Consumers in Europe and North America , and increasingly in other countries, are today highly critical on the environmental impact and the social standards of the manufacturing process of products they use. Consumers are concerned over environmental problems such as the greenhouse effect, depletion of the ozone layer, pollution of air and water and wastage of natural resources. They also feel strongly about the well being of people, safety at the workplace, and fair treatment of workers including payment of minimum wages as per the laws of the respective producing country, especially in developing regions. Consumers are feeling increasingly responsible for creating a sustainable world in which future generations can still live.
The new position of “Factory Auditor” created about six years ago by large importing companies, and now exists in the organization of most responsible buyers. It forbids the placing of orders with any supplier whose manufacturing facilities and methods have not passed an “Audit” in all details as per “Audit Report” attached herewith.
Details as per “Audit Report” summarized as “Sustainability” - are having an increasing influence on the products consumers choose to buy, and therefore on the conditions that retailers and importers pose on buying products from producers. Producers that cannot fulfill all details of “Sustainability” will lose buyers and market shares. Consumers' demands for products manufactured under sustainable conditions are increasingly translated into law demanding product labels, production labels and codes of conduct. Producers in Indonesia will have to follow these developments because they directly affect their exports. It may however be confusing to know which laws; labels and codes of conduct are relevant.
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Sustainable Business Development: The Market Imperative in the Wood and Products Sector
ABSTRACT:
Consumers in Europe and North America , and increasingly in other countries, are becoming more and more critical on the environmental impact and the social standards of the production of the products they use. Consumers are concerned over environmental problems such as the greenhouse effect, the depletion of the
ozone layer, the extinction of wildlife species and the pollution of air and water. Consumers are also concerned about the well-being of people, especially in developing countries. Consumers are feeling more and more responsible for creating a sustainable world in which future generations can still live.
The Indonesian Netherlands Association (INA), and the Forum for Corporate Governance in Indonesia (FCGI) are active in the promotion of Good Corporate Governance and Sustainability in Indonesia through various workshops. In line with our main objectives and also focusing on the Sustainable Development Initiative, INA and FCGI in cooperation with the Dutch Ministry for Development Cooperation (Minbuza-OS), we are pleased to publish this guide to Sustainability in the Textile sector, which is filled with latest information on codes of conducts and market requirements in Europe for the needs of the Indonesian company that would like to export to Europe.
