Government Warns Retailers on Bamboo Labeling

The federal government has warned 78 companies, including Wal-Mart and Target, that they could face monetary fines if they don’t stop labeling certain rayon clothing as bamboo.

The U.S. Federal Trade Commission at the end of January sent letters to retailers putting them on notice that they must change their labels or face civil penalties of $16,000 per violation.

“We need to make sure companies use proper labeling and advertising in their efforts to appeal to environmentally conscious consumers,” said David Vladeck, director of the agency’s Bureau of Consumer Protection, in a statement. “Rayon is rayon, even if bamboo has been used somewhere along the line in the manufacturing process.”

The FTC sent letters outlining proper labeling procedures for textile products derived from bamboo. The letter says that rayon, even if manufactured using cellulose from bamboo, must be described using an appropriate term recognized under the FTC’s textile rules.

Rayon is a man-made fiber created from the cellulose found in plants and trees and processed with chemicals. Any plant or tree, including bamboo, can be used as the cellulose source, but the fiber has to be labeled “rayon.”

Other retailers who received letters include JCPenney, Jockey, Kmart, Kohl’s, Land’s End, Macy’s, Maidenform, Nordstrom, REI, Saks Fifth Avenue, Sears, Sports Authority and The Gap.

Last August, the FTC issued similar warnings to manufacturers and retailers who labeled their clothing “ecoKashmere,” “Pure Bamboo,” “Bamboo Comfort” and “BambooBaby.” Four companies were sued and ended up settling the FTC charges and agreed to modify their labels.

Those companies were Pure Bamboo, Sami Designs, The M Group Inc. and CSE Inc.

“While we have seen action by some retailers to correct mislabeled clothing and textile products, our hope is that these warning letters will serve as a wake-up call to all companies, regardless of their size,” Vladeck said.—Deborah Belgum