FUND FOR RESEARCH INTO INDUSTRIAL DEVELOPMENT, GROWTH & EQUITY

Global Review of Eco-Labels: Implications for South Africa

PHASE ONE REPORT

Background to this study

This study was commissioned by the Fund for Research into Industrial Development, Growth & Equity (FRIDGE), a sub-committee of the Trade & Industry Chamber of the National Economic Development and Labour Council (NEDLAC). The study was initiated by the Environmental Section of the EIDD division of the Department of Trade and Industry, who serve as the project leader for this study. The main objective of the study is to inform decision making - as part of the Integrated Manufacturing Strategy - regarding the feasibility and appropriateness of developing a national eco-labelling scheme in South Africa and/or facilitating access to existing labelling initiatives of key trade partners. This is based on an assessment of the state of eco-labelling abroad, and on an evaluation of relevant market conditions in South Africa. (A more detailed description of the various objectives is provided in the project Terms of Reference).

Core Assumptions

The following core assumptions were made in undertaking this research:

The focus of this report is on multi-issue, voluntary labels that are designed to apply to a small proportion of products in a product category, and that are subject to third-party verification (these are also known as "ISO Type I" environmental labels).

Following from the above assumption, the reference throughout this text to "eco-label" (unless otherwise specified) is to ISO Type I environmental labels. Limited reference is made to the potential role for environmental self-declarations (ISO Type II) and independently verified report-cards labels (ISO Type III).

In addition to the above focus, the study also specifically excludes an examination of:

• The potential for tourism-related labels within South Africa;
• The use of eco-labels in foodstuffs;
• The role of international voluntary labelling initiatives administered by NGOs (such as that Forest Stewardship Council);
• The development and use of "social labels", other than in those instances where social issues are included as part of the criteria of existing eco-labels.