Lenzing is embracing blockchain technology to ensure transparency and traceability from wood to finished garment. The hope is to ensure end-to-end traceability for apparel brands and buyers. The improved supply chain transparency is expected to help Lenzing customers and suppliers identify Tencel fibers and the source of the wood in every part of the production and distribution process. A QR code on each garment’s tag will allow consumers to look up the origin before they buy the clothing. The key advantage of this technology is it takes a decentral approach to authentication based on blockchain based digital-tokens, unlike the centralized approach based on a file or pdf-based authentication system. Consumers in many industries are interested in the suppliers and ingredients of the products they buy. Up to 30 per cent of branded organic or sustainable fibers are thought to be fake.
Lenzing, based in Austria, is the world market leader in fibers made from renewable wood. With Lenzing Ecovero-branded fibers Lenzing was the frontrunner in physical traceability and is now entering the age of digital traceability. Lenzing plans to conduct several pilot tests over the next few months with partners across its entire value chain. The platform is expected to be fully operational in the first quarter of 2020.