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Arnhem Clothing
April 19, 2020

Arnhem Quarterly Sustainability Report April 2020

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Swimming with turtles and Arnhem sustainability reportOur goal is to create timeless treasures that make you feel powerful & beautiful yet exist in harmony with nature.

We’re committed to ensuring that our environmental impact is as small as possible & that everyone in our supply chain is respected & cared for.

We’re not perfect & are constantly striving for change.

Throughout this report we have chosen to align each section with the United Nations Sustainable Development Goals.
The SDG’s are a universal call to action to end poverty, protect the planet and ensure that all people enjoy peace and prosperity by 2030.
By aligning each section with the SDG goals we are actively owning our responsibility to help the world achieve these.


Here’s how we’ve delivered in the past quarter.


MAKERS

SDG’s
1. No poverty
3. Good health and well being
5. Gender equality
8. Decent work and economic growth
10. Reduce inequalities
12. Responsible consumption and production
16. Peace, justice and strong institutions


Our makers are the foundation of Arnhem, and we take pride in nurturing our existing relationships with our current partners,
as well as introducing new, skilled makers to our Arnhem community.


JASON
Jason is accredited with Qualspec
Jason was one of the very first makers found by Arnhem back in 2012, and we have been working together for nearly 9 years.
Jason runs a small-scale garment manufacturing unit in Tongxiang, a rural area approximately a 2 hour drive outside of Shanghai.
First started with his wife in 2010, Jason specialises in delicate, soft woven womenswear and is an expert in sourcing sustainable raw materials,
fabric development and low impact manufacturing.
Together with Jason we developed some of the very first sustainable fabric bases we ever used at Arnhem.

During this quarter, Jason meticulously crafted our Leilani, Soleil and Dreamers collections.



Jason is audited annually by Qualspec.
Collections Leilani, Dreamers, Soleil
Tier One Traceability
Factory Owner Jason
Location Zeijang, China
Auditing Body Qualspec
Audit Rate Green, No evidence of critical or non compliance
Age of Factory 8 years
Youngest Employee 18 years
Gender of Employees 17 male, 34 female
Last audited 28/6/19
Last Arnhem Visit February 2019
Tier 2 Traceability We have visited both the weaving and print mill. The print mill is a Bluesign systems partner.
Tier 3 Traceability We have visited the yarn mill
Tier 4 Traceability Lenzing certified
Tier 5 Traceability Lenzing certified



ROSE
Rose and factory workers accredited by Qualspec
Rose was introduced to us two years ago by Jyoti, our Sustainability Coordinator. Rose and her husband have over 30 years of experience in the fashion industry
and their strengths are production research and development which is critical for our suppliers when forming their own sustainable supply chains.
Rose also has an impeccable attention to detail and quality, ensuring the longevity of the garments they produce.

During this quarter, Rose and her team crafted our best-selling Daisy Chain collection.

Rose is audited annually by Qualspec.
Collections Daisy Chain
Tier One Traceability
Factory Owner Rose
Location Shanghai, China
Auditing Body Qualspec
Audit Rate Amber, No critical issues, corrective action plan to be completed
Age of Factory 20 years
Youngest Employee 30 years
Gender of Employees 10 male, 21 female
Last audited 10/4/19
Last Arnhem Visit February 2019
Tier 2 Traceability We have visited the weaving and print mill. The print mill is Oeko Tex 100 certified
Tier 3 Traceability We have visited the yarn mill
Tier 4 Traceability Lenzing certified
Tier 5 Traceability Lenzing certified




GARIMA
Garima Sustainable supplier for Arnhem
Garima runs a conscious and creative enterprise that is committed to sustainable and ethical manufacturing and takes a holistic approach to people and planet.
They are passionate about empowering women through skill development and work with independent artisans.
They specialise in sustainable raw material sourcing, development and dyeing. We have been building our relationship with Garima for approximately three years,
strengthening in the past year through initiating new artisan partnerships such as our hand crochet program.

During this quarter, Garima’s team crafted our organic cotton Ava collection.

Garima is audited annually by Sedex.
Collections Ava
Tier One Traceability
Factory Owner Garima
Location Delhi, India
Auditing Body Sadex - Smeta 3 - Labor, health and safety, environment
Audit Rate 3 pillar
Age of Factory 22 years
Youngest Employee 21 years
Gender of Employees 62 male, 8 female
Last audited 22/11/18 they have been reaudited. Report due in April
Last Arnhem Visit February 2019
Tier 2 Traceability GOTS certified
Tier 3 Traceability GOTS certified
Tier 4 Traceability GOTS certified
Tier 5 Traceability GOTS certified


SHARI
Shari runs a small-scale, sustainable manufacturing unit specialising in hand block printing in Jaipur, India.
Shari runs a small-scale, sustainable manufacturing unit specialising in hand block printing in Jaipur, India.
They are an artisan development foundation and have Fairtrade certification in place for their workers.
They are also committed to environmental practices, implementing a clean water program to recycle waste water from the block printing at their facility.

Our first ever hand-block printed collection, Lucia, was crafted by Shari at the beginning of this year.

Collections Lucia
Tier One Traceability
Factory Owner Shari
Location Jaipur, India
Auditing Body Fairtrade (World Fair-trade Organisation)
Audit Rate NA
Age of Factory 13 years
Youngest Employee 20 years
Gender of Employees 75% male, 25% female
Last audited 1/619
Last Arnhem Visit February 2019
Tier 2 Traceability We have visited the hand block printing artisans. Fair-trade certified
Tier 3 Traceability GOTS certified
Tier 4 Traceability GOTS certified
Tier 5 Traceability GOTS certified





TRACEABILITY

Our ultimate goal is to have full traceability of our supply chains.
As an Arnhem standard, we only use certified fibres and fabrics which allows us visibility and assurance that they meet international standards for social compliance.
However, to go one step further and ensure we have full accountability of our supply chains we will only state 100% traceability once we have physically visited each operation.
This allows us to build relationships with our makers and clearly understanding their working environments and processes.
So far, we have visited all our tier one suppliers and the majority of our tier two suppliers.

TIERS
Tier 1 – We have 100% traceability of the people making our garments
Tier 2 – We have 75% traceability of where our fabrics are woven, printed and dyed.
Tier 3 – We have 50% traceability of the raw material processing facilities where our yarns are spun from fibres
Tier 4 – We have 0% traceability into where our fibres are are produced
Tier 5 – We have 0% traceability into the where the raw materials that make up our fibres are farmed

We are currently working to map our supply chain beyond Tier 2.




CODE OF CONDUCT

We have a strict code of conduct in place in line with international standards, this is part of our supplier agreement.
This includes compliance with laws, environment, child labour, discrimination, forced labour, humane treatment, wages and benefits, working hours and working conditions.

SUMMARY OF AUDITS:

Fairtrade
Fairtrade supports and empowers marginalised workers, enabling them to build better and more secure lives for themselves and their families.
This is achieved through living wages, no discrimination, no forced labour, on time payments, clean and safe working conditions.

Qualspec
Qualspec is a globally accredited social compliance audit that meets ISO 9001 standards.
It covers ISO 19011 principles in accordance with ESC framework (SA8000).
The audit covers wages and benefits, regular employment, working hours, working conditions, environment, child labour, discrimination,
humane treatment, freedom of association and the right to collective bargaining as well as bribery and corruption.

Sedex - SMETA
SMETA is one of the most widely used and recognised ethical audits in the world.
It encompasses all aspects of responsible business practices covering four pillars of labour, health and safety, environment and business ethics.
This includes freely chosen employment, freedom of association, safety and hygienic conditions, child labour, living wages and benefits, working hours,
discrimination, regular employment, subcontracting and homeworking, harsh or inhumane treatment, entitlement to work, environment and business ethics.

Where were our garments made this quarter?

89% China
11% India


FIBRES
SDG’s
2. Zero hunger
3. Good health and wellbeing
6. Clean water and sanitation
12. Responsible consumption and production
13. Climate action
14. Life below water
15. Life on land


Our fabrics are the result of more than three years of research and development by our production team.
We recognised early the impact of raw materials upon the environment and set out to recreate our favourite rayon fabrics in sustainable fibres.
We have now selected a core range of sustainable base fibres and fabrics that we have rated based on their environmental impact and social impact:

. HEROES .

Lenzing Tencel
TENCEL® fibers are of botanic origin, extracted from sustainably and responsibly sourced renewable raw wood pulp.
The fibre production itself is extremely ecofriendly thanks to the closed loop system;
meaning almost 100% of the solvent is reused for a cleaner, greener future.

Daisy Chain was crafted from Lenzing Tencel.

Revive - Fabric Off-Cuts
Bulk fabric off-cuts and strike offs that would otherwise end up in land fill.

Our Daisy Chain Scrunchies, Leilani Knickers and Lucia beauty bags were crafted from fabric off-cuts.

. RISING STARS .

Lenzing Tencel Modal
TENCEL™ Modal botanical fibres are crafted from responsibly and sustainably grown Beech trees.
The fibres are produced using Eco Soft technology; the raw material is processed at the same site as the fibres minimising resource use.
Lenzing predominantly use surplus renewable energy from the pulp mill and has subsequently been awarded the EU Ecolabel.

Leilani was crafted from Lenzing Tencel Modal.

Lenzing Ecovero
LENZING™ ECOVERO™ branded viscose fibres are of botanic origin, produced in an eco-responsible way
and derived from certified renewable wood sources. LENZING™ ECOVERO™ fibres have been certified by the EU Ecolabel,
a label for environmental excellence, fulfilling strict criteria for fibre production for both greenhouse gas and water emissions.

Dreamers was crafted from Lenzing Ecovero,

GOTS/OCS Certified Organic Cotton
Conventional cotton uses large amounts of pesticides, insecticides, herbicides and genetically modified organisms,
which are not only harmful to natural eco systems but farmers, factory workers and consumers are also exposed to toxic chemicals.
The process of growing organic cotton has less environmental impact using sustainable methods; less water and energy is used and soil health is improved.
Water contamination is prevented and biodiversity is preserved. Organic cotton is an environmentally and socially responsible alternative to conventionally grown cotton.

Ava and Lucia were crafted from GOTS certified organic cotton


During this quarter, all of the fabrics used in our collections were either:
Heroes – 55% or in our Rising Stars category – 45%.


Fibre Impact vs Reduced Impact
Fibre Impact
    Fibre Impact Reduced Impact
Fiber Weight kg CO2 kg Eco-toxicity kg Water gallon Energy MJ CO2 kg Eco-toxicity kg Water gallon Energy MJ
Lining - Tencel 2774 7774 5 33783 122,060 131,137 10 57,452 125,808
Organic Cotton 411 489 1 20,814 3,381 403 3 135,605 5,938
Main - Ecovero 635 3,297 2 10,853 38,788 1,490 2 10,031 17,952
Tencel Modal 1,180 1,513 1 12,531 18,412 11,030 6 23,940 122,221


Fibre Percentage

Fibre Percentage
Fiber Total Weight Kg Percentage
Organic Cotton 410.92 8
Ecovero 635 13
Tencel 2,774 55
Modal 1,180 24
RESPONSIBLY DYED

It is now an Arnhem requirement for all of our makers to have valid environmental certification in place at their mills that print and dye our garments.
We prefer to partner with mills that have either Oeko Tex 100 certification in place or they are Bluesign System Partners.
Further to this we have a restricted substance list in place as part of our supplier agreement.
This ensure that no banned harmful chemicals are used in the production of our garments.

During this quarter, 100% of the fabrics used in our collections were responsibly dyed.

See certification breakdown for the quarter below.



Oeko Tex 100
Oeko Tex 100 certifies that no substances harmful to human health are present in the finished textiles.
Substances tested are both regulated and non-regulated going beyond international requirements.
Tests are conducted by independent Oeko Tex Partner institutes.

Bluesign
Bluesign is a holistic system that provided solutions in sustainable processing and manufacturing,
ensuring that products/finished textiles are manufactured with the lowest possible impact on people and the environment.

GOTS
All chemical inputs (e.g. dyes, auxiliaries and process chemicals) must be evaluated and meeting basic requirements on toxicity and biodegradability/eliminability.
Prohibition of critical inputs such as toxic heavy metals, formaldehyde, aromatic solvents, functional nano particles,
genetically modified organisms (GMO) and their enzymes.
The use of synthetic sizing agents is restricted; knitting and weaving oils must not contain heavy metals.
Bleaches must be based on oxygen (no chlorine bleaching). Azo dyes that release carcinogenic amine compounds are prohibited.

Azo Free & Low Impact (block printing)
Our block printing is done using azo free low impact inks. The water used in the finishing process is filtered and re-used to minimise water waste
and ensure no chemicals are released into the environment.



CIRCULARITY

SDG’s
12. Responsible consumption and production
13. Climate action

One of our key focuses over the past two years is how we can ‘close the loop’ both in our production processes and also in the end of the lifecycle of our Arnhem garments.

We launched our ‘Arnhem Revive’ initiative at the end of 2018 with the goal of repurposing the fabric that is regarded as waste at the end of the production line of our collections.
Statistically 15% of textiles intended for clothing ends up on the cutting room floor. We have now implemented a practice of reviewing pattern lay plans at pre-production stage and utilising any off-cuts for our Revive pieces which range from intimates to accessories. This way we minimise our wastage, create innovative products and provide further economic benefit for our makers.

Total meters saved from landfill and repurposed into our Revive pieces:

Daisy Chain Scrunchies - 106m
Lucia Revive Bags - 140m
Leilani Knickers - 31.50m

Total = 277.50m (this is approximate as fabric widths vary)

Our next focus will be the end stage of the lifecycle Arnhem garments and how we can step in to close the loop through a repair and recycling initiative.


COMMUNITY

SDG’s
12. Responsible consumption and production
13. Climate action
14. Life below water
15. Life on land
17. Partnerships for the goals


While most of our production lies offshore with our global network of makers, we have recently shifted our focus locally to collaborate with like-minded sustainable businesses. This past quarter we reached out to a number of brands including Beefolk, Zero Waste Kulture and Kappi to produce zero waste items using fabric off-cuts as part of our Revive initiative. The best part about these collaborations has been providing local seamstresses and artists with a source of work – and in the case of Beefolk and Zero Waste Kulture, right here in the Byron Bay Shire.

Here are our collaborative products launched during this quarter:

Beefolk Beeswax DIY Kits
Beefolk Beeswax Pre-made Wraps
Zero Waste Kulture House Wipes
Zero Waste Kulture Face Wipes
Kappi Reusable Straw Kits


GIVING BACK
As always, we look to support the charities and organisations who are out in our community protecting our oceans, rainforests and native wildlife.
These are the change-makers we have been supporting this quarter so that they can make a difference:

WIRES $30,000
Greenfleet $10,000
Sea Shepherd $5000
Plastic Free July $5000
Tangaroa Blue $5000
Sea Bin $5000
Friends of Koalas $3000





PLANET

SDG’s
12. Responsible consumption and production
13. Climate action
15. Life on land


Packaging

We recognise that crafting our garments from sustainable fibres is only half the battle – we need to package and get our garments to you in materials that won’t further damage our planet. For all paper packaging at Arnhem, we only use FSC Recycled certified materials.

Wood products carrying the FSC Recycled label have been verified by a third-party certification body as being made from at least 70% post-consumer reclaimed materials, i.e. wood and or wood fibre that has been reclaimed from a product after that product has been used for its intended purpose by individuals or businesses. The remaining material must be verified as pre-consumer waste. Paper products can contain any balance of pre-consumer and post-consumer reclaimed material as long as all applicable parts of the product are verified as reclaimed. The FSC Recycled label does not guarantee that the wood is originally come from FSC certified forests but rather focus on the recycle status and its authenticity.

FSC Recycled packaging used in quarter:
Main Swing Tickets - 11,716
Fabrication Swing Tickets - 11,716
Barcode Stickers - 11,716
Tissue Paper - 11,566
Care Cards - 4500
Shoe Boxes - 200
Shipping Cartons – 140

Compostable bags used/plastic bags saved for the quarter:

Garment Bags – 11,716
Post Satchels – 8,458


Carbon emissions and off-setting
The Paris Agreement commits nations to – limit global temperature rises to 1.5 degrees Celsius, greenhouse emissions need to fall 45% by 2030, zero emissions by 2050.

This is how we are contributing to the achievement of these goals:


Greenfleet is a not-for-profit environmental organisation on a mission to protect our climate by restoring our native forests. Using the donations of businesses and individuals, they plant native biodiverse forests which in turn capture millions of tonnes of carbon emissions from our atmosphere, conserve biodiversity, improve water quality, reduce soil erosion and provide vital habitat for native wildlife. At Arnhem, we have been off-setting our carbon emissions by donating to Greenfleet since 2016.

Carbon off-setting
Charitable donation to Greenfleet
666 tons of carbon dioxide sequestered
2400 trees planted


For this first time ever we have engaged with Carbon Intelligence Pty Limited to create an Independent Greenhouse Gas (GHG) Emissions Verification Statement.
We’ll be sharing the results & setting goals – more to come soon…



COST

We’re always calculating the cost to our planet when making decisions.
We hope that the value of what we create is far greater than its cost, giving you the ability to cast a vote for the future of the planet.

How we’ve evolved:
Approximate cost increase of packaging and trims 49%
Approximate cost increase of printed woven fabrics 20%

Moving to the exclusive use of sustainable fibres from the non-sustainable rayon crepe that we previously used has resulted in increased costs of:

For questions or feedback please email sustainability@arnhem.co


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