Inditex is a global fashion retail group operating, with 8 brands, in over 200 markets worldwide. We aim to create value through the design of beautiful, ethically-produced, high-quality and trend-driven fashion products. More information at p. 42-47 of Inditex Annual Report 2020.

Africa: Eastern Africa, Middle Africa, Northern Africa, Southern Africa, Western Africa

America: Caribbean, Central America, Northern America, South America

Asia: Eastern Asia, Central Asia, South-eastern Asia, Southern Asia, Western Asia

Europe: Eastern Europe, Northern Europe, Southern Europe, Western Europe

Oceania: Australia and New Zealand, Melanesia, Micronesia and Polynesia

By 2025, Inditex will reduce its virgin plastic footprint by at least 50% compared to 2019. For that purpose, our total plastic packaging will be reduced by 20% compared to 2019 and we will increase our recycled content plastic packaging to 30% compared to 2019.

Reduction of single-use plastic:

- Total elimination of plastic in B2C (client's bags, perfume plastics packaging, navets (plastic thread used to attach labels to garments)

- Update of the internal regulations to standardize technical characteristics of plastic packaging (reduction of plastic gauges, optimization of the size of the packaging according to the garment, etc.)

- Reuse of hangers

Replacing virgin plastic with recycled:

- Technological improvements in the field of plastics recycling

- Work with best in class plastics suppliers

- Recirculate our own plastic waste when technically possible.

- Increase recycled content in B2B plastics

- Perform analysis about packaging best practices, and develop a track and trace tool of all our packaging flow

We have fulfilled our commitment to eliminate plastic bags by 2020 in all brands - Zara has eliminated/replaced more than 100 million plastic items. Zara has replaced the polyester tape on the shoeboxes with paper tape and the polypropylene gift bag sent with online orders with a 100% cotton bag.

- Pull&Bear has replaced 100% of plastic customer cards with cardboard.

- Zara Home has eliminated plastic bags to protect sheets. Together Oysho, Stradivarius and Lefties, it has made progress in replacing the plastic on racks and pack bags.

- Uterqüe no longer provides customers with single-use plastics after reaching this target in 2020.

- More than 600,000 plastic shoe trays have been replaced at store warehouses, eliminating more than 600 tonnes of plastic.

- Elimination of single-use beverage and food containers at our facilities

- Christmas basket packaging optimisation, saving 65% of plastic

For further information, see page 273 of the Annual Report

We remain firmly committed to ensuring our business activities add value for society and the environment. We will continue to work towards achieving the objectives set in our Sustainability Roadmap. Those targets include the elimination of single-use plastic from customer interfaces by 2023 and the recycling of all waste generated in our facilities by 2023. To achieve these commitments, we have settled an specific sustainability packaging team, directly focused on trace, measure and improve packaging used in our operations. Moreover, a multidisciplinary and interdepartmental task force has been set up to develop a new traceability and improvement measures for packaging. Furthermore a consultancy team specialized in packaging is joining our teams to perform a benchmarking analysis about packaging best practices, and to develop a track & trace tool of all our packaging flows and to improve our packaging sustainable management.

Reuse models in place for non-consumer facing packaging

Product line(s) with reuse model(s): Not reported

Market(s) where reuse models are available today: Not reported

The Single Hanger Project consists of developing a single hanger to transport garments from textile suppliers to stores for subsequent display. After implementing the project in Zara Women over 2020, we have now implemented it in Zara Men and Kids, in the 2021 Spring/Summer season. In addition, we have consolidated hanger models and materials for improved traceability, reusability and recyclability. In 2020, 61.8 million conventional hangers were retrieved from stores (115 million hangers in 2019 and 120 million hangers in 2018). This reduction over previous years is the result of our progress in implementing this project with the gradual phasing out of conventional hangers. However, rather than being wasted, the discarded conventional hangers are collected and repurposed to create new items for reuse in new products. For example, our hangers are being used to manufacture 100% recycled navets (plastic thread used to attach labels to garments).

Introducing or expanding reuse models for non-consumer facing packaging

We are working together with suppliers and our internal teams to unify models and materials to establish closed circuits that improve traceability and the reuse and recycling capacity. To achieve our commitments, we have settled an specific sustainability packaging team, directly focused on trace, measure and improve packaging used in our operations. Moreover, a multidisciplinary and interdepartmental task force has been set up to develop a new traceability and improvement measures for packaging. Furthermore a consultancy team specialized in packaging is joining our teams to perform a benchmarking analysis about packaging best practices, and to develop a track & trace tool of all our packaging flows and to improve our packaging sustainable management.

We continue improving the establishment of viable recycling/reuse channels for headquarters, our own factories, logistics centres and stores. In our own factories, logistics centres and headquarters we have contracted waste managers. Also, we have implemented significant actions, as of the development of a single-material anti-mould patch included in packaging to absorb moisture. It replaces the previous patch made of a mixture of materials to facilitate recycling.

We collaborate with waste management companies to find new solutions for the materials that we collect at our facilities. Thanks to this work together, we have been able to develop mechanisms to turn those materials into new ones for subsequent use in our activities, such as the inclusion of cardboard from our own facilities in online boxes of zara.com and plastic in different consumables used in our primary packaging system, in contact with the product, and from logistics.

Yes

100% reusable, recyclable or compostable

In the coming years, we will continue to advance in our Green to Pack program to set the quality standards of our packaging, enabling the use of recycled materials, the extension of its useful life and subsequent recycling. This will help to reduce consumption of resources and to optimise transport emissions. We will continue working on extending the scope of reuse models for packaging such as the single hanger project, to unify materials for these packaging items and to establish closed circuits that will improve traceability, reuse and recycling capacity. We encourage actions to reduce material use at source and increase recycling ratios via training programs for our employees.We will continue to conduct these training in a regular basis.

As we mentioned before, we have an specific sustainability packaging team, directly focused on trace, measure and improve packaging used in our operations. Moreover, a multidisciplinary and interdepartmental task force has been set up to develop a new traceability and improvement measures for packaging. Furthermore a consultancy team specialized in packaging is joining our teams to perform a benchmarking analysis about packaging best practices, and to develop a track & trace tool of all our packaging flows and to improve our packaging sustainable management.

We continue to develop innovative solutions to prevent our products from becoming waste in the post-consumer stage. We continue working with our suppliers to increase the % of post-consumer recycled content in packaging across our portfolio, with the aim of reaching an ambitious target by 2025. Examples:

- Use of 100% recycled plastic sheets to cover goods in air freight shipments to our stores.

- We have increased the % of post-consumer recycled content in the bags we use to collect and sort plastic in our centres, which currently contain 100% post-consumer recycled content (50% post-consumer recycled content in 2019).

- We manufacture 100% recycled black plastic barbs (plastic thread used to attach labels to garments), 90% of which comes from recycling our hangers.

- All the hangers of Pull & Bear, are now 100% recycled.

Progress towards models of reuse such as the single hanger project and innovation together with our suppliers to implement a nomenclature system, thereby allowing us to improve traceability and increase the quantity of recycled content of our plastic packaging. We collaborate with waste management companies and suppliers to find new solutions for the materials that we collect at our facilities. To achieve our commitments, and as we mentioned before, we have a specific sustainability packaging team, directly focused on trace, measure and improve packaging used in our operations. Moreover, a multidisciplinary and interdepartmental task force has been set up to develop a new traceability and improvement measures for packaging. Furthermore a consultancy team specialized in packaging is joining our teams to perform a benchmarking analysis about packaging best practices, and to develop a track & trace tool of all our packaging flows and to improve our packaging sustainable management.

About quantitative data, estimates were made to asses relevant plastic/plastic packaging involved in our organisation's activities. The non-quantitative reported information, was published in the Inditex’s FY’20 Annual Report and verified by Deloitte S.L.

In the last year we have expanded our scope to include all product categories (apparel, footwear, home, cosmetics). However, we are not able to provide plastic packaging data on some particular plastic items (such as plastic labels or navets for labels…). In this regard, we are working on the creation of a traceability system to be able to account for the plastic packaging generated by the organisation at different stages.

In question 4.5, the data about reused plastic packaging, only the part of our hangers reused in our Zara brand during FY'20 is taken into account. We continue to work to improve our packaging reporting systems. The reduction of total annual plastic consumption compared to FY 2019 is mainly due to the actions implemented to reduce the plastic used and the decrease in sales because of the health crisis arising from covid-19.