Apparel supply chains are becoming more complex, driven by increasing pressure around sustainability, evolving regulation and the growing need for accurate, accessible data. Decisions that were once purely operational are now closely tied to compliance, cost and long-term business risk.
Drawing on insights from industry expert Melissa Harvey, this article explores how these pressures are reshaping the sector, and what apparel businesses need to focus on now to manage risk and stay competitive.
Sustainability has moved from brand narrative to commercial risk
Twenty-five years ago, sustainability was not a priority for most apparel businesses. Decisions were driven by cost, speed, and global sourcing, with limited consideration for environmental impact or long-term accountability.
That position has shifted significantly. Sustainability now sits alongside profitability as a core business concern, with clear financial and reputational consequences if it is mismanaged. Increased scrutiny, combined with evolving legislation, means businesses must move beyond high-level commitments and adopt structured, evidence-based approaches.
This shift has brought sustainability into the boardroom, where it is treated as an operational and commercial risk.
Data gaps are limiting visibility across supply chains
One of the most consistent challenges facing apparel businesses is the quality and accessibility of data.
While large volumes of information exist across sourcing, production and logistics, it is often fragmented across multiple systems. This lack of integration makes it difficult to measure impact accurately or meet growing compliance requirements with confidence. Inconsistent formats and manual processes can further reduce reliability, creating additional risk.
Improving data visibility is now essential. Without it, businesses are limited in their ability to understand where emissions sit, where inefficiencies occur, and how to respond effectively to regulatory pressure.
This becomes particularly important when considering Scope 3 emissions, which can account for most of an apparel brand’s environmental impact. These emissions sit across the wider supply chain, making them harder to track and manage.
Regulation is forcing earlier, more structured action
The regulatory landscape continues to evolve, placing greater demands on transparency, traceability and end-of-life responsibility.
Developments such as Extended Producer Responsibility (EPR), the Ecodesign for Sustainable Product Regulation (ESPR), and Digital Product Passports (DPP) are raising expectations around how products are designed, tracked and reported.
As a result, businesses can no longer afford to react to regulation retrospectively. Systems processes and partnerships must be established early to ensure compliance can be demonstrated clearly and consistently. For many organisations, particularly SMEs, this represents a significant shift in how supply chains are managed.
Carbon accounting is linking sustainability to costs
A key development in recent years has been the increasing role of carbon accounting.
By measuring emissions in a structured way, businesses can identify inefficiencies across their supply chain. High carbon output is often linked to excess energy use, material waste or operational inefficiencies, making it a useful indicator of overall performance.
This creates a clearer connection between sustainability and cost. Rather than being viewed on solely as an environmental metric, carbon becomes a way to highlight areas of waste and improvement, helping businesses make informed decisions.
Embedding sustainability is now essential for long-term resilience
Perhaps the most important shift is how sustainability is being integrated across organisations.
Rather than sitting with a single department, it is increasingly embedded across all functions, from design and sourcing to finance and operations. This requires stronger alignment between teams, supported by better data and leadership from the top.
When sustainability is integrated in this way, it becomes a driver of efficiency and resilience rather than an isolated initiative. Businesses are better equipped to manage regulatory pressure, reduce waste and respond to changing market expectations.
What businesses need to get right now
The direction of travel is clear. Apparel businesses must take a more structured and data-led approach to sustainability, treating it as a core business function rather than a standalone activity.
This means improving supply chain visibility, strengthening internal alignment, and preparing for ongoing regulatory change. It also requires a shift in mindset, recognising that sustainability is not just about environmental responsibility, but about long-term commercial stability.
Businesses that act early will be better positioned to manage risk, control costs and remain competitive in an increasingly complex landscape.
Read the full interview with Melissa Harvey in Duo’s LinkedIn newsletter LoopedIn here and follow LoopedIn to receive monthly updates direct to your inbox here.
How Duo can help
As sustainability, compliance and material choices continue to evolve, having the right packaging partner matters. Duo supports apparel brands with practical, performance-led packaging solutions designed to meet both operational and regulatory demands.
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