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The role of fair trade principles and justice within the transformation to a circular textile economy

Abstract

Within the past decades, the textile industry has transformed significantly. While fashion brands once released just two to four collections annually (for summer, winter, spring and autumn), today's major brands launch around 24 collections a year, a trend known as "Fast Fashion". This rapid turnover has resulted in clothing being produced more quickly and cheaply, often at the expense of quality. The competitive landscape has further intensified with the rise of direct-to-consumer online retailers like Shein, who cut out traditional intermediaries to lower costs - also known as "Ultra Fast Fashion" with releases of up to 52 collections each year. This shift has considerable ecological implications; the high volume of production requires large quantities of raw materials, which put considerable strain on environmental resources. Moreover, the excessive waste generated by this overproduction results in substantial amounts of discarded textiles that many countries struggle to manage. These waste materials frequently end up in landfills, leading to environmental degradation and, in some cases, posing health risks. This concern has attracted the attention of policymakers and the public, prompting initiatives aimed at mitigating these issues. However, the challenges posed by the textile industry extend beyond environmental issues. Social injustices, including exploitative labour practices and unsafe working conditions, remain pervasive. Even after the Rana Plaza disaster in Bangladesh in 2013, which exposed these problems, the broader social implications within the textile sector have remained largely unaddressed. This neglect also extends to the interconnectedness of Europe's textile consumption and its trade partners. Against this background and given the complexity and opacity of textile value chains, it is crucial to ensure fairness and justice, particularly for those most adversely affected by these circumstances. In response, major Fair Trade organisations get involved in the debate with the endeavour to bring together principles of Fair Trade and Circular Economy, building on the existing overlaps of those topics such as their respect for the environment (World Fair Trade Organization n.d.a). Building on this context, this chapter investigates how current Circular Economy strategies within the European Union address Fair Trade and social justice concerns. It seeks to deepen understanding of the ongoing discourse, identify existing gaps and provide a foundation for future research and practical advancements. Central to this work is the question: "To what extent do existing measures aimed at achieving a circular textile economy consider justice aspects and Fair Trade principles?" This question is addressed by reviewing existing regulations - such as the Circular Economy Action Plan, the EU Strategy for Sustainable and Circular Textiles and the Ecodesign for Sustainable Products Regulation - through the lens of justice, social considerations and the principles of Fair Trade. The approach follows the method of a qualitative content analysis according to Mayring (2010). Furthermore, the role of key organisations, such as the Forum Fairer Handel, World Fair Trade Organization (WFTO), and Fairtrade International within this context will be examined

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