Press Releases / Cascale Expands Manufacturer Climate Action Program

Cascale Expands Manufacturer Climate Action Program

MCAP

MCAP empowers manufacturers to lead on climate action for a sustainable future.

Close-up photo of an industrial sewing machine

October 03, 2024

MCAP empowers manufacturers to lead on climate action for a sustainable future

Amsterdam, Hong Kong, Oakland (CA) – October 3, 2024:

In its first year, Cascale’s Manufacturer Climate Action Program (MCAP) has expanded to engage over 60 manufacturers in the fight against climate change, the organization announced today. MCAP is a pivotal initiative that unites manufacturers worldwide to combat climate change across the consumer goods industry, driving sustainable change through science-aligned targets (SATs). As an integral part of the Decarbonization Program, MCAP welcomes Cascale members and non-members alike. The organization recently released a data-driven decarbonization roadmap showing that 1,500 manufacturing facilities in nine countries account for 80% of the textile, apparel, and footwear industry’s carbon emissions.

MCAP’s mission is to significantly reduce emissions by enabling manufacturers to start their decarbonization journey faster, equipping them with critical resources, guidance, and collaborative opportunities. The program provides an intermediate pathway to measure carbon emissions and develop science-aligned climate reduction targets for scope 1 and 2, or direct operations. Through its Decarbonization Program, Cascale’s objective is to cut global greenhouse gas (GHG) emissions from the textile, apparel, and footwear industry by 45 percent from 2010 levels by 2030, with the ultimate goal of reaching net-zero emissions by 2050.

“Through MCAP, manufacturers are empowered to lead the charge on global climate action, not simply by setting targets, but by increasing critical understanding of their climate risks in order to develop a robust decarbonization plan and help define actions to mitigate their impacts and enhance climate resilience,” said Joyce Tsoi, Senior Director, Decarbonization Program at Casacle. “Together, we are forging a sustainable future where innovation aligns with responsibility, meeting manufacturers where they are in their sustainability journey and ensuring they have the tools to make a lasting impact.”

Over the past year, Cascale has bolstered program offerings, adding the MCAP helpdesk, MCAP Communication & Disclosure Guidelines, Disclosure Dashboard, and targeted training sessions. Based on their expertise on MCAP-related topics, including GHG inventory development, target setting process and criteria, and target evaluation, four external firms were selected to serve as validators for MCAP targets: Bureau Veritas, Leadership and Sustainability, SGS, and TÜV Rheinland. Cascale provides oversight to ensure consistency across validations.

“MCAP provided us with clear and practical tools and guidelines on how to reduce GHG emissions and develop strategies to achieve our goals,” said Grace Lee, CSR Director at Yakjin Trading Corporation. “MCAP is not just about protecting the environment; it is a crucial step towards creating a sustainable future.”

“I am honored to have participated in the pilot MCAP validation as a validator from TÜV Rheinland. Collaborating with the manufacturers to help them better understand MCAP standards and set science-aligned targets aligned with the MCAP criteria and the 1.5 °C pathway of the Paris Agreement was a great experience”, said Jim Yuan, Assistant Project Manager at TÜV Rheinland. “MCAP offers a robust framework, providing useful support and clear criteria. By participating in the first MCAP validation, manufacturers can contribute to global climate action in line with the latest climate science. I believe that more and more manufacturers will join this initiative in the future, accelerating the sustainable transition of the textile industry.”

Sophia Wolf, Sustainability Manager, Leadership & Sustainability, said, “We are proud to have met the expectations of MCAP participants and Cascale, and to contribute to the success of the MCAP, which is driving meaningful industry change.”

ABOUT CASCALE

Cascale is the global nonprofit alliance empowering collaboration to drive equitable and restorative business practices in the consumer goods industry. Formerly known as the Sustainable Apparel Coalition, Cascale owns and develops the Higg Index, which is exclusively available on Worldly, the most comprehensive sustainability data and insights platform. Cascale unites over 300 retailers, brands, manufacturers, governments, academics, and NGO/nonprofit affiliates around the globe through one singular vision: To catalyze impact at scale and give back more than we take to the planet and its people.

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Case Studies / Gap Inc. Leads the Charge in Sustainability Through Supplier Engagement in MCAP

Gap Inc. Leads the Charge in Sustainability Through Supplier Engagement in MCAP

Brands & Retailers
Collective Action
Decarbonization
MCAP

By embracing initiatives like MCAP, Gap Inc. helps its suppliers set science-aligned targets to significantly reduce GHG emissions and drive meaningful environmental change across the industry.

August 27, 2024

Gap, Inc., a global fashion retailer and Cascale member since 2013, consistently demonstrates its commitment to sustainability.

Gap Inc. has pledged to reduce its environmental footprint through innovative initiatives and collaborative efforts, such as Cascale’s Manufacturer Climate Action Program (MCAP), which accelerates the adoption of science-aligned targets (SATs) and fosters a culture of collaborative sustainability within the consumer goods industry.

Gap Inc.’s 2023 ESG Report highlights significant progress toward its sustainability goals, demonstrating the company’s commitment to reducing its environmental impact. The report outlines two major emissions-related targets:

Scope 1 and 2 GHG Emissions: Gap Inc. aims to reduce these emissions by 90 percent from a 2017 baseline by 2030. Impressively, the company has already achieved a 77 percent reduction between 2017 and 2022, showcasing substantial progress toward this ambitious goal.
Scope 3 GHG Emissions: Gap Inc. is working to reduce emissions from purchased goods and services by 30 percent from a 2017 baseline by 2030. The company is on track, having achieved a 16 percent reduction from 2017 to 2022.

Additionally, Gap Inc. set a goal for 80 percent of its sourcing to be allocated to green-rated factories by 2025. This goal was surpassed in 2023, with 87 percent of business spending allocated to green-rated factories.

These milestones reflect Gap Inc.’s dedication to sustainability and its proactive approach to environmental stewardship across its operations and supply chain.

Supplier Engagement and Collaboration

Central to Gap Inc.’s sustainability strategy is active engagement with suppliers. Recognizing that meaningful change requires collaborative efforts, Gap Inc. coordinated with three key suppliers — Hansae Co Ltd, Makalot Industrial Co Ltd, and Yakjin Trading Corp — to engage in MCAP. After participating in MCAP, the three suppliers completed setting their SATs, and their targets were validated by either TÜV Rheinland, BV, or SGS. The validated targets have been reviewed and approved by Cascale, and their MCAP status will be publicly disclosed on the MCAP Disclosure Dashboard.

MCAP is a pivotal initiative within Cascale’s Decarbonization Program, uniting manufacturers worldwide to combat climate change in the consumer goods industry. MCAP drives sustainable change through science-aligned targets (SATs), aiming for a 45 percent reduction in greenhouse gas emissions by 2030. This effort is aligned with the goal of limiting global temperature increases to 1.5°C above pre-industrial levels.

Impact of MCAP and Higg Index Tools

Gap Inc.’s engagement with its suppliers, MCAP, and the Higg Index tools underscores its commitment to sustainability and climate action. By working closely with suppliers like Hansae, Markalot, and Yakjin, Gap Inc. has achieved significant environmental improvements. These efforts highlight the spirit of collaboration and dedication within the consumer goods industry, showcasing the impactful results of strategic supplier engagement to combat climate change.

Supplier Sustainability Program

Gap Inc.’s Supplier Sustainability program focuses on social and environmental issues. It uses remediation practices and a compliance rating system to incentivize suppliers to implement proper labor, health, safety, and environmental standards. This approach aims to protect and support workers, improve air and water quality, increase energy efficiency, and minimize violations across the supply chain.

Initially, Gap Inc.’s Supplier Sustainability team focused on Tier 1 of the supply chain but is now expanding efforts to Tier 2 and 3 suppliers. They use industry tools like the Social & Labor Convergence Program (SLCP) Converged Assessment Framework and the Higg Index Facility Environmental Module (FEM) to assess and collaborate with suppliers to develop capacity-building and efficiency programs.

Leading by Example

Gap, Inc. continues to lead by example, demonstrating that meaningful change is possible when industry leaders and their partners work together toward common goals. By engaging with MCAP and its strategic suppliers and using the Higg Index tools, Gap Inc. has made significant strides in reducing its environmental footprint and fostering a sustainable supply chain. This proactive approach sets a benchmark for others in the industry, contributing to a more sustainable future for all.

Learn more about Cascale's MCAP Read Gap Inc.'s 2023 ESG Report Not yet a member? Explore membership

News Updates / Cascale, TÜV Rheinland Give MCAP Crash Course to Manufacturers in Indonesia, Bangladesh

Cascale, TÜV Rheinland Give MCAP Crash Course to Manufacturers in Indonesia, Bangladesh

MCAP

Close up of an industrial sewing machine, weaving

June 11, 2024

Ringo Yu, manager, Manufacturer Climate Action Program (MCAP) at Cascale, recently presented the program via webinar to manufacturers in Indonesia and Bangladesh.

The sessions were hosted by TÜV Rheinland, an MCAP appointed science-aligned target validation organization. Over 150 apparel sector companies including brands, retailers, and tier one and two suppliers, some of whom are Cascale members, participated in the training day in which they discussed Scope 3 emissions and target setting, after which Yu presented details on the MCAP program about the science-aligned targets (SATs) on Scopes 1 and 2 .

Yu shared core information on Cascale’s evolution over the past 15 years, now counting over 300 members across the consumer goods value chain. He then shared more about Cascale’s Higg Index, a leading end-to-end sustainability measurement suite of tools, before leading the presentation on MCAP.

Stating the call to action that to stay within 1.5°C of warming we must reduce global greenhouse gas emissions 45 percent by 2030, and to net zero by no later than 2050, Yu detailed Cascale’s MCAP Supplier Climate Engagement and Onboarding Program. It was developed in partnership with Nike and Target and launched in September 2023. As Yu explained, the goal of MCAP is to drive a common approach to accelerate manufacturers’ progress in measuring GHG emissions, setting targets, reporting on progress on MCAP disclosure dashboard on Cascsale website publicly, and mitigating climate change risk and development of corporate decarbonisation plan.

Yu shared that MCAP is modeled on the Science Based Targets Initiative (SBTi) corporate near-term criteria, presenting an intermediate step towards net-zero targets to support Cascale’s perspective that only by aligning on a path forward and acting collectively can the industry address the systemic challenges associated with climate change and positively impact the planet.

Accessible to Cascale members and non-members alike, MCAP accelerates target setting for manufacturers and includes advisory support to help them get started on their decarbonization journey. With the second cadence kicking off in September, Yu invited all attendees to participate.

News Updates / Cascale Contributes to UN Fashion for Climate Report

Cascale Contributes to UN Fashion for Climate Report

Decarbonization
MCAP

March 11, 2024

Cascale (formerly the Sustainable Apparel Coalition) collaborated with Fashion Charter Decarbonization Working Group members on the UN Fashion for Climate Report, Guidance for Measuring Greenhouse Gas Emissions for Purchased Goods and Services in the Apparel and Footwear Industry. Prior to this publication, there was no sector-specific guidance on how to calculate carbon emissions in the upstream supply chain, a complicated process that requires blending factory-specific data when available and industry averages elsewhere. This report provides the industry with technical guidance that will enhance the consistency, accuracy, and comparability of carbon emissions calculations. The work reflects Cascale’s organizational focus on collaboration to drive emissions reduction in the apparel and wider consumer goods industry.

Collaborating with the UN Climate Change-convened Fashion Industry Charter for Climate Action (Fashion Charter) and with members of its Decarbonization Working Group, Cascale led the development of guidance specific to measuring category 1 of Scope 3: Purchased Goods and Services (PG&S), which represents the vast majority of a fashion company’s carbon footprint. To develop the initial report, the organization received input from over a dozen brands, manufacturers, consultancies, and other industry stakeholders. After a draft review, Cascale incorporated feedback into the final report, with support from UNFCCC.

For apparel and footwear brands and retailers, PG&S emissions result from all of the value chain activities that go into making finished products, from raw materials to fabric development to product manufacturing. Given the magnitude of PG&S for brands and retailers, the language in this report is generally tailored for them; however, the guidance can also be used by finished goods manufacturers, textile manufacturers, and other “upstream” companies to measure their PG&S emissions.

Cascale drives impact at scale through three foundational pillars — Combat Climate Change, Decent Work for All, and Nature Positive Future — forming a unified strategy for industry transformation through collective action programs that guide members from action to impact. Cascale’s Decarbonization Program, launched in 2022, is one leading example of these programs in action. It aims for members to achieve a 45 percent reduction in greenhouse gas (GHG) emissions by 2030. As of 2023, Cascale’s corporate members are required to set science-based targets (SBTs) for reducing GHG emissions by the end of 2023, when the organization launched the Manufacturer Climate Action Program (MCAP), over 50 percent of these members had set or committed to setting SBTs. To learn more about participating in this program, please complete the MCAP Expression of Interest form. To learn more about this report, please contact higgindex@cascale.org.

News Updates / Sustainable Apparel Coalition Hosts Manufacturer Forum in Bangalore

Sustainable Apparel Coalition Hosts Manufacturer Forum in Bangalore

Forum called for collaboration across the value chain to drive industry progress

Manufacturing
Higg Index Tools
Higg FEM
MCAP

Jeremy Lardeau speaking on stage at the Manufacturer Forum: Bangalore

December 14, 2023

Over 200 in-person attendees joined the Sustainable Apparel Coalition (SAC), for the second edition of its Manufacturer Forum, on December 4, 2023 in Bangalore, India. Building on the theme, Catalysts for Change, the event brought together business leaders and stakeholders to discuss the future of sustainability, supply chain compliance, verification, policy alignment, and more.

“The use of the Higg Index tools is just one step of many that we must take to solve the most complex sustainability challenges for the sector,” said Jeremy Lardeau, vice president Higg index at the SAC. “This is why we do not stop at delivering data and tools, but also develop programs and events like Manufacturer Forums, where stakeholders can come together and take collective action for industry progress.”

Dr. Vidhura Ralapanawe, executive vice president at Epic Group and an SAC board director delivered a thoughtful keynote, calling for urgent action to combat climate change. “How much we do, and how fast we work to decarbonize, and how much we aspire to achieve is on us. Because climate change is not happening in 2030 or 2050, it’s happening now. This is our chance, our choice,” Ralapanawe said.

Dr. Laxmikant Jawale, regional lead for South Asia & Southeast Asia at the Apparel Impact Institute (Aii), and Erlinda Lee, director of global membership development from the SAC, delved into a discussion that explored the dynamic collaboration between the SAC and Aii. The session allowed attendees to gain a deeper understanding of the mission, purpose, and collaborative efforts of both organizations to propel the industry forward. It also provided valuable knowledge on how to leverage programs offered through the partnership to effectively tackle the challenges associated with decarbonization and how manufacturers can get involved

Later that day, sessions explored critical issues including climate change, how policy and legislation impacts manufacturers, and the evolving landscape of sustainability verification.

Ringo Yu, manager of the SAC’s Manufacturer Climate Action Program (MCAP) highlighted the compounding impact of climate change, such as how extreme heat waves, torrential rain, and flooding impacts India’s community, natural environment, and economy. He shared that there’s currently a low level of science-based target adoption in the apparel, footwear, and textile sector. He shared insights on the newly launched program and how the SAC is spearheading and amplifying industry initiatives for combating climate change. The program aims to accelerate the number of manufacturers at corporate level to set science-aligned targets for scope 1 and 2, enhance their understanding on climate change related risks, and explore opportunities to take climate actions. “It is important to pursue a leadership mindset first and take action individually to drive change collectively by participating in programs such as the MCAP,” Yu said.

Gauri Sharma, assistant general manager of communications and sustainability innovation at Shahi Exports Pvt Ltd. joined Mousumi Sarang, country manager for India at the Fair Wear Foundation to discuss the intricacies of current and future policy challenges in the textile industry. ”Legislations built and shaped in the Global North have a deep cascading effect in the supply chain, Sharma said. “Hence in the Global South, it is important to develop an understanding of what these means for manufacturers.”

Angela Ng, director of Higg Facility Tools at the SAC, Janne Koopmans, head of collaboration at ZDHC, and Yashinth Wijerathne, manager of environmental sustainability at Hirdaramani Apparel, discussed the recently launched Higg FEM 4.0 and its vital role in standardized measurement and accurate reporting. “The Higg FEM 4.0 allows manufacturers to see what is really important and evolve from there,” Ng said.

Dhawal Mane, director of training and verification at the SAC, and Jeremy Lardeau, SAC vice president of Higg Index, presented on the evolving landscape of sustainability verification within the industry. “Higg FEM verification growth over the past 5 years has demonstrated the collaboration of SAC members on a shared environmental assessment. It is time to simultaneously invest in value through evolving our approach for verification. Our Core verification approach this year is the first step in that direction,” Mane said.

Attendees also received training to support their Higg FEM 4.0 self-assessment, get certified in setting Science-Based Targets, and develop plans for health and safety remediation and workers rights.

The SAC announced the return of Manufacturer Forums earlier this year, with the first in-person event taking place in Shenzhen, China on July 25 at Sheraton Shenzhen Futian Hotel. This was the first in-person Manufacturer Forum the SAC had hosted since 2019.

The Bangalore Manufacturer Forum online photo gallery is available here. Manufacturers who are interested in participating in an upcoming Manufacturer Forum can click here to subscribe for updates.

News Updates / Sustainable Apparel Coalition Hosts MCAP Introductory Webinars

Sustainable Apparel Coalition Hosts MCAP Introductory Webinars

Decarbonization
MCAP

December 01, 2023

The Sustainable Apparel Coalition hosted a series of webinars to introduce the Manufacturer Climate Action Program (MCAP) to members located in Asia, North, Central, and South America (AMER) and Europe, the Middle East, and Africa (EMEA). The focus was to introduce MCAP as an integral part of SAC Decarbonization Program for SAC members and non-members alike, with a primary objective to accelerate the adoption of science-aligned targets for Scope 1 and 2 emissions, as well as to highlight the SAC’s strategic partnership with Aii’s Carbon Leadership Program (CLP).

Joyce Tsoi, SAC director of Collective Action, APAC, hosted the webinar, and introduced Ringo Yu, the new MCAP manager. Presenters also included Andres Bragagnini, manager of stakeholder engagement and Tamara Wulf, vice president of programs at the Apparel Impact Institute (Aii) and member of the apparel alliance, which the SAC formed in partnership with Textile Exchange and Zero Discharge of Hazardous Chemicals (ZDHC) to create a connected, end-to-end path to action for the entire apparel and footwear industry.

Yu shared information about the SAC’s Collective Action team, which oversees the development of its Decarbonization Program in support of the organization’s goals to achieve a 45 percent greenhouse gas (GHG) emission reduction in line with science-based targets (SBTs) by 2030 — and to zero by 2050. The SAC launched the Decarbonization Program in 2022 and integrated SBTs into SAC’s membership requirements in 2023, with over 50 percent of members having taken this action to date.

In September of this year, the SAC announced the launch of the Manufacturer Climate Action Program (MCAP). Designed in collaboration with NIKE and Target Corporation, the MCAP is a critical component of the SAC’s Decarbonization Program, designed to catalyze support and drive the sector toward ambitious yet necessary CO2 emissions reductions.

Tsoi shared the four key elements that form the core of MCAP, empowering manufacturers to take critical action to set science-aligned targets, reduce emissions and improve operational efficiency in order to advance industry goals. Then Bragagnini and Wulf detailed Aii’s Carbon Leadership Program, which can help manufacturers develop and implement a factory-level implementation plan by using Aii’s factory-level carbon toolkit, impact measurement, and validation to achieve their carbon reduction targets. They also shared details of Aii’s program portfolio. The portfolio covers a range of impact programs focused on achieving actual CO2e reductions through energy efficiency and the transition to renewable energy and away from fossil fuels. Finally, Tsoi encouraged SAC brands and manufacturer members to sign up and participate in MCAP from Q1 2024, and Aii invited the factories to participate in their programming.