The Vision of the European Cosmetics Industry
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- Millicent Murphy
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1 Why Sustainability is Essential: The Vision of the European Cosmetics Industry COSMOPROF Bologna, 2015 Werner Schuh, Chair CE SCT Sustainable Development 1
2 Cosmetics Europe Key Figures 2013 Europe is the flagship producer and mass consumer market of cosmetics and personal care products in the world. The European cosmetics industry represents one-third of the global cosmetics market, which is more than the US and Japanese markets combined (Source: Euromonitor, 2013) The European Cosmetics industry employs approximately 25,000 scientists (2013 figures) More than 4,000 companies operate in the EU cosmetics industry, two thirds of which are SMEs Direct and indirect employment in the European cosmetics industry is approx. 1.5 million people (Source: Euromonitor, 2013 figures) 2
3 European Cosmetics Industry Market Share 3
4 Corporate Members National Associations Austria -FCIO Belgium -DETIC Bulgaria - BNAEOPC Czech Republic - CSZV Denmark -SPT Estonia - FECI Finland - TY France - FEBEA Germany - IKW Greece - PSVAK Hungary - KOZMOS Ireland - ICDA Italy COSMETICA ITALIA Latvia - LAKIFA Lithuania - LIKOCHEMA Luxembourg - DETIC Netherlands - NCV Norway KLF Poland - PACHCP Poland - PUCI Portugal - AIC Romania - RUCODEM Russia - APCoHM Russia - PCAR Serbia - KOZMODET Slovakia -SZZV Slovenia - KPC Spain -STANPA Sweden - KTF Switzerland - SKW Turkey - KTSD United Kingdom -CTPA 4
5 Cosmetics Europe s Vision, Mission, Goals Vision The cosmetics, perfumery and personal care industry and products contribute significantly to individual and social well-being in everyday life. Mission Cosmetics Europe s mission is to support the development of an innovative, sustainable, competitive and respected cosmetics industry in Europe, which best serves consumers. Goals As the single, recognised voice of European cosmetics, perfumery and personal care, Cosmetics Europe must: Earn public trust Achieve effective public policy Enhance member value 5
6 Challenges for the Future Population Consumption Resources Life expectancy 6
7 Water Scarcity Growing competition for scarce water resources is a growing business risk, a major economic threat, and A challenge for the sustainability of communities and the ecosystems upon which they rely. This issue has serious implications for the stability of countries in which businesses operate, and for industries whose value chains are exposed to water scarcity. 8
8 Climate Change Waste Volume 9
9 The EU 2020 Strategy EU 2020: Sustainable Growth 10
10 Sustainability in the Cosmetics Industry Concept of «sustainable development»: UN World Commission on Environment and Development, 1987 Development that meets the needs of the present without compromising the ability of future generations to meet their own needs Based on three pillars: Economic development Social responsibility Environmental protection Corporate Members sustainability strategies implemented many years, in some cases even decades ago CE established a formal sustainability steering group in 2008 (COLIPA SPT Sustainable Development) 11
11 CE s Framework Strategy 2012 (based on COLIPA 2009) Objectives Support development of an innovative, sustainable, competitive and respected cosmetic industry in Europe, which best serves consumers Establish Cosmetics Europe as a credible and respected partner in sustainability debate, representing an industry that promotes sustainable development.. 12
12 CE s Framework Strategy (2012) Demonstrate commitment to sustainability by developing and promoting a voluntary framework for our road to sustainability Develop principles, methodology and tools applicable to cosmetic products; assist industry in its implementation activities Closely follow European policies, strategies and action plans related to Sustainable Consumption and Production Establish and maintain a network which includes all relevant stakeholders Actively participate in shaping the policy and legislation in this area at EU level and, via national associations, at national level Take account of public perception and communicate about sustainability aspects of cosmetic products with one voice 13
13 Achievements / Deliveries Since 2008 Guidelines for assessing the environmental impact of cosmetics (2008) Sustainable consumption and production of cosmetic products: key principles regarding communication to consumers (2009) Position on carbon footprint (2010) Good Sustainability Practice (GSP) for the cosmetics industry (2010) The role of life-cycle thinking and of life-cycle analysis in Colipa s sustainability vision (2011) Sustainable development and the cosmetics industry: key principles (2011) 14
14 Achievements / Deliveries Since 2008 Sustainable development and the cosmetics industry: questions & answers (2011) Participation in the Look Good Feel Better initiative (as of 2011) The role of life-cycle thinking and of life-cycle analysis in Colipa s sustainability vision (2011) 10 Steps to Sustainability: guidelines for cosmetic companies, especially SMEs (2012) Practical guide: how to apply life-cycle thinking to cosmetic products (2012) Contribution to Revision of Ecolabel Criteria 15
15 Achievements / Deliveries Since 2008 Contribution to the public consultation on Sustainable Consumption and Production / Sustainable Industrial Policy (2012) Contribution to the public consultation on the 7 th Environmental Action Programme (2012) Research programme on alternatives to animal testing ( ) 16
16 EU Commission Pilot on Product Environmental Footprint (PEF): A Perfect fit for the Cosmetics Industry; BUT. 1. Batteries and accumulators 2. Decorative paints 3. Hot and cold water supply pipes 4. Household detergents 5. Intermediate paper product 6. IT equipment 7. Leather 8. Metal sheets 9. Non-leather shoes 10. Photovoltaic electricity generation 11. Stationery 12. Thermal insulation 13. T-shirts 14. Uninterruptible power supply 17
17 Outline of Cosmetics Europe s PEF «Shadow» Project CE had applied for participation in EU COM PEF pilot (shampoo), but was not among the 14 selected projects CE Board decision: Continue as internal (shadow) project Objective: Actively demonstrate commitment to sustainability enhance trust & reputation shape thinking on how PEF methodology should be applied to cosmetics Project: Carry out pilot following the Commission s PEF methodology, guidance for the project design and timeline Deliverable: Product category rules for the environmental footprint of shampoos Timeline: End 2013 end
18 CE s PEF Project - Survey Kick-off meeting 24. Jan Finalisation meeting Dec Review existing guidance Define screening model 1st Draft PEFCR Feedback CE TF PEF 2nd Draft PEFCR Feedback CE members 3rd Draft PEFCR 3 PEFCR supporting studies Final Draft PEFCR External stakehold. review Final R e p o r t Scope definition PEF screening study Status March 2015 Commun. vehicles implement. Commun. vehicles testing 19
19 PEF Calculation Principle: Modelling Product Life Cycle So-called cradle-to-grave analysis for required; all relevant activities shall be considered; for calculation, hundreds of assumptions to be made (type/weight of materials, distance transported,.) Indirectly attributable upstream activities Raw material Extraction Agricultural activities Land use / change Manufacturing, production and processing Electricity / energy cons. Disposal/waste treatment Transportation between suppliers Other relevant processes Directly attributable activities Site level activities Capital equipment Business travel Client and visitor transportation Employee commuting Transportation fr. suppl. Waste streams (composition, volume) Other relevant activities Indirectly attributable downstream activities Transportation & distribution of products Use End of life of the products/services Third party waste treatment facilities Other relevant processes 20
20 Screening Study Results for Representative Shampoo Relevant Life Cycle Phases Important Impact Categ. Climate change Water resource depletion Freshwater ecotoxicity 21
21 CE s Strategic Priorities (Medium-Term) Ensure a sustainable and workable regulatory environment for Cosmetics Industry Contribute to conservation of biological diversity (e. g. via Guidance and Best Practice documents on EU ABS Regulation) Improving resource efficiency and environmental performance of cosmetics along entire life cycle 22
22 Questions? 23
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