The Global Goals

ADDRESSING THE GLOBAL SUSTAINABLE DEVELOPMENT GOALS

We are signatories to the UN Global Compact and this commitment defines the foundation on which our business should stand. At the initiative of the UN, the international community has formulated and adopted 17 global goals in 2015, aiming to eradicate poverty and malnutrition as well as to ensure a truly sustainable development across the social, environmental and economic dimensions. These are ambitious goals. Nilorn, as a supplier to leading global fashion brands, stands behind the goals and is committed to do its share to contribute to reach the goals. We deliver our products to fashion brands across the globe. Throughout 2017, we looked into the challenges and opportunities the fashion industry is facing in relation to the sustainable development goals and their targets. We have researched how brands have investigated and communicated their most material challenges and opportunities. Based on that and following a mapping of the issues of utmost priority for our own business, we have found that a number of the goals and targets are of particular relevance. We take a closer look at these goals at page 10 and 11.

In September 2015, all 193 Member States of the United Nations adopted a plan for achieving a better future for all — laying out a path over the next 15 years to end extreme poverty, fight inequality and injustice, and protect our planet. At the heart of Agenda 2030 are the 17 Sustainable Development Goals (SDGs) which clearly define the world we want — applying to all nations and leaving no one behind. Read more about the goals here: https://www.un.org/sustainabledevelopment/ sustainable-development-goals/

With the launch of the SDGs, business is explicitly called upon to make a contribution to the global sustainability agenda.

Clean water and sanitation

ENSURE AVAILABILITY AND

SUSTAINABLE MANAGEMENT OF WATER

AND SANITATION FOR ALL

Water scarcity and poor water quality is a daily challenge for many people around the world. The fresh water supply chain is already stressed in many countries and less than 1% of total water supply is accessible and fit for human consumption.

For many types of apparel and accessories, water is used all along the life-cycle of the product. From the production of raw materials, such as cotton, to the washing of a garment in the household of the consumer.

One target under this development goal is to improve water quality by reducing pollution, eliminating dumping and minimising release of hazardous chemicals and materials. In our supply chain we can work with water issues directly by being more efficient in the processes that require water and ensuring proper waste water treatment. We also engage indirectly in projects aiming at improving the conditions further upstream, such as through our engagement with Cotton made in Africa.

Decent work and economic growth

PROMOTE SUSTAINED, INCLUSIVE AND

SUSTAINABLE ECONOMIC GROWTH,

FULL AND PRODUCTIVE EMPLOYMENT

AND DECENT WORK FOR ALL

Nearly 2.2 billion people live below the US$2 a day poverty line. Sustainable economic growth will require societies to create the conditions that allow people to have quality jobs that stimulate the economy while not harming the environment.

One important target for this development goal is to take immediate and effective measures to eradicate forced labour, end modern slavery and human trafficking and secure the prohibition and elimination of child labour.

We commit ourselves to implement social standards, such as living wages and decent working conditions in our supply chain. There is a screening of new suppliers and we encourage our suppliers to adopt quality, environmental and occupational health and safety management systems certifications and include certification schemes used by suppliers in our criteria for choice of suppliers. Four of our production units are part of Sedex and have a SMETA audit report.

We work with social projects, such as for cotton growers in Africa (Cotton made in Africa), where studies of the social impact of the projects show clear improvements in social conditions thanks to the training received through the programs.

Responsible consumption and production

ENSURE SUSTAINABLE CONSUMPTION

AND PRODUCTION PATTERNS

Sustainable consumption and production aims at “doing more and better with less,” increasing net welfare gains from economic activities by reducing resource use, degradation and pollution along the whole lifecycle, while increasing quality of life. One target for this development goal is to substantially reduce waste generation through prevention, reduction, recycling and reuse.

At Nilorn we have already done work in this direction by adopting policies to choose more environmentally friendly materials, increasing the use of recycled materials, and taking action for a sound management of chemicals. A lot of work remains to be done for our industry to fully align with responsible consumption and production targets, in particular with regard to addressing our impacts throughout the life-cycle of the products. Nilorn has joined the bluesign® system to put the whole production chain in focus and strive to protect health and

the environment across the entire chain of production.

Partnerships for the goals

STRENGTHEN THE MEANS OF IMPLEMENTATION

AND REVITALISE THE GLOBAL PARTNERSHIP

FOR SUSTAINABLE DEVELOPMENT

The achievement of the global sustainable development goals depends upon the collaboration of many different actors, including businesses. A stronger commitment to partnership and cooperation is needed to achieve the goals.

Nilorn is a small global organisation and in our sustainability work we must cooperate and also rely on the effort of many other organisations, including labels and certifications. Example of co-operations are FSC (read more on page 23), Sedex membership and the Swerea Chemical group.

Climate action

TAKE URGENT ACTION TO COMBAT

CLIMATE CHANGE AND ITS IMPACTS

Climate change is one of the most pressing environmental issues of our time and climate change is a global challenge that does not respect national borders. Here the issues are clearly linked to more circular use of materials, as that would decrease the impacts all along the value chain.

In the case of our industry as a whole - and to our own business - climate change poses risks. The supply of materials is dependent on the ability to grow resources. The infrastructure of the supply chains along with our own factories is, of course, vulnerable to extreme weather events and other potential consequences of climate change.

In 2017, Nilorn began to take action and set out plans to decrease the greenhouse gas emissions caused by our activities, raising awareness at our sites and preparing to be involved in adaptation.

We measure the impact of business travel and energy consumption and will increase our use of energy from renewable sources. We also must be aware of the risk of climate change affecting our supply chain located in areas likely to be affected and see how we can be involved in adaptation.