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Fast fashion: 'How do you justify selling a £2 T-shirt?' | Fast fashion: 'How do you justify selling a £2 T-shirt?' |
(35 minutes later) | |
Primark has defended selling T-shirts for as little as £2, saying its ability to sell clothes so cheaply is down to its business model. | Primark has defended selling T-shirts for as little as £2, saying its ability to sell clothes so cheaply is down to its business model. |
MPs investigating the impact of so-called "fast fashion" asked the firm how it could justify such low prices. | MPs investigating the impact of so-called "fast fashion" asked the firm how it could justify such low prices. |
Paul Lister, Primark's head of ethical trade and environmental sustainability, said it spent nothing on advertising and had tight profit margins. | Paul Lister, Primark's head of ethical trade and environmental sustainability, said it spent nothing on advertising and had tight profit margins. |
He said he knew of no-one under 16 working in any of its supply factories. | He said he knew of no-one under 16 working in any of its supply factories. |
The Commons Environmental Audit Committee is examining the impact of clothes production - for example, looking at the pollution produced by factories - especially items produced cheaply and quickly in response to trends. | The Commons Environmental Audit Committee is examining the impact of clothes production - for example, looking at the pollution produced by factories - especially items produced cheaply and quickly in response to trends. |
It's also examining the conditions experienced by those working in the industry. | It's also examining the conditions experienced by those working in the industry. |
Primark has been giving evidence on Tuesday alongside representatives from brands including Marks & Spencer, Burberry and Asos. | Primark has been giving evidence on Tuesday alongside representatives from brands including Marks & Spencer, Burberry and Asos. |
Committee chairman and Labour MP Mary Creagh asked Mr Lister: "How can you justify selling T-shirts in your stores for as little as two or three pounds, and how can you be making a profit on those?" | Committee chairman and Labour MP Mary Creagh asked Mr Lister: "How can you justify selling T-shirts in your stores for as little as two or three pounds, and how can you be making a profit on those?" |
He replied: "Primark has never done any significant advertising at all, and that can save us in any year £100m to £150m compared to some of our larger rivals. That goes straight into price. That keeps our pricing low. | He replied: "Primark has never done any significant advertising at all, and that can save us in any year £100m to £150m compared to some of our larger rivals. That goes straight into price. That keeps our pricing low. |
"We often buy on longer lead times in quiet periods for the factories and then we pay the factories early, so if you're a factory owner you'll able to give Primark a better price to reflect that." | "We often buy on longer lead times in quiet periods for the factories and then we pay the factories early, so if you're a factory owner you'll able to give Primark a better price to reflect that." |
He added: "It's our business model that takes us to a £2 T-shirt." | He added: "It's our business model that takes us to a £2 T-shirt." |
On waste, Mr Lister said Primark had very little unused stock and was planning to launch a take-back scheme for consumers next year, where old clothes can be returned and used again by overseas charities. | On waste, Mr Lister said Primark had very little unused stock and was planning to launch a take-back scheme for consumers next year, where old clothes can be returned and used again by overseas charities. |
What is fast fashion? | What is fast fashion? |
The term describes our high rate of fashion consumption fuelled by the quantity of new and cheap clothes. | |
MPs believe that the throwaway nature of fashion is fuelling fast turnarounds among suppliers, which may result in poor working conditions. | MPs believe that the throwaway nature of fashion is fuelling fast turnarounds among suppliers, which may result in poor working conditions. |
Producing clothes also requires climate-changing emissions. Global textile production produces 1.2bn tonnes of carbon emissions a year - more than international flights and maritime shipping. | Producing clothes also requires climate-changing emissions. Global textile production produces 1.2bn tonnes of carbon emissions a year - more than international flights and maritime shipping. |
Last month, MPs on another committee concluded that the fast fashion industry was a major source of the greenhouse gases that are overheating the planet. | Last month, MPs on another committee concluded that the fast fashion industry was a major source of the greenhouse gases that are overheating the planet. |
'Industry practice' | |
High-end fashion brand Burberry defended criticism from MPs for dumping clothes. | |
Earlier this year the firm was strongly criticised for burning £30m ($40m) of stock. It admitted destroying the unsold clothes, accessories and perfume instead of selling them off cheaply, in order to protect the brand's exclusivity and value. | |
Leanne Wood, Burberry's chief of corporate affairs, told MPs the firm was "committed" to stopping the activity, but added: "It is an industry practice. | |
"We're the only luxury business that's reported it in their accounts… but it is something that happens in the industry." | |
Marks and Spencer's representative, Mike Barry, said that none of the company's waste fabric goes to landfill or for incineration, and that it gives around half a million garments to charity each year. | |
However, recycling the material was a much harder challenge, he added. | |
'Not binned' | |
Ms Creagh suggested that by making garments so cheaply, they were devaluing them. | |
But Mr Lister insisted: "Every item that we make, we're looking at durability… We are proud of the quality and durability of our garments, they're not built to throw away." | |
Jamie Beck, from the Arcadia group, which includes Topshop and Burton, said: "These garments aren't designed to be a disposable item, to be bought for [just] a holiday. They're designed to be long-lasting." | |
Asked why so much clothing was ending up in the bin, Mr Beck replied: "We don't believe it is ending up in the bin. We believe it does go to charity shops, we believe it does get reused." | |
He said the sheer wealth of garments available for sale on eBay demonstrated that belief. |