As consumers become more aware of modern consumption's effect on the environment, organic practices are increasing, boosting the niche organic-clothing industry. In essence, the same organic farming practices used to produce clean food are used to produce natural, insecticide-free fibers.

Organic Exchange, a non-profit organization focused on organic farming—particularly cotton—says it expects organic cotton apparel sales to hit US$ 2.6 billion in 2008. Levi Strauss & Co. is banking on an expectation that there are enough people around the world who care about where the cotton covering their backside came from and how it was treated along the way.

As of this year, Levi's Eco organic treatment will be applied to its Red Tab lines—including classic 501s—and its high-end Capital E denim line, as well as potentially other lines in the future. In addition to the use of organic cotton, buttons and zippers are formed from recycled metal and natural dyes color the jeans. External packaging is made from recycled paper using soy-based inks.

To identify Eco within the Levi's lines, an embroidered lowercase "e" is featured inside the front pocket or at the bottom of the right leg of each jean and a natural-colored canvas "Levi's" tab and "Two-Horse Patch" are featured. Just as the previous sentence indicates, the branding relationship of Eco to other product lines from Levi's and what to call it (a line? A treatment? Just another gratuitous trademark?) is, sadly, rather confusing even to write about.

Del Forte, rawganique.com, howies, and Kuyichi are among its organic-denim competitors. Of these, Kuyichi offers the most styles and finishes while rawganique.com offers just two styles of unisex organic jeans for a retail price under $100. None has the global presence—nor the Americana heritage—of Levi's. In addition, organic cotton as the main fiber competes with organic hemp, bamboo, Oro Blanco (Peruvian cotton), and a combination of natural fibers in this new, eco-conscious denim.

While the concept is clearly innovative, what isn't clear is to whom these jeans are marketed other than Prius-driving celebrities (and celebrity wannabes) trying to make a statement. The target age and even gender are ambiguous. The typical environmentally conscious person may very well pay an extra premium for a pair of modestly priced organic 501s, but up to $350 for one pair of skinny jeans? Requests to clarify its target consumer were unanswered by the Levi's publicity department.

This isn't the company's first attempt at organic-cotton apparel. A line called Levi's Naturals was introduced in 1991 (a couple of years prior to outdoor-apparel company Patagonia's foray into organic cotton) with sales results that reportedly bombed.

Capital E à la Eco aren't the only recent Levi's line to carry a hefty price tag. The company's RedWire DLX jeans, designed to carry an Apple iPod, retails for $250. (Since the DLX launch in late summer 2006, the jeans are already marked down 50 percent on the Levi's website.)

High-concept, high-premium products seem to be the latest strategy the company has employed to help boost its profitability. After nearly a decade of lagging sales, the Bay Area-based company begun in 1873 by a Bavarian immigrant reduced its advertising and promotion costs throughout 2006 and took advantage of restructured loan payments and lower interest rates to boost its profitability and cash flow. (Levi's profits increased 29 percent for its 3Q 2006 figures, the latest available figures as of early January 2007.) This comes after much job cutting and plant closures as part of its executive plan to revive the legendary brand over the last several years.

Unfortunately for the privately held company, overall sales continue to slip with the latest lack attributed by the company to weak Japanese as well as Wal-Mart demand for its low-cost Signature series. Only time will tell whether "going green" will mean more green for the Levi's bottom line.

Alycia de Mesa is a brand identity consultant and writer with over 10 years' experience from Fortune 100 to start-up companies. She is author of Before the Brand, the definitive brand identity handbook, published by McGraw-Hill (under the name Alycia Perry).