FW
Over the next decade, new major retail brands are expected to replace legacy brands. Sustainability is a positive challenge. As consumers become savvy about the severity of fashion’s environmental footprint, they will demand more responsible production. Businesses cannot afford to ignore these trends. Retailers will be forced to be more creative with how they meet these needs, whether that means offering clothing rental services, recycling opportunities, adopting cleaner manufacturing processes or all of the above. Companies are working toward durability, material health, recyclability and traceability.
Retailers have to strengthen both online and offline channels and need to find the optimum balance between the physical and digital elements to maintain a profitable business and sustain growth. A deep design archive is not enough to secure relevancy in 2020. With more ways to discover and acquire fashion on the internet and social media, retailers must be constantly looking for windows of opportunity to connect with their consumers. Fashion brands have to constantly adapt to new consumer trends. Legacy or heritage brands must adapt or face an inevitable death. So they are maintaining their place in millennials’ closets by upgrading their iconic pieces with sustainable manufacturing, tweaking fits for the modern consumer and partnering with trend-oriented brands and retailers for unique collaborations.
India suffered a broad-based slowdown in import-export trade in 2019. Last year’s global dip in container demand, combined with domestic challenges to India’s economy, impacted the country. This is aligned closely with weak domestic demand, tight liquidity and working capital as well as a reflection of the overall cyclical weakening of the economic environment in all the main global economies. India’s year-on-year import-export trade was flat compared with global growth of 1.5 per cent.
While imports witnessed subdued growth, the overall fiscal impact was nullified by an identical contraction in exports. India’s retail, apparel and textile industries are also facing strong headwinds. The trade war, Brexit and flat economic growth in major economies are creating a challenging export market. Key competitors, such as Pakistan, Bangladesh and Vietnam, are given preferred access in northern Europe, which is India’s biggest textile market.
Bucking the trend was an 11 per cent jump in exports to Africa, led by appliances and kitchenware, vehicles and seeds, beans, cereals and flour. And reefer exports to the Mediterranean saw growth, too, primarily fuelled by meat, fish and shellfish. Exports of seafood and other reefer cargo to China also increased. Initiatives such as the Digital India policy have the potential to propel the logistics and shipping industry forward.
Indian textile exports have witnessed a bearish trend for two years in a row. Factors that have led the growth curve downward include the time taken to align to the new goods and services tax regime, the downward revision of export incentives, and the credit squeeze particularly faced by small and medium enterprises.
The Indian textile sector is one of the oldest in the Indian economy. The sector is highly diversified, catering to a wide range of segments ranging from traditional handloom products to cotton, wool and silk products and has products that vary across natural and manmade fiber, yarn and apparel. Additionally, the textile industry is closely linked and dependent on the agriculture industry in order to source raw materials such as cotton. The industry has earned a unique place in the economy due to its strong future outlook, numerous employment opportunities it has generated and the strong export numbers it has generated. The availability of large varieties of cotton fiber along with the fast-growing synthetic fiber industry has helped the industry build a strong foundation for itself. The textile industry in India has large and diversified segments that in turn enable businesses and end-consumers to choose from a wide array of products.
The Cotton Association of India (CAI) has reduced its crop estimate for the northern zone by two lakh bales from its previous month’s estimate. But there is an increase of two lakh bales in the estimate for Maharashtra as migration of the cotton crop from Maharashtra to the neighboring state is not likely to happen this year.
Domestic consumption estimated by the CAI for the entire crop year (up to September 30, 2020) is 331 lakh bales. The CAI has estimated exports for the season at 42 lakh bales, which is at the same level as estimated in the previous year. The carryover stock estimated at the end of the season is 30 lakh bales. The import figure is lower by seven lakh bales compared to that estimated for the last year. Shipment of imports from October 1, 2019, to December 31, 2019, which have reached Indian ports are estimated at 6.50 lakh bales. Cotton export shipments from October 1, 2019, to December 31, 2019, which have already been shipped are estimated at ten lakh bales.
Consumption by Indian spinning mills for three month: from October 1, 2019 to December 31, 2019, is estimated at 78 lakh bales. Cotton stock held by mills in godowns on December 31, 2019, is estimated at 30.89 lakh bales.
Cotton prices will remain weak as supplies of cotton outstrip demand and surpluses grows, says Textiles Intelligence. The average price of cotton has been falling and is forecasted to fall further. One factor affecting the price of cotton is weak demand caused by uncertainty arising from the US-China trade war. Until relations between the two countries improve, demand for cotton will remain suppressed and so will the cotton price unless there are major revisions to crop estimates or there are signs of greater strength in the global economy. The continued weakness in cotton prices has been reinforced by an increase in the size of the global stockpile. Surpluses are growing in the main producing nations, and stock levels at the end of the 2019-20 season are expected to be 1.3 per cent higher than they were at the beginning.
Pressure on prices will continue into 2020-21 as demand is forecasted to remain weak while yields are expected to improve as a consequence of better weather conditions. In fact, the global cotton crop in 2020-21 is forecast to reach its second highest level ever.
Global consumption of cotton is expected to rise in the 2019-20 season as Chinese demand stabilises. But there is also expected to be a rise in global cotton production as yields in India rebound and plantings increase in the USA.
UKFT will continue to work closely with the apparel industry to help companies grow their exports to the EU and the rest of the world.
The organisation will undertake a new project to promote the fantastic capabilities of UK textile manufacturers at the key textile trade shows of Première Vision, Milano Unica and Intertextile Shanghai.
Through membership, UKFT offers one-to-one assistance with business plans and strategies, market trends, HR and employment advice, marketing and PR, logistics, IP protection, labelling, standards, range planning and pricing, and more.
This year the group will also the launch of a range of new UKFT membership benefits including exclusive discounts and deals on everything from insurance, foreign exchange andcrowdfunding.
The UKFT seminar programme will start again in the spring and will feature topics such as access to finance, e-commerce, social media, practical exporting, sustainability and care labelling. And this year will see UKFT develop a range of online seminars to ensure companies across the country can access information to help their businesses grow.
There will also be launching of Scottish Fashion & Textiles Export Strategy and a Scottish Skills Strategy this year, together with an increased focus on innovation. We will also continue to develop our work in Wales and Northern Ireland helping to maintain UKFT’s position as the largest network of fashion and textile businesses in the UK.
To ensure new businesses can enter, grow and thrive within the industry, UK Fashion is relaunching UKFT Rise this month as a supportive community for UK fashion and textile entrepreneurs who have been in the business less than three years. The first event is on 30 January in London
JETRO (Japanese External Trade Organization), is overwhelmed to announce the third installment of JAPAN TEXTILE SALON in NYC with 16 Japanese textile companies presenting their latest designs in New York City to be held on January 21st-22nd from 10 am-6 pm at The Altman Building 135 West 18th Street, New York.
The Japan Textile Salon is an innovative platform showcasing the latest textile sources. Discover a wide array of textiles, fabric mixes and cutting-edge production capabilities coming out of Japan.
This season, the organization will focus on the topic of sustainability and eco-friendly textiles. The group has shortlisted 16 visionary companies who are among the best weavers, printing producers, design studios and manufactures with R&D capabilities from Japan.
They will also host two-panel discussions by leading industry experts on sustainability. The fashion industry is the second most polluting industry in the world. From the extreme water usage, dyes, fabrics, factories and waste, fashion heavily contributes to environmental damage. The term “sustainable fashion” means helping to protect the earth by being more thoughtful in clothing production and consumption in order to create a better tomorrow. We will explore ways in which the industry is working toward solving this global issue.
The Salon is organized by JETRO which is a government-related an organization that promotes mutual trade and investment between Japan and the rest of the world. Established in 1958 to promote Japanese exports abroad, JETRO's core focus is helping small to medium size Japanese firms maximize their global export potential and assist global companies in setting up business opportunities in Japan.
"The $2.5 trillion fashion industry accounts for 10 per cent of global greenhouse gas emissions. Most of this damage is caused during the production and processing of garments especially those made from synthetic materials. These synthetic materials are sourced from fossil fuel and account for over 60 per cent of all fibers used today. Synthetic fibers are non-biodegradable and release microplastics on washing which degrades not just the environment but also human health. Another major culprit of sustainable fashion is leather, whose supply is underpinned by the use of chemicals and releases excessive amounts of methane."
The $2.5 trillion fashion industry accounts for 10 per cent of global greenhouse gas emissions. Most of this damage is caused during the production and processing of garments especially those made from synthetic materials. These synthetic materials are sourced from fossil fuel and account for over 60 per cent of all fibers used today.
Synthetic fibers are non-biodegradable and release microplastics on washing which degrades not just the environment but also human health. Another major culprit of sustainable fashion is leather, whose supply is underpinned by the use of chemicals and releases excessive amounts of methane.
Cotton a sustainable option to synthetics
A sustainable option to these is cotton, a natural, biodegradable fiber whose farming and production relies on the use of pesticides and extreme amounts of water. Using the same methods of production and fabrics for majority of garments, can ensure the industry’s practices become more sustainable and hold suppliers accountable for heightening unsustainable garments in the market. The fashion industry forecasts carbon emissions will grow 60 per cent by 2030. To counter these negative effects, we need to introduce stricter policies. However, the current policies do not provide a space for reforms that could address the issue’s severity. Though G7’s Fashion Pact, signed in 2019, has come as a relief, brands are still not committed to mitigate and adapt to climate change, restore biodiversity and protect the oceans.
A non-binding guideline to enforce a legal framework
Though the industry has introduced some other initiatives including the Fashion Industry Charter for Climate Action and the UN Alliance for Sustainable Fashion to ensure
sectoral engagement, the policy outputs of these remain voluntary. The Organisation for Economic Co-operation and Development and the International Labor Organisation have also complied a non-binding guideline for enterprises. This guideline emphasises that domestic legislation should ‘establish and enforce adequate legal frameworks’.
The European Union regulates the apparel industry by ensuring its member states and foreign exporters follow rules on the use of chemicals, product safety, packaging and packaging waste. The policy makers have been pondering over such fundamental environmental safeguards for years. However, they need to formulate more progressive notions.
A new tax on synthetic fibers needed
Though the industry needs a harmonised legal framework, it is currently being presented with sporadic voluntary schemes perceived as proofs of sustainable manufacturing practices. The industry has introduced several certification schemes, such as the Global Organic Textile Standard, OEKO-TEX and EU Ecolabel, to testify textiles’ sustainable manufacturing and assessment tools, like the Higg Index by Sustainable Apparel Coalition, and labeling, to characterise products as ‘sustainable apparel’. As none of these schemes’ use is prescribed by the current policies, accountability is not part of the system yet.
Based on these forecasts, it is evident that the industry needs to fill some policy gaps urgently. For this, it can introduce either a tax or limitation on the use of (new) synthetic fibres. It can also incentivise sustainable farming and production through subsidies, like the EU offered to boost sustainable farming in select countries, could promote environmental sustainability and economic development, too. The industry can achieve its sustainability goals by making the current schemes mandatory.
The 20th edition of the knitting and sewing trade show Knit-Vision, to be held in Jalandhar, Ludhiana, will showcase 200 businesses from India and abroad. Organised by Showman Associates from January 18-20, 2020, Knit-Vision will feature businesses in categories including knitting, sewing, accessories, textiles, printing, processing, allied machinery, and technology, according to the trade show’s website. The event expects over 50,000 visitors and the exhibition space will measure 1 lakh sq. ft.
Over 1,000 products will be showcased at the four-day business-to-business event. The trade show has three main sections, Tex Tech, PrintoTech, and Denim Tech. Product categories will include buttons, rivets, fasteners, textile dying machines, power loom machines, knitting machines, sewing machines, knitwear accessories, embroidery equipment, leather machines, and weaving machinery among others.
Organiser Showman Associates is a Punjab-based fashion events business which also hosts a range of business-to-customer shopping exhibitions. The business is also currently hosting the Grand Shopping Expo, a fashion-themed retail festival with a focus on clothing and accessories, at the Government College for Girls in Ludhiana from January 3 to 7.
Industrialists in Pakistan have urged textile leaders to collaborate with China to modernise its textile industry and reduce trade barriers between the two countries, ultimately boosting textile export from Pakistan. The textile industry in Pakistan currently suffers from lack of product and process innovation, heavy reliance on local and traditional raw materials and technologies, leadership and management skill gaps, compliance issues as perceived by international buyers, high cost of capital and difficulty in obtaining financing for new facilities are some of the major problems the textile industry of Pakistan is grappling with.
Chinese companies can bring technology and higher skills with them which would improve the productivity and efficiency of the textile sector which largely lacks technically skilled labor and supervisory staff. The two countries should develop corporate and strategic alliances for different parts of supply chain integration. Pakistan exports a wide range of items including raw cotton, cotton fabric, cotton yarn and thread, knitwear, bedwear, woollen carpets and rugs, garments, towels and tents, and there are different sub-sectors within the textile industry including spinning, weaving, processing and stitching.
