TrusTrace, which also received money from early investor BackingMinds and support from Fashion for Good, plans to use this new investment to help global brands achieve sustainable and transparent supply chains.
The new capital will be used to accelerate the company’s global expansion, product development and strengthen the team to help brands who want to know what they sell and consumers who care about what they buy.
The platform will position itself as a one-stop-shop operating platform for brands wanting to solve major supply chain sustainability and transparency challenges.
TrusTrace CEO and co-founder Shameek Ghosh said: “TrusTrace enables product-level traceability and supply chain transparency to drive better, more sustainably-conscious and socially-responsible sourcing decisions.”
He added: “With this latest funding round, we will continue leveraging cutting-edge technology and the best minds in the industry to achieve positive, restorative change for people and the planet.”
Rebecka Löthman Rydå, investment manager at Industrifonden explained: “As an investor, we seek out the most transformative ventures to invest in; those with the power to have a meaningful impact on society. Supply chain traceability and transparency are critical for retailers to become sustainable.”
Hadar Cars, investment director at Fairpoint Capital pointed out: “We have been truly impressed by TrusTrace‘s impact in the fast-growing market for supply chain transparency. Consumers, businesses and regulators alike are demanding solutions for sustainable practices, which have evolved from a ‘nice-to-have’ to a ‘must-have’ for leading companies.”
Ghosh believes fashion supply chains need fundamental, structural change in future.
He told Just Style exclusively:
Increasing pressure from regulations, investors and consumers will make full traceability and transparency in supply chains an essential factor in the coming years, as the inability to disclose granular and verified information can lead to anything from large fines to consumer disenchantment.
He added: “Putting sustainability and circularity at the core of the value chain – already in the design process – is a must to tackle the challenges we are facing as an industry to safeguard the future health of our planet and people. But it is also a necessity to stay relevant for the fast growing base of conscious consumers that will no longer tolerate greenwashing and require proof. And fortunately the tools now exist to give you not only proof – but a solid baseline from which you can plan and measure positive change.”
The TrusTrace platform was founded in 2016 to empower fashion brands to take responsibility for the social and environmental impact of their supply chains. The company currently has a portfolio of more than 40 customers, including well-known brand and sustainability leaders like Filippa K, Zalando, Decathlon, Fjällräven and Coop.
The TrusTrace platform is built on AI, Blockchain and BOTS for companies who see sustainability not just as a passing fad but fundamental to their DNA.
Just Style reported last month that technology platform Higg launched a new programme to enable comprehensive traceability across the global supply chain in collaboration with TrusTrace, atma.io by Avery Dennison and FibreTrace.