Humane Society International has alleged several fashion retailers, including major national department stores, are selling clothing items containing dog fur.
The organisation claims recent investigations, which included scientific analysis of fur garments sold through domestic retailers, saw some items labelled as rabbit or raccoon fur test positive for the banned fibre.
Director Verna Simpson said this followed the discovery of dog fur in a vest sold by Wittner in February.
"Despite bans on the importation of cat and dog fur pelts and products being implemented back in 2004...seven years later it would appear these items have once again inflitrated our borders and have ended up in Australian stores," she said.
Simpson claimed national department store Myer has taken swift action since being alerted to the presence of dog fur in a product, with independent tests currently being conducted by the retail giant.
The company is reportedly in Shanghai meeting with over 60 suppliers, advising that breaches of its 'Sale of Fur' policy will not be tolerated.
"They are now adding their weight to our campaign to strengthen the legislation banning dog and cat fur imports into Australia, calling for mandatory species labelling," Simpson said.
"Clearly, there are weaknesses in stopping these products at the border and we are calling on Customs to move quickly to stop these illegal items are slipping into the country."
The organisation is calling for changes to labelling laws to ensure all fur products contain details of the species and country of origin.