A very important element in building a more sustainable model for the fashion system is knowledge of the supply chain and a transparent communication approach. Traceability and transparency are now priorities in the agendas of fashion managers, necessary to increase consumer confidence, better manage resources, fight counterfeiting, support more responsible production and consumption models, and manage reputational risks. Activities also in line with Sustainable Development Goals (SDGs) 12 and 8 of the UN 2030 Agenda.

"...traceability and transparency have great potential to build trust among all industry actors and to maximise the positive impacts of this global industry for sustainable and inclusive development." [UNECE, Recommendation No. 46, Enhancing Traceability and Transparency of Sustainable Value Chains in the Garment and Footwear Sector].

Sharing data and disclosing relevant information on products and processes along the value chain is a prerequisite for promoting sustainability and circularity in the fashion industry. But the fashion industry supply chain is often long, contains many steps and involves many actors and this fragmentation complicates supply chain management. Traceability is not easy to pursue and there is a need for mechanisms to safeguard sustainability and transparency.