Fashion Law Journal
Labeling in the fashion industry is an essential tool that goes far beyond mere regulatory compliance. On the one hand, it represents a legal obligation to ensure transparency and consumer safety; on the other, it is a powerful corporate communication tool capable of influencing brand perception and conveying values such as quality, sustainability, and craftsmanship. For those operating in the fashion industry, understanding the function of labeling means navigating a highly regulated market with full awareness, where consumers are increasingly attentive not only to product composition but also to its origin and the environmental and social impact of the production process.
In this article, we analyze the dual role of labeling: on the one hand, its regulatory aspect, which mandates the disclosure of specific information, and on the other, its strategic function, which allows brands to enhance their products and position themselves distinctively in the market.
Regulatory Aspects of Labeling
Mandatory labeling is designed to provide consumers with clear information about the nature of the purchased product. Its function is twofold: it protects consumers from misleading practices and ensures a competitive market based on transparency. The main information that must be included on the label of a garment or textile product includes:
- Fabric Composition: Expressed in descending order of fiber percentages.
- Indication of Non-Textile Parts of Animal Origin: If applicable, to inform consumers about the use of animal-derived materials.
- Care and Washing Instructions: Provided through internationally recognized symbols to ensure proper maintenance of the garment.
- Identification of the Manufacturer or Importer: A key element for product traceability and accountability.
- Country of Origin: Must comply with international regulations to avoid misleading consumers about the product’s origin.
- Warnings Regarding Potential Risks: Such as flammability, allergic reactions, or hazardous materials.
Labels must be written in a language comprehensible to the market in which the product is sold, ensuring clarity and legibility while avoiding any ambiguous or misleading information.
A similar requirement applies to footwear labeling, which must indicate the composition of different components: upper, inner lining, and sole. This helps in preventing fraud and counterfeiting while giving consumers an informed choice.
Strategic Role of Labeling
Beyond legal obligations, labeling is also a means of communication and marketing. Many brands use labels to communicate their corporate DNA, telling the story of the product, the quality of raw materials, their commitment to sustainability, or the certifications obtained. Today’s consumers are increasingly sensitive to ethical and environmental issues, and every communication, even a product’s label, must be aligned with the brand’s values. A poorly conceived label can lead to public backlash and reputational damage, while a well-thought-out strategy can strengthen customer relationships and differentiate the product in the market.
In recent years, sustainability has become a central issue in the fashion industry. It is no longer enough to claim that a product is eco-friendly or ethical; to be credible, companies must obtain recognized certifications and communicate them transparently. Among the most important certifications in the textile industry are:
- GOTS (Global Organic Textile Standard) – Certifies the organic origin of fabrics and ensures compliance with environmental and social criteria during production.
- Oeko-Tex Standard 100 – Ensures that textiles are free from harmful chemicals.
- Fair Trade – Confirms that the product was made under fair labor conditions.
- Cradle to Cradle – Guarantees that the garment is designed to be either recyclable or biodegradable.
Obtaining a certification is a competitive advantage for a brand, but if it is not clearly and verifiably communicated, it loses its effectiveness. This is why many companies integrate recognized logos and symbols directly into their labels, allowing consumers to instantly identify the product’s added value. However, there is an increasing risk of greenwashing, the practice of making misleading environmental claims. Declaring a garment to be “eco-friendly” without valid certification may constitute an unfair commercial practice, leading to regulatory sanctions and reputational harm.
Future Trends in Fashion Labeling
The fashion industry is witnessing a significant shift toward digital labeling. QR codes and blockchain technology are being integrated into fashion labels to provide consumers with real-time, verifiable information about a product’s journey. These innovations offer enhanced transparency by allowing customers to trace:
- The raw materials’ source
- Manufacturing and supply chain details
- Sustainability credentials and ethical labor practices
- Product authentication to combat counterfeiting
Smart Labels powered by NFC (Near Field Communication) technology are another emerging trend, enabling consumers to access information through a simple tap on their smartphone.
Additionally, regulatory bodies worldwide are implementing Extended Producer Responsibility (EPR) laws, which mandate fashion brands to provide details on post-consumer waste management and recycling options for their products.
Conclusion
Labeling in the fashion industry is much more than a simple tag sewn onto a garment. It is a tool that ensures transparency and legal compliance but also a strategic asset for communicating brand values, differentiating products, and fostering customer loyalty. While regulations impose precise obligations regarding composition and product safety, voluntary labeling offers brands an opportunity to stand out through quality certifications, sustainability messaging, and corporate storytelling.
Brands that embrace transparent, strategic, and effective labeling will gain a stronger foothold in an increasingly discerning and sustainability-focused market. As consumer awareness grows and regulatory frameworks evolve, integrating digital solutions, sustainability metrics, and ethical storytelling into fashion labels will be key differentiators in the competitive landscape.
References
- European Union Regulation on Textile Labeling (EU No 1007/2011)
- U.S. Federal Trade Commission (FTC) Textile and Wool Acts
- Global Organic Textile Standard (GOTS) Official Guidelines
- Oeko-Tex Association Guidelines for Standard 100 Certification
- Fashion Transparency Index 2023, Fashion Revolution
- Extended Producer Responsibility (EPR) Regulations in the European Union
- McKinsey & Company: The State of Fashion 2024 Report
AUTHORS:
STEFANIA GALLO
Stefania Gallo is a legal professional specializing in the fashion and luxury sectors, with a solid academic background and focused experience in the legal issues affecting these industries. She graduated in Law from the Alma Mater Studiorum – University of Bologna, where she wrote her thesis on Civil Procedural Law, exploring precautionary protection within the luxury industry.
As a specialist in Fashion Law, Luxury Law, and Intellectual Property, Stefania combines legal expertise with a keen focus on emerging issues in the sector. She has honed her skills through numerous specialized courses in areas such as artificial intelligence, blockchain, and international arbitration, delving into new legal frontiers for these industries.
She has been a speaker at fashion law conferences in Italy and internationally, offering insights from an Italian legal perspective on topics of global interest.
Stefania is also the founder of Fashion Law Italia, the first Italian platform dedicated to legal dissemination in the fashion industry. This project merges strong legal expertise with a deep understanding of market dynamics.
ANUJ KUMAR
Anuj is also Founder & editor-in-chief of Fashion Law Journal, an exclusive resource for legal issues involving the fashion industry. Anuj has been assisting fashion brands in Compliances required for Fashion Industry, the issues of Licensing, Merchandising, and protecting IP, Labour, and the Rights of stakeholders. Anuj is also founder of Legal Desire Media (among leading legal industry insights media with over 3 Million+ readership), having experience of 12 years in Publishing, Compliances, Business Development & Marketing, closely working with over 50+ global brands, influencers & law firms in various practices for comprehensive business development solutions, empowering small firms to successfully build their brands, connect with consumers to grow their practice. Serving clients in brand setup, industry compliances, managing their digital properties, business Development goals & Corporate Communications, etc. Know more at www.fashionlawyer.co
