What Does ‘Sustainably Sourced’ Mean in Different Industries?

What counts as sustainably sourced varies based on sector and individual brands. While companies are increasingly embracing ecologically sound policies, it’s essential to know how they approach sustainable sourcing and what the practice means to them.

What Is Sustainable Sourcing?

Sustainable sourcing involves gathering materials with environmental, social and governance principles in mind. Buying ethically sourced products minimizes your environmental impact since these products typically cause less waste and use more sustainable materials. Ecological considerations are only the first step, though, as companies must ensure sound working conditions and supply chain transparency.

Consumers have grown wiser about sustainable practices, causing more companies to change their internal practices. According to a 2024 survey by YouGov, 74% of European consumers demanded clothes originate from sustainably managed forests. Public opinion turning green means businesses have prioritized ethically acquiring their supplies by working with local suppliers and reducing supply chain waste.

How Do Different Industries Define ‘Sustainably Sourced’?

Nuances vary from one industry to another, so understanding context is essential. What does sustainable sourcing mean for your favorite brands? Here are five sectors where environment and ethics are critical.

1. Fashion

Sustainability is monumental for fashion due to the amount of resources the industry requires. Even one pair of jeans requires plenty of water and labor to manufacture. Sustainable sourcing in textiles starts with using eco-friendly materials like organic cotton and hemp. These natural fibers don’t require harmful pesticides or fertilizers.

Sustainable sourcing in fashion also connects to production practices. Slow fashion brands address overconsumption and overproduction by making longer-lasting clothes. While these garments can be more expensive, they boast a high quality and low environmental impact. Consumers also promote sustainable sourcing by shopping at local businesses with short supply chains.

2. Packaging

E-commerce has grown significantly in the last decade as more shoppers rely on online retailers. Experts predict the market will exceed $5 trillion in value in 2025 and grow by 12.7% annually. Packaging’s widespread use makes sustainable sourcing even more important for the industry.

Sustainable sourcing in packaging means minimizing environmental impact while meeting consumer demand. Biodegradable materials are an excellent start, so companies have started using mushroom or cornstarch packaging. Another pillar of ethical sourcing is incorporating recycled materials over raw materials. For instance, businesses may reuse cardboard to reduce their emissions.

3. Construction

Construction consumes raw resources, so sustainable sourcing is critical for contractors and their teams. Ethical building starts with using materials with a low ecological impact, such as bamboo or recycled wood. Builders can also source more common products like maple wood, which has a rapid growth cycle and can be harvested sustainably.

Sustainability-focused builders use life-cycle assessments to view a material’s long-term impact. From sourcing to disposal, materials need to have minimal impact during and after construction use. Energy is another critical pillar of sustainable sourcing. Builders have cut down on energy consumption by prioritizing renewable power in homes. Some creative architects use passive solar to reduce reliance on utility grids.

4. Automotive

Sustainable sourcing has been a critical conversation for the automotive industry, especially with the rise of electric vehicles. These cars are better for the environment because they don’t emit harmful greenhouse gases. However, acquiring the materials needed for batteries has been controversial. Some electric motors require lithium mining, which raises environmental and social concerns.

Another essential action automakers can take is to extend the life of their vehicles. If a car lasts 20 years instead of 10, drivers may consume fewer raw materials and reduce demand. Manufacturers have switched to high-quality composites, recycled metals and bioplastics to strengthen vehicles. Passenger vehicles generate around 4.6 metric tons of carbon dioxide annually, so sustainable sourcing in the automotive industry is crucial for reducing the sector’s environmental impact.

5. Food and Beverage

Fruits and vegetables are essential to your daily diet and generally have a low environmental impact. However, it depends on where you source your produce. Ethical sourcing in the food and beverage industry means acquiring goods from farms that don’t use synthetic pesticides and fertilizers. Growers should also limit their water consumption when producing crops.

Sustainability also matters when acquiring goods from other countries. Your food and beverage purchases should support farms and nations with fair trade practices and safe working conditions. If a company sells meat and dairy products, it should prioritize high standards of animal care.

Understanding Sustainable Sourcing Worldwide

The global population is moving toward greener pastures. Environmental regulations have changed numerous industry practices to be more ecologically conscious. Modern consumers are concerned about sustainable sourcing, so understanding the differences in various sectors is essential. While companies share goals, their approaches may be unique compared to other organizations.