have committed to using 100% sustainable and traceable fibers over the next 5 years, with transparency being a core part of business priorities. Sustainability and traceability are two sides of the same coin, and it’s great to see Lenzing paving the way for the entire fashion industry to follow. Our supply chain traceability platform will create digital accounting for Lenzing’s innovative and sustainable fibers across the entire supply chain using Fibercoins™ traceability technology”, says Amit Gautam, Chief Executive Officer and Founder of TextileGenesis™.

Fibercoin™ technology to ensure traceability across supply chain

Through using the innovative Fibercoin™ technology of the TextileGenesis™ platform, Lenzing and other brand
partners are now able to issue digital tokens (blockchain assets) in direct proportion to the physical shipments of TENCEL™ and LENZING™ ECOVERO™ branded fibers. These digital tokens provide a unique “fingerprint” and authentication mechanism, preventing adulteration, providing a more secure, trustworthy, digital chain-of custody across the entire textile supply chain, and most importantly, ensuring the materials are sustainably produced.

The Secoli Fashion Show, live this year on the Camera Moda digital platform, staged the projects of 19 students supported by exceptional companies such as Bemberg™ by Asahi Kasei, which supplied its precious and contemporary materials for the creation of some pieces of the collections.

During Milan Fashion Week the students of Istituto Secoli presented their projects for the traditional appointment of the Secoli Fashion Show, an event that this year has took place in digital version in a particular dedicated section - Italian Education Lab - live on the streaming platform of Camera Nazionale della Moda.

The students designed three women collections and two men collections interpreting the concept of SHAPE.

Brands of excellence supported the young creatives for the creation of the collections, such as Bemberg™ by Asahi Kasei, which provided the printed fabrics - produced by Tessitura Grisotto - for the creation of some pieces of the collections, that were used in particular for shirts and padded outerwear and quilted parts.
 
Bemberg™ is a fiber that comes from the smart and technologically advanced transformation of pre-consumer cotton linter materials and converted through a traceable and transparent process. Its uniqueness comes from its exceptional qualitative characteristics such as the magnificent touch - which is soft and smooth as silk, like a second skin - brilliance and radiance. Bemberg™ also has antistatic and breathable performances and the fiber is biodegradable and compostable too.

The collaboration with these companies is continuous and in the name of the close and interconnected relationship between education and the world of work. A support that is also reconfirmed for Asahi Kasei, who for years has supported the Istituto Secoli with an intense commitment in the field of education to new generations.

In addition to Istituto Secoli, Bemberg™ invests in future generations of professionals in the textile and clothing sector also through BIELLA MASTER DELLE FIBRE NOBILI and Sanchi no Gakko (in Japanese “School of Textile & Yarn Production Site”) founded three years ago and supported for two years by Asahi Kasei through its “Bemberg Lab”.

• Elleti Group takes center stage at Denim PV to present a special project realized in partnership with MYR, and to share a selection of iconic garments belonging to M.O.D.E, the company’s Museum of Denim.
• Collaboration will be the main theme of the two-day event, involving not only the leading company’s expertise in garment-making but also its tradition, starring M.O.D.E in its firstever collaboration with a trade show and in Alessio Berto’s  RE-TRACE workshops series.

London – When it comes to long-established traditions in the denim industry, Elleti Group stands out as one of the main key players: strong in the business since the 80’s, the company is highlyspecialized in laundry and garment-making services while covering the entire denim production cycle in its eleven production hub.

Its heritage and approach define a valuable and renowned legacy that is now taking stage at Denim PV on December 3rd and 4th. For the occasion, Elleti Group joined forces and knowledge with MYR, start-up program conceived to digitalize the creative process and connect users, suppliers and final consumers through a digital platform. Both companies will be in the Garments and Finishings area - booth C3,  howcasing an exclusive project to highlight their creativity and competences.

Starting from a selection of bold designs, entirely envisioned and developed with MYR software, Elleti Group worked to recreate their look and fit on six garments, manufacturing each piece according to its signature innovative and responsible approach. Featuring forefront machinery and cutting-edge processing solutions, this relies on a continuous research effort focused on granting high-quality products while increasingly reducing their knock-on effect on both workers and the environment.

The result turned out to be very impactful and inspiring, with denim solutions which proved the mastery of the leading Italian company in the art of washing, cutting and stitching the iconic blue fabric, as well as the great support that MYR software provided in the development of the collections.

M.O.D.E. x Denim PV: an exclusive exhibition to explore the history of denim

Opened on June 19th, M.O.D.E. – Museum of Denim Elleti Group – is a precious resource located within the company’s Headquarters in San Bonifacio (Italy). Here are 106 pieces dating between the second half of the XIX century and the 70s, resulting in an invaluable testimony of how denim evolved through the centuries. For the first-ever collaboration of the Museum with a trade show, a selection of 20 historical garments is exploring three research areas. These are meant to focus on:

• The brand identity of jeans through the main evolutions at Lee;
• The influence of WWII on the design, the creation and the wearing of clothing;
• The history of overall.