The report includes information about a company’s EP&L (Environmental Profit and Loss), a natural capital measurement model that provides accurate information about a company’s impact on its entire lifecycle. products and the company’s entire value chain by examining greenhouse gas emissions and impacts. levels on earth, water and air.
It has reviewed its EP&L values over the past two years together with Sustainalize, a new generation of sustainability experts from the Netherlands.
Scotch & Soda sales for the year grew to €342.5 million, up 23% year-on-year, along with a 34% increase in the volume of manufactured ingredients.
With an EP&L rating at the heart of its sustainability strategy, Scotch & Soda considers the environmental impact of its direct and indirect business activities, from the production of raw materials to the end of the product’s life, converted to monetary value. On this basis, the company is responsible for a total environmental impact of €47.1 million, an increase of 36% year-on-year.
Scotch & Soda Eternal Blauw
This is evidenced by the overall sales growth, the expansion of the review scope to include the products of the licensees, the replacement of market data with the added factual data. supplement and day-to-day business operations that support sales growth.
The EP&L assessment found that the majority of Scotch & Soda’s environmental impact is due to the selection of ingredients used in the collections, and occurs during the production phase of the ingredients, primarily through gas emissions. greenhouses, air pollution and water consumption.
By looking at the EP&L material strength index, it shows an increase of just one percent in impact per kilogram of material produced, compared to an overall absolute EP&L increase of +36%. Regarding reducing water consumption – a key element of the company’s strategy – the report shows that on average 1.4 cubic meters are needed to produce 1 kg of material, a decrease of 5.0%, corresponding to a reduction of 5%. compared to last year. Water footprints.
These steps demonstrate that Scotch & Soda’s current ingredient sourcing strategy, which continues to expand the use of organic, recycled or renewable ingredients, is setting measurable goals possible, in order to prevent the growth of the company from the corresponding environmental impact.
Frederick Lukoff, CEO of Scotch & Soda, commented: “Sustainability has become an essential part of Scotch & Soda’s strategy recently, inspired by the values of Amsterdam’s free spirit. One of our top priorities as a team is to run our business more sensitively to people and the planet by making more responsible choices to reduce impact to our environment.”
“I’m delighted that this year we are seeing the first positive results of our strategy. While we still have a long way to go, we can now measure the impact of our strategy. ourselves and establish a clear roadmap for the coming years. We look forward to continuing this positive trend and decoupling further impact from future sales,” he added.
Following these results, in early 2023, Scotch & Soda will publish a Long Term Strategy, which lays out a roadmap that reflects the company’s greatest ambitions, as well as a comprehensive set of goals. in different areas that the company wants to achieve by 2030 .
Jelle de Jong, Director of Sustainability at Scotch & Soda, explains: “We introduced EP&L as a core part of our sustainability strategy to gain a 360-degree understanding of our footprint. emphasizing our environment throughout the entire value chain, from cradle to large. Insights help us, highlight maximum impact in the areas that need it most, and allow us to place measurable and time-bound goals.”
And she continued: “This approach goes hand in hand with our work to ensure full product traceability through raw material production and gives us the opportunity to tackle the challenges social and environmental response to the needs of a particular place.”
For example, the 2021/2022 impact report highlights the company’s impact on the Planet impact.
Scotch & Soda increased responsible apparel production by 80% year over year, representing 46% of total production.
It has also increased the share of responsible cotton alternatives to 51% of its total cotton consumption, up from 33% in the previous reporting year, and it has increased the share of recycled polyester to 45% of the total. polyester consumption, compared with 26% last year. five.
As part of the company’s raw material sourcing and design strategy, natural, renewable fibers replace synthetic fibers, as evidenced by the increasing use of forest fibers, which have replaced previous products. This is made from polyester.
Synthetic fibers such as polyester are made from non-renewable resources and present a higher risk of water micro-contamination during use. In early 2022, Scotch & Soda began using three new, promising next-generation fibers: Mycelium (from mushrooms grown in fields in Vietnam), Pyratex Element 1, obtained from Himalayan nettles and Pyratex Element 2, another fiber obtained from agricultural residues of bananas. .
Scotch & Soda Bioplastic Packaging
In November 2021, Scotch & Soda also partnered with Tipa to produce poly bags made from biodegradable plastic. Currently, 16.5% of the brand’s poly bags are made of fully biodegradable plastic, which breaks down within three to six months.
Over the next reporting year, Scotch & Soda will increase the volume of compostable Tipa poly bags to at least 2.5 million units, which will support the brand’s goal of switching from conventional plastic to poly plastic bags. normally by 2025.
Through design thinking and cross-industry collaboration, the brand has launched several projects on the cyclical economy. For example, it follows the principles of reuse with the Eternal Blauw collection, repair with Blauw Repair Service, and recycle as a founding member of the Denim Deal.
During this reporting year, Scotch & Soda committed to recycling, in partnership with Trees for All, to plant 178,948 trees, of which 127,614 were planted, both in the Netherlands as well as in other countries such as Spain Nha, Vietnam. , Uganda, Madagascar, Bolivia and Mexico.
Among other initiatives, in 2022, Scotch & Soda is also launching the Scotch & Soda x Plastic Whale boat “The Free Spirit of Amsterdam”, which collects 1,250 plastic bottles in a year.
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