How Consumer Choices Influence Corporate Sustainability Practices

Consumer demand has emerged as a powerful catalyst, compelling corporations worldwide to integrate sustainability into their operations. Surveys indicate that nearly nine out of ten corporate leaders view consumer and market trends as key forces shaping their sustainability strategies. Nearly half of global consumers now pay a premium for sustainable or socially responsible products over the past year. A shift in consumer expectations is also prompting ethical sourcing and greener materials, with many brands adopting biodegradable packaging and certified sustainable ingredients. Globally, consumers increasingly believe companies hold the greatest responsibility for sustainability challenges, yet they also recognize their own role in influencing outcomes, particularly through packaging and emissions choices. 

Source:https://www.ey.com/en_gl/insights/consumer-products/make-sustainability-accessible-to-the-consumer

In industries such as luxury and beauty, consumer awareness has driven notable changes. Brands like Estée Lauder and Aveda are increasing the use of recycled content in packaging, while Origins incentivizes customers to return empty containers for reuse or recycling. In the luxury sector, nearly a quarter of consumers regard a brand’s environmental policies as mandatory in purchase decisions, prompting brands to issue sustainability-linked bonds and enhance supply-chain transparency. 

Unilever exemplifies structural change driven by external demands, entering partnerships with major retailers like Walmart to reduce Scope 3 emissions across supply chains. Research further shows that transparent and trustworthy green marketing can effectively shift consumption patterns, provided it avoids greenwashing. Studies confirm that clear communication of corporate ESG practices builds brand trust, which in turn increases consumers’ intent to purchase sustainable products. 

In India, growing consumer willingness to pay more for eco-friendly products—especially among young generations—is catalysing adoption of sustainable packaging and ethical sourcing by local FMCG companies. Many Indian brands are introducing biodegradable cartons, strengthening supplier partnerships, and working to reduce emissions and maintain transparency. 

Thus, the interplay between consumer expectations and corporate behaviour forms a reinforcing cycle encouraging sustainability. As consumers become more informed and vocal, companies face increasing pressure to embed environmental and social responsibility into their models. These dynamic holds promise for guiding the global economy toward a more sustainable future.

 

Carbon Credit Trading Platforms in India: A Digital Boost to Net-Zero Targets

India’s ambitious commitment to reach net zero carbon emissions by 2070 has put carboncredit trading platforms at the forefront of its climate action strategy. These platforms are digital ecosystems designed to facilitate the buying and selling of carbon credits—certificates representing the reduction or removal of one tonne of carbon dioxide equivalent emissions. By leveraging technology, carbon trading platforms in India are driving transparency, efficiency, and broader participation in the nation’s low-carbon transition. 

Source:https://renewablewatch.in/2024/02/05/carbon-credit-trading-guidelines-for-an-integrated-market-compliance-mechanism/

The Carbon Credit Trading Scheme (CCTS), established under the amended Energy Conservation Act 2022 and regulated by the Ministry of Power, underpins India’s carbon market framework. This scheme introduces both compliance and voluntary trading mechanisms: the compliance market covers energy-intensive industries with mandatory emission targets, while the voluntary market enables non-obligated entities, including SMEs and individuals, to participate and trade verified carbon credits. Platforms such as the Indian Energy Exchange (IEX), Power Exchange India Limited (PXIL), and emerging players like Carbon Trade Exchange (CTX) and GreenX serve as key digital marketplaces enabling these trades. 

These platforms offer user-friendly interfaces for registered entities to engage in carbon credit transactions, promoting innovation and offering financial incentives to reduce emissions. Incorporation blockchain technology is expected to significantly improve the security and transparency of transactions.  By making carbon credits fungible and tradable, these platforms incentivize clean technologies, renewable energy projects, and sustainable practices, aligning economic growth with environmental sustainability and resilience. 

However, challenges remain, including high compliance costs for smaller businesses, standardization of protocols, and the need for greater outreach to encourage wider participation. The government and stakeholders are actively addressing these issues through regulatory improvements and inclusion initiatives, aiming for an equitable and effective carbon market for all. 

Thus, India’s carbon credit trading platforms are pivotal digital tools accelerating its green economy transformation. By facilitating efficient carbon markets, they provide a scalable pathway for businesses to meet their climate obligations while fostering investment in sustainable development—thus significantly boosting India’s journey toward its net-zero targets.

 

Conscious Consumerism is Reshaping Global Markets

Consciousconsumerism is transforming global markets by driving a shift in buying habits toward sustainability, ethical standards, and social responsibility. Today’s consumers increasingly prefer brands that demonstrate transparency, environmental care, and fair labour practices. This movement reflects a lasting cultural change that pushes companies worldwide to innovate and evolve. As concerns about climate change and social inequalities grow, consumers look for products that positively impact society and the environment. Studies show a rising segment of buyers willing to pay a premium- up to 9.7% more- for products with credible sustainability certifications and transparent supply chains. This trend challenges businesses to balance affordability with ethical sourcing and eco-friendly practices, boosting circular economies and green technologies that reduce waste and carbon footprints. 

Globally, younger generations- especially Gen Z and Millennials- lead conscious consumption, expecting brands to deliver authentic values alongside product performance. Advances in AI and personalized digital experiences help brands engage consumers by highlighting ethical commitments and community contributions. Major markets like the United States, Europe, and Southeast Asia see steady growth in mindful purchasing behaviours. Brands are redefining value by emphasizing inclusivity, health, and sustainability. Meanwhile, social justice and accountability movements reshape consumer loyalty, pushing companies to address social and environmental challenges or risk losing relevance in increasingly competitive markets. 

In India, conscious consumerism is growing, blending traditions with new ecological and social awareness. About 70% of Indian buyers prioritize sustainability, and nearly 80% are willing to adjust buying patterns to support ethical brands. Demand rises for organic foods, eco-conscious fashion, and products empowering local artisans, preserving cultural heritage and uplifting marginalized communities. Indian startups and enterprises adopt circular economy models and green innovations, though price sensitivity and availability remain challenges. Technologies like blockchain are increasing transparency and trust in ethical sourcing. 

Thus, conscious consumerism is reshaping global markets by fostering a widespread desire for values-driven products and responsible business practices. Businesses committed to sustainability and social responsibility stand to gain lasting customer loyalty and competitive advantage in this evolving landscape.

 

 

Schools Globally Are Putting Efforts to Go Green

Across the globe, schools are emerging as powerful hubs for environmental change, committing to sustainable practices that shape both their infrastructure and students’ values. More than 80,000 schools in 87 countries have adoptedUNESCO’s recommended green school practices, with the goal of ensuring that by2030, at least half of all schools worldwide attain green accreditation. These green schools not only optimize energy and water use, implement waste management systems, and integrate renewable energy but also embed sustainability into their curricula and governance. This comprehensive approach fosters environmental awareness and equips students with the skills to address global challenges like climate change.

Source: https://mantechpublications.com/green-schools/ 

Globally, green schools promote biodiversity through campus gardens and green spaces, and many incorporate hands-on projects like rainwater harvesting, composting, and renewable energy installations. International programs such as Eco-Schools engage millions of students in sustainable actions, driving community involvement and environmental stewardship. Beyond ecological benefits, these schools enhance student well-being, improving air quality, physical activity levels, and mental health while fostering critical thinking and leadership skills. 

In the Indian context, the green school movement is gaining substantial momentum with initiatives like the Green School Programme by the Centre for Science and Environment (CSE), which has certified over 350 schools as environmentally responsible. The Indian government and educational bodies such as CBSE have mandated sustainability ratings for all affiliated schools under the Swachh Evam Harit Vidyalaya Rating (SHVR) initiative for 2025-26, promoting clean, green, and inclusive learning environments. Student-led projects are flourishing across states, from tree planting to waste segregation, supported by organizations like Tata Steel Foundation and TERI through their Green School Initiative. These efforts integrate traditional ecological knowledge with modern climate education, empowering students as innovative agents of environmental change. 

Together, the global and Indian green school initiatives illustrate an inspiring educational paradigm shift, one that not only conserves resources and mitigates environmental impact but also nurtures a generation ready to champion sustainable development worldwide. This dual approach balances universal environmental goals with culturally relevant, local action, driving measurable sustainable progress in schools everywhere.

 

Green Bonds Slow in 2025 – Climate Finance Endures

Globalgreen bond issuance has been growing nominally but faces immense challenges that limit its broader impact. Climate Bonds Initiative reports that green, social, sustainability, and sustainability linked (GSS+) bonds aligned with their standards have now surpassed USD 6 trillion outstanding- an extraordinary rise from roughly USD 2 billion fifteen years ago, with over USD 1 trillion growth recorded in the past year. However, despite these impressive numbers, green bonds still comprise only about 3% of the total bond market, indicating a relatively small footprint compared to global capital markets. 

Source: https://www.saurenergy.com/solar-energy-news/green-bonds-crucial-for-climate-finance-but-face-multiple-challenges-ieefa-9605326 

Key obstacles are dragging on green bond momentum: inconsistent definitions across markets, costly certification and reporting requirements, weak monitoring mechanisms, regulatory complexity, and persistent concerns over potential greenwashing practices. As IEEFA highlights, shrinking or even negative green premiums (“greenium”) further erode their financing appeal, particularly in uncertain global macroeconomic conditions. 

The Indian context further illustrates these tensions. In June 2025, the Reserve Bank of India (RBI) cancelled its 30-year sovereign green bond auction, despite bids exceedingly twice the offered amount, as investors sought yields above the bank’s expectations. This reflects the disappearing greenium in real world pricing, exacerbated by global macroeconomic turmoil. 

Further, the demand for climate finance remains robust- even if green bonds alone are losing some luster. India, for instance, has raised Rs. 440 billion in green bonds since January 2024 across diverse issuer categories including the Central Government, corporates, financial institutions and municipalities. This demonstrates sustained interest in sustainable funding, even as market mechanisms adjust. 

The current phase reflects a shift in direction, not a withdrawal. While green bonds encounter structural limitations and credibility challenges, climate finance as a whole continues to evolve steadily and adaptively. Policymakers, investors, and institutions are increasingly adopting a diversified mix of instruments, including sustainability-linked loans, blended finance models, and performance-based frameworks. This shift reflects a broader commitment to embedding transparency, accountability, and resilience into modern global financial systems. Rather than relying on a single label, the future of climate finance- both globally and in India- demands integrated approaches that prioritize long-term impact over optics.

 

Adaptation of Circular Economy to Manage Waste More Responsibly

The circular economy is rapidly gaining momentum as a transformative solution to the global waste crisis. Unlike the conventional linear model of "take, make, dispose," the circular economy emphasizes reducing waste, reusing materials, recycling resources, and regenerating ecosystems. This model encourages designing out waste from the outset and creating closed-loop systems that minimize environmental impact. Leading global organizations estimate that adopting circular economy principles could reduce industrial waste by up to 90% and cut global greenhouse gas emissions significantly, making it a key strategy in addressing both pollution and climate change.

 

Source:https://www.shaktiplasticinds.com/the-circular-economy-sustainable-plastic-waste-management/

Countries like the Netherlands, Finland, and Japan have integrated circularity into national policies. They focus on sustainable product design, material recovery, eco-design, and extending the lifecycle of consumer goods. Multinational companies are also making bold commitments. For example, Apple now uses 100% recycled rare earth elements in components like the Taptic Engine of iPhones, while Unilever aims to make all of its plastic packaging fully reusable, recyclable, or compostable by 2025. These initiatives align with the UN Sustainable Development Goals, particularly Goals 12 (Responsible Consumption and Production) and 13 (Climate Action), which advocate sustainable resource management. 

In India, managing waste more responsibly is both a challenge and an opportunity. With over 62 million tonnes of waste generated annually, only a small fraction is efficiently recycled. Government efforts such as the Swachh Bharat Mission and the implementation of the Plastic Waste Management Rules have brought attention to the issue. But a circular economy approach offers a more integrated and systemic solution. Cities like Indore and Pune are experimenting with decentralized waste segregation and bio-composting, showing promise for scalable urban models and local innovations. Moreover, the Indian Startup ecosystem is seeing the rise of circular business models, such as waste-to-energy and plastic upcycling ventures. 

Adopting circular economy strategies globally and locally is not just an option— it is an imperative for building resilient, low-carbon societies. With the right mix of policy, innovation, and public participation, circularity can turn the waste problem into a sustainable opportunity. 

The Rise of Carbon Credits as a Key Tool in Sustainable Business Strategy

The global push towards decarbonization has intensified the role of carbon credits in sustainable business strategy. Carbon credits, representing the right to emit one metric ton of carbon dioxide or its equivalent, are now a cornerstone in climate-conscious corporate frameworks. These credits serve not only as a compliance mechanism under regulatory frameworks like the EU Emissions Trading System but also as a key component in voluntary offset markets. As businesses face growing pressure from investors, consumers, and regulators to reduce their carbon footprint, carbon credits offer a flexible and scalable solution to bridge the gap between current emissions and long-term net-zero targets. 

Source: https://www.lythouse.com/blog/carbon-credits-unveiling-the-secrets-of-a-sustainable-future 

Major corporations such as Microsoft, Shell, and Amazon are actively investing in carbon credits to offset emissions while funding renewable energy, forest conservation and carbon removal technologies. The global voluntary carbon market exceeded $2 billion in 2023 and is expected to reach $250 billion by 2050, highlighting the growing corporate dedication to environmental, social, and governance (ESG) priorities. Moreover, carbon credits are increasingly integrated into ESG ratings, supply chain evaluations, and green financing instruments like sustainability-linked bonds and loans. 

The effectiveness of carbon credits relies on transparent processes and credibility. Concerns regarding double-counting, non-additionality and poor verification have prompted efforts by organizations to establish stringent standards. Blockchain-based tracking systems and third-party audits are also enhancing trust and accountability in the ecosystem. 

In the Indian context, carbon credits are gaining momentum through policy and private sector collaboration. India’s Perform, Achieve and Trade (PAT) scheme- an energy efficiency trading mechanism—has been expanded, and the country is set to launch a formal carbon market by 2026. Indian companies like Tata, Reliance and Adani are investing in carbon offset projects ranging from afforestation to renewable energy. These initiatives support India’s larger goal of reaching net-zero emissions by 2070. 

Carbon credits are rapidly evolving from a compliance tool into a strategic asset. Businesses that embrace them responsibly are not only mitigating risk but also seizing competitive advantage in the green economy.

STATE OF THE CLIMATE IN ASIA 2024 REPORT HIGHLIGHTS RAPID WARMING TRENDS

The State of the Climate in Asia 2024 report by the World Meteorological Organization (WMO) presents evidence of rapid climate change, showing that Asia is warming nearly twice as fast as the global average. The region recorded an average temperature 1.04°C above the 1991–2020 baseline, making 2024 one of the warmest years in its recorded history. The report highlights acceleration in warming trends since 1991, with far-reaching implications for ecosystems, human health, and livelihoods.

Source: https://dialogue.earth/en/climate/as-glaciers-disappear-can-we-be-far-behind/  

Sea surface temperatures in Asian waters are rising at 0.24°C per decade, nearly double the global rate. In 2024, an unprecedented marine heatwave affected approximately 15 million square kilometres of ocean—about a tenth of the global total—posing severe threats to marine biodiversity and coastal economies. In the high mountain regions, particularly the Central Himalayas and Tian Shan, glaciers continue to retreat at alarming rates. Of the 24 glaciers monitored, 23 showed mass loss, increasing the risk of glacial lake outburst floods and undermining water security for millions dependent on glacier-fed river systems. 

Extreme weather events increased in both their occurrence and severity. Prolonged heatwaves from April to November scorched many parts of East Asia, with Myanmar recording an extreme temperature of 48.2°C. Concurrently, the region suffered from heavy rainfall, severe droughts, and tropical cyclones, including Cyclone Yagi, which caused widespread damage. India, too, witnessed record-breaking temperatures and erratic monsoon patterns, underscoring the need for climate-resilient infrastructure and adaptation planning. These events, combined with faster-than-average sea-level rise in the Indian and Pacific Oceans, have exacerbated the vulnerability of densely populated low-lying coastal areas to flooding and erosion. 

Amid these challenges, the report highlights array of hope. Nepal's strengthened Early Warning Systems and anticipatory actions have helped mitigate disaster impacts, demonstrating the effectiveness of proactive adaptation. However, such strategies must be urgently expanded across Asia. The WMO calls for accelerated investment in climate resilience, Early Warning Systems, and immediate action to curb greenhouse gas emissions. Without decisive and coordinated measures, the region faces escalating environmental and socio-economic risks linked to climate change.