German Value Chain Act to make global supply chains more sustainable
Bangladesh textile factory. Photo: © FEMNET
Bonn. Many German companies benefit from legal loopholes in order to have their goods produced cheaply abroad. To date, they have only been required voluntarily to take action against human rights violations against their suppliers. This should change in the future: According to media information, the Federal Ministry for Economic Cooperation and Development (BMZ) has drafted a value chain law, which is to be published soon. Violations should be punishable by imprisonment and fines.
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Bonn/Berlin. Once again, a busy year is coming to an end in the Textile Alliance: In 2018, for the first time, all members had to disclose their environmental and social compliance targets in their supply chains in individual action plans. Previously, these were checked by an external testing organisation for plausibility and compliance with the requirements. The steering committee also defined the topics of living wages, supply chain transparency and impact measurement as priorities for 2018. The following explanations provide an insight into how the progress made last year is assessed by the civil society representatives in the steering committee of the Textile Alliance.

