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TaxTMI 
Greenwashing in the “Indian Context”.
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....reenwashing in the “Indian Context”.<br>By: - YAGAY andSUN<br>Other Topics<br>Dated:- 12-2-2025<br>In India, the concept of greenwashing has become more relevant in recent years due to the growing awareness about environmental issues, rising consumer demand for sustainable products, and increasing environmental regulations. As more businesses target the growing market of environmentally-conscious consumers, some have been accused of making misleading or exaggerated claims about their eco-friendly initiatives. India, as one of the largest emerging economies, faces a unique set of challenges and opportunities regarding greenwashing. Here's an exploration of greenwashing in India, its context, and some of the challenges it presents. G....
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....reenwashing in India: Key Factors 1. Rising Demand for Sustainable Products Indian consumers, particularly the younger demographic, are becoming increasingly aware of environmental concerns such as climate change, plastic pollution, and waste management. This shift has created a market for products that are perceived as environmentally friendly. However, businesses looking to tap into this growing demand may resort to greenwashing--advertising products or services as sustainable or eco-friendly without real backing, simply to capitalize on the trend. For example: * Vague claims like "eco-friendly," "natural," or "green" on products without third-party certifications or evidence. * Misleading product pack....
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....aging that looks environmentally conscious but is not made from sustainable materials or doesn't comply with recycling norms. * Brands claiming sustainability but continuing practices that harm the environment, such as excessive water use or high emissions in manufacturing processes. 2. Lack of Robust Regulations While India has regulations around environmental claims and consumer protection, they are not always comprehensive or well-enforced. This creates opportunities for companies to make exaggerated or misleading claims without facing significant consequences. The Bureau of Indian Standards (BIS) and other governing bodies regulate certain eco-labeling initiatives, but the scope and effectiveness of these rules still leave room ....
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....for companies to exploit gaps in enforcement. For instance, India has several eco-certifications like the BIS eco-mark and FSSAI's organic certification, but these are not universally adopted, and many small and medium-sized businesses may not be required to adhere to these standards. This lack of consistency allows some companies to market their products as environmentally friendly without fully meeting required sustainability benchmarks. 3. Cultural Factors In India, traditional knowledge systems such as Ayurveda, organic farming, and local, low-carbon-footprint products have long been associated with environmental consciousness. As a result, some businesses may attempt to link their products to this cultural heritage, even when th....
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....eir actual practices are far from sustainable. For example, companies may falsely claim their products are "Ayurvedic" or "natural" to evoke the image of a sustainable, earth-friendly product, while in reality, the sourcing of ingredients may involve harmful agricultural practices, excessive water consumption, or non-renewable resources. 4. Corporate Social Responsibility (CSR) and Marketing In India, many large corporations have been compelled by law to allocate a portion of their profits to Corporate Social Responsibility (CSR). However, some businesses use CSR as a marketing tool to greenwash their image, emphasizing small sustainability initiatives while ignoring the larger environmental impacts of their operations. For example, a co....
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....mpany may promote tree planting efforts but continue to engage in high-carbon-footprint activities, such as using fossil fuels in manufacturing processes. Greenwashing Examples in India: Several cases highlight how greenwashing has played out in India: * Plastic Waste and Single-Use Plastics * Many companies claim to reduce plastic usage by offering "plastic-free" products or using biodegradable packaging. However, these products might still end up in landfills or be incinerated in ways that contribute to pollution. * Some businesses label their products as "eco-friendly" when they are merely a temporary solution to plastic waste, without addressing the core issue of overuse of plastics or failing to adopt circula....
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....r economy principles. * Fast Fashion Industry * The Indian fashion industry, particularly in the fast fashion sector, has been linked to greenwashing, where brands claim to produce "sustainable fashion" by using eco-friendly materials or reducing water usage. In reality, these claims often cover up unsustainable practices such as exploitative labor, overproduction, and waste generation. * Fast fashion brands often highlight minor changes (e.g., a few garments made from organic cotton) while continuing mass production methods that create significant environmental harm. * Food and Agriculture * The food industry in India has also seen instances of greenwashing. Some brands promote products as "organic" or "farm-to-tab....
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....le" without providing certification or evidence of their sourcing practices. * Claims like "chemical-free" or "100% natural" are sometimes used for marketing products that are not grown sustainably or that involve significant use of water or energy in production and distribution. Regulations and Actions Against Greenwashing in India Although India does not have the same robust frameworks as some Western countries, there are efforts to curb greenwashing and hold companies accountable: 1. The Legal Framework for Environmental Claims * The Consumer Protection Act, 2019: This law provides protection against misleading advertisements and claims. The Central Consumer Protection Authority (CCPA) is empowered to take....
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.... action against businesses that make misleading claims, including those related to environmental sustainability. * Bureau of Indian Standards (BIS): BIS has developed the Eco-Mark certification, which helps consumers identify eco-friendly products. However, the use of this certification is not mandatory, and not all products in the market carry it. * The Plastic Waste Management Rules, 2016: These rules aim to reduce plastic waste, but they have yet to fully address greenwashing practices in product labeling. They regulate the use of plastic packaging but need to expand to better monitor and enforce claims related to plastic reduction. 2. Environmental Impact Assessments (EIA) * In sectors like construction, mining, and manufacturing....
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...., an Environmental Impact Assessment (EIA) is required before launching projects. However, many companies may avoid full disclosure of their environmental impacts, potentially engaging in greenwashing by highlighting small "eco-friendly" practices while concealing broader environmental harms. 3. Growing Awareness and Media Scrutiny * Civil society organizations and media have been increasingly vocal about exposing companies that use greenwashing tactics. This has led to more transparency and has encouraged businesses to be more cautious in their claims. * Influencers and social media in India also play a role in holding brands accountable. Many eco-conscious influencers and consumers call out brands for misleading environment....
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....al claims. Challenges and the Path Forward While there is progress, addressing greenwashing in India faces several challenges: * Enforcement gaps: India lacks consistent enforcement of environmental regulations, and companies can often avoid penalties for making misleading green claims. * Lack of comprehensive certification: Although there are eco-labels, their reach and credibility are not widespread, and many companies may not adopt them. * Consumer education: A large portion of the population remains unaware of what constitutes a genuinely sustainable product, which allows greenwashing to persist. Path Forward To reduce greenwashing in India, it would be essential to: * Strengthen regulatory oversight of environmental claims ....
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....and improve the enforcement of consumer protection laws. * Promote greater transparency in corporate reporting on environmental impacts, including third-party audits. * Foster public awareness and education on sustainable consumption, helping consumers recognize and reject greenwashing. * Encourage certification programs and eco-labels that are more widely recognized and easier for consumers to trust. In conclusion, while the Indian market is becoming more environmentally aware, greenwashing remains a significant challenge. Stronger regulations, improved enforcement, and heightened consumer awareness will be key to addressing the issue effectively in India.<br> Scholarly articles for knowledge sharing by authors, experts, professiona....
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