Climate-related procurement risk: Drought, heat stress, water scarcity, flooding, changing growing conditions and volatility in cotton availability, quality and priceÂ
Solution pathway: Verified cotton standards, article-level traceability, sustainability data, diversified sourcing and alternative fibresÂ
Business type: Large corporate / global apparel brandÂ
Sector: Apparel, denim and textile supply chainsÂ
Geography: United States / global cotton supply chainsÂ
In practice
Cotton is a critical input for denim and apparel businesses. It is also highly exposed to climate and nature risks. Drought, heat, water stress, flooding, pests and soil degradation can affect cotton yields, fibre quality, availability and price. For a business such as Levi Strauss & Co., which depends heavily on cotton-based products, poor information about cotton origin, growing conditions or environmental performance can increase procurement risk.Â
Levi Strauss & Co. has responded by strengthening the information base behind its cotton sourcing. The company has joined recognised programmes such as the U.S. Cotton Trust Protocol, a farm-level, science-based programme designed to provide buyers with more consistent data on cotton production and sustainability performance.Â
The Trust Protocol gives participating brands access to verified information on indicators such as water management, greenhouse gas emissions, soil health, land use and energy efficiency. It also offers article-level traceability, helping brands follow cotton through the supply chain and strengthen confidence in what they are buying.Â
This is particularly relevant where climate and nature risks can affect both the availability and quality of raw materials. Procurement teams need to know not only whether cotton is available, but where it comes from, how it was produced, and whether it meets sustainability and resilience expectations.Â
The case is useful for this section because it shows how better information can support better procurement decisions. Rather than relying only on undifferentiated commodity cotton or supplier assurances, brands can use recognised standards, traceability systems and verified data to understand what they are sourcing and how exposed it may be to climate and nature risk.Â
Why this example was selected
The example has a strong external curation basis because Levi Strauss & Co. is a member of the U.S. Cotton Trust Protocol, a farm-level, science-based programme for more sustainably grown cotton. The Trust Protocol provides verified sustainability data and article-level traceability, making it especially relevant to this section on clear information about availability, quality and sustainability.Â
The case is useful for the Business Knowledge Hub because it shows how procurement teams can respond to climate-vulnerable raw materials by improving the quality of sourcing information, not only by changing suppliers.Â

