The European Digital Product Passport (DPP) aims to enable the digital sharing of key product-related information that is essential for products' sustainability and circularity across all the relevant economic actors.
DPPs collect information ranging from a product's composition and lifecycle, including raw materials, provenance, and production events, up to recycling, suppliers, etc. Overall, it significantly improves access to qualified data across the value chain, providing critical visibility to:
Assess and optimize a product's sustainability and environmental impact
Allow authorities to verify compliance with legal obligations
Communicate sustainability guarantees and differentiate products in a B2B context
Help consumers make sustainable choices with more informed purchasing decisions
Digital Product Passport ©Tilkal
Battery passports for electric cars will be the first DPPs to be implemented in 2024, although the DPPs' definitive contents are still the subject of ongoing debate. Textiles, construction, electronic waste, plastics, chemicals, and automotive sectors are all seeing pressures and initiatives to move to more sustainable business practices. DPPs will be fully implemented by 2029.
The Legislation is set to connect these different product categories as part of the increasing push for digitization, connected data sets, and environmental impact assessment across product life cycles. Our clients in the industrial, food, and textile industries are already utilizing our solution to produce B2B or B2C DPPs, and they have converted this into a business opportunity for themselves.
How can DPPs be applicable to your business?
1. Use DPP to get a competitive edge by proving quality and ESG policies with transparency and traceability.
2. Implement a circular business model, incorporate sustainability into your model, and become an industry leader in sustainability.
3. Utilize early regulatory compliance to your advantage in order to increase your market share.