Biodiversity is all the different kinds of life on our planet. These species and organisms work together to support everything we need to survive, and to build a resilient business. But fashion impacts biodiversity at every stage of its value chain.
Biodiversity
Why we work with biodiversity and nature
Biodiversity loss is recognised as one of the biggest challenges of our time. In WWF’s Living Planet Report 2024, it states that wildlife populations have declined on average by 73% since 1970. Immediate action is needed to reverse this trend. The link between biodiversity, nature and business is well established and according to the World Economic Forum, biodiversity loss is the third biggest risk businesses face.
At H&M Group, every stage of our value chain affects the natural planet and the biggest impact comes from sourcing raw materials. At the same time, we are dependent on biodiversity for fertile soil, robust forests, quality air and water, as well as healthy pollinators to produce natural materials for our products.
Our ambition
We want to move away from business practices that harm ecosystems and biodiversity. Our work focuses on reducing greenhouse gas emissions, limiting hazardous chemical discharge, addressing shared water and soil challenges, halting ecosystem conversion and minimising land use for production.
We aim to build a resilient value chain that supports global biodiversity goals and aligns with the Kunming-Montreal Global Biodiversity Framework. By working with partners like IDH, Laudes Foundation, WWF, Better Cotton, The Fashion Pact, NATIVA and LEAF, we amplify our impact through shared resources.
Our work on biodiversity is guided by the ARRRT framework that sets actions in a priority order:
1. Avoid
Recirculating existing products through circular business models and using artificial intelligence to match supply to demand help us avoid negative impacts on biodiversity.
2. Reduce
We are reducing our impact by increasing the recycled content of our products and using greater amounts of certified materials such as Responsible Wool and wood from FSC certified forests.
3. Restore & regenerate
Regenerative agriculture and conservation projects help to restore natural habitats and increase the resilience of nature.
4. Transform
Through collaborating with others, we bring about transformational change to the fashion industry.
Science based targets for nature
In 2024, we completed a SBTN pilot assessing our value chain and the target setting process for land and water. As part of the project, we assessed three land targets – preventing ecosystem conversion, reducing land footprint, and engaging in landscape initiatives.
As a result of the pilot, which aims to standardise how businesses measure environmental impact and define targets, we identified key industry challenges, such as the need for better data. We also confirmed that cotton sourcing in India and wool sourcing in South Africa remain priorities. Our of our WWF-led projects – cotton farming in Madhya Pradesh, India and sheep grazing in Eastern Cape, South Africa – were submitted to SBTN as part of the pilot.
Our biodiversity and nature projects
We are investing in projects connected to the parts of our value chain where we have the biggest environmental impact – raw materials.
Cotton and wool are two important materials we use to make our products. Conventional production methods can lead to negative impacts like soil erosion, pollution and overgrazing. Therefore, we support regenerative agriculture projects, which focus on the links between nature and farming to improve soil health and biodiversity, strengthen the resilience of farmers and communities, reduce our impact and increase the availability of regenerative materials.
Supporting cotton farmers in Madhya Pradesh
In Madhya Pradesh state, India, we are working with Laudes Foundation, IDH The Sustainable Trade Initiative, and WWF India to support smallholder farms to transition to regenerative practices. The project aims to move farmers to a multi-commodity supply chain and build community resilience through systemic change driven by local ownership and governance.
Regenerative cotton farming in a wildlife corridor
In partnership with WWF, we are working with smallholder cotton farmers to introduce regenerative farming practices, support livelihoods and protect a corridor for tigers and other wildlife in Satpura Pench, India. The first harvest season brought lower pest populations and lower costs compared to conventional farming. Read more in this case study.
Developing a model for smallholder farming
We joined a project with the Better Cotton Growth & Innovation fund and WWF India, which aims to develop a regenerative agriculture model for smallholder farms that can be replicated in other areas. It prioritises easy to adopt practices that have an immediate effect on soil health such as using organic compost and biological alternatives to synthetic fungicides.
Supporting the transition in Argentina
In 2023, we joined a project with NATIVA™ to support sheep farmers transitioning to regenerative practices in Argentina. NATIVA selected the farms and expert organisations that will be involved in the on farm implementation and baseline analysis, which will begin next year.
Regenerative sheep farming in South Africa
Eastern Cape Drakensberg is a haven for biodiversity and an important water catchment area. We are working with WWF on a project to encourage local sheep farmers to adopt more regenerative grazing practices. Read more here.
Forest restoration and rattan production in Indonesia
In 2023, we initiated a project with WWF to restore and enrich forest cover, as well as improve rattan farmers livelihoods in Central Kalimantan.
A collaborative effort
Halting and reversing the decline in biodiversity and nature needs a collaborative approach. Working with partners and through cross-industry collaboration will accelerate change. Here are some of the organisations we work with and how we are taking action together:
- In the run up to COP15, we joined Business for Nature’s (B4N) Make it Mandatory campaign, calling on negotiators to make assessment and disclosure about impacts on nature compulsory. We are also part of B4N’s Strategic Advisory Group.
- We have worked with WWF for over a decade, collaborating to address our environmental impact. As part of the partnership, we provide funding and advisory input to the Biodiversity Stewardship Programme.
- As part of our Fashion Pact membership, we participated in Transforming the Fashion Sector, a project analysing the land, biodiversity and ecosystem impacts of our leather supply chain in line with the SBTN framework.
- We contributed to an Ellen MacArthur Foundation study on how the circular economy can tackle biodiversity loss.
We publish our sustainability progress report annually. In this document, we set out our goals and the progress we’ve made in the previous year. Find the latest version here. More up to date information can be included on this page.
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