A new system backed by primary data and public blockchain will replace transaction certificates (TC) in the drive toward greater traceability in the textile sector while at the same time reducing audit fatigue.
Solution applicable on a global scale for textile tracing Aware claims that by utilizing primary data and a public blockchain in their crypto TC solution, it has rendered TC audits to be obsolete. This will "change the game in textile traceability," according to Aware.
According to Aware, Digital Product Passports (DPP) are frequently viewed as the new solution to nail traceability. However, the majority of DPPs rely on data that is based on the same transaction certificates, which puts the same amount of pressure on suppliers in the form of fees, audits, and unnecessary paperwork.
“The world has become more transparent and traceable as technology has advanced rapidly in recent decades. Even brands and suppliers dont have clear supply chains, therefore neither can consumers. Private databases are essential to the textile business, however public blockchains are a good mass balancing solution and are employed in other industries.
Aware co-founder and marketing director Koen Warmerdam says: “The industry has a simple solution to a very inefficient and complex certification process. Brands and suppliers want impact and visibility. “Our blockchain solution makes traceability as easy and reliable as phone money transfers.”
Ending fashion supplier audit fatigue
Aware notes that suppliers receive one annual audit. Audits and their paperwork take at least 10 days each year, are expensive, and involve complicated procedures that make them difficult.
Warmerdam says, Unlike the existing system, which requires an overwhelming number of audits, our technology allows all stakeholders to have access to the information, which opens up real-time insight and risk mitigation opportunities. The Digital Product Passport will not revolutionize the textile sector, but its data will.
Blockchain filings in clothes rise on transparency
According to GlobalData, the fashion sector is quickly realizing the significance of blockchain technology to assist it in attaining the transparency goals it has set for itself.
Just in the past half a year, there have been 57 new blockchain-related hires at garment companies, 28 new blockchain-related filings by apparel companies, and two new blockchain-related mergers.
According to findings from GlobalData, there was a consistent growth in the number of business files from 2018-2022, with 178 filings in just the past year alone.