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Kornit’s direct to garment machines, inks and consumable spare parts and other relevant products will now be distributed in India by Arrow Digital, which will also provide service and application support to Indian customers. Kornit is a digital textile printing company. It’s looking at increasing its presence in India’s the digital printing segment. Kornit’s portfolio of direct-to-garment products is the perfect fit for its aggressive growth strategy in the digital textile market. Its goal is to continuously improve its customers’ experience in every aspect. Expanding its network of sales and support personnel and being close to where its customers are located is a key initiative towards achieving that.
Arrow Digital is a distributor of materials and equipment for the digital printing and cutting markets. Arrow aims at taking the direct-to-garment market to the next level, combining its support and expertise with Kornit’s cutting-edge technology for this segment.
The Indian garment industry, with the rise in the skilled labor market, is now moving towards mass customization. Also people are now switching from screen to digital printing. Green technologies, better quality and on demand short runs are now the trend. Social media and e-commerce are contributing to the demand for digital technologies.
Indorama is investing in modern cotton and textile production in Uzbekistan. This will include the cultivation of raw cotton, corn, or another crop on crop rotation basis. It also includes the organization of deep processing of raw cotton and the production of cotton yarn.
Indorama, based in Singapore, is one of Asia’s leading chemical holding companies. It started in 1975 as Indo-Rama Synthetics, which was a yarn spinning company and manufactured cotton yarn. During the 1990s, the company diversified into the production of synthetic spun yarns and polyester fibers. Its strategy to drive sustainable and profitable growth in both high-volume necessities and the stable but high margin and high value-added HVA business continues.
Currently, Uzbekistan is the world’s sixth-largest cotton producer among 90 cotton-growing countries. It produces about 3.5 million tons of raw cotton annually and 1.2 million tons of cotton fiber annually.
Uzbekistan accounts for about six per cent of global cotton production and about 50 per cent of the cotton fiber produced is shipped for export. One of the policy priorities of Uzbekistan is further development of its textile industry. Uzbekistan takes consistent steps to increase the volume of cotton fiber processing. Investors from Germany, Switzerland, Japan, South Korea, the USA, Turkey and other countries have invested in its textile enterprises.
Following China’s trade war with the US, India can export more cotton, corn, almonds, wheat and sorghum to China. In fact, there are at least 100 products where India can replace US exports to China by benefiting from the higher import duty China has imposed on products originating in the US.
Fresh grapes, cotton linters, fluecured tobacco, lubricants and certain chemicals, including benzene, are a few products which the US has been exporting to China. India too has been exporting these products to China but now there is scope for India to increase exports of these products because of the tariff differential and the substantial demand in China.
While China has imposed 15 to 25 per cent tariff on these goods coming from the US, other countries are subject to a five to a 10 per cent duty. Moreover, India has been granted additional duty concessions under the Asia Pacific Trade Agreement, making its exports more competitive.
Corn is of specific interest to India as the country is a huge corn exporter. While American corn is subject to 25 per cent duty, APTA countries can get up to 100 per cent concessions on corn exports to China.
Cotton industry experts say, the cotton season in Gujarat is likely to affected due to irregular rains. The season is likely to begin a month late. Even the plants are likely to be smaller than the normal. Some places in the state received high and some had poor rains. This has affected the growth of cotton plant.
As per the data of Gujarat Agriculture Department, cotton sowing in the state has reached over 2.71 million hectares, about 2.33 per cent higher than last year’s 2.65 million hectares. Though, sowing has increased, it is much lower than industry expectations. Normally, the new cotton season in Gujarat begins in October and ends in September every year, but this time the season is likely to start from October end or in November due to abnormal monsoons in the state.
In fiscal 2018, Bangladesh’s readymade garment exports to India were up 115 per cent compared to exports in fiscal 2017. Of the total amount, earnings from knitwear products were 89.75 per cent higher than the same period a year ago. Earnings from woven products were up 124.79 per cent.
Also, since India has raised duties on clothing imports from China, this has opened an opportunity for Bangladesh readymade garment exporters. India has doubled import duty on about 328 textile and apparel products from China. As a non-traditional export destination, India is a potentially great market for Bangladesh. It is logical if India’s textile products imports from China decrease, Bangladesh can grab the space.
Since India has a large population and a growing middle-income group, there is scope for exports from Bangladesh to Indian markets to see a sharp rise. Bangladesh already enjoys duty and quota-free market access to Indian markets. Now Bangladesh manufacturers have to develop good relations with global retailers, who are opting to open outlets in India. Non-tariff barriers are a great challenge for Bangladesh in penetrating Indian markets.
In the last fiscal year, Bangladesh’s export earnings from the apparel sector were 8.76 per cent higher compared to previous year earnings.
Readymade garment manufacturers from Bangladesh and Sri Lanka teaming up to develop eco-friendly jute-based garments with help from a design school. Known to be competitors in the apparel industry, Sri Lanka and Bangladesh are currently discussing how the clothing market is evolving beyond polymer. These have reportedly been initiated by MAS’ Mahesh Amalean and Brandix’s Ashroff Omar, the two largest apparel exporting companies in Sri Lanka with operations in India, Bangladesh, Vietnam and the USA.
The discussion between industry leaders of the Sri Lankan and Bangladeshi apparel sectors is a positive sign on increasing trade between them. Manufacturing jute-based apparels would undoubtedly result in an expansion in Sri Lanka’s apparel sector into other markets of South Asia. Foreign companies interested in doing business in Sri Lanka could explore opportunities in the country’s apparel sector and also look at setting up base to venture into the Bangladeshi apparel sector.
Pakistan Readymade Garments Manufacturers and Exporters Association (PRGMEA), has urged Prime Minister Imran Khan to declare ‘export emergency’ in the country to control the decline in export sector. Pakistan’s current account deficit surged over 40 per cent in fiscal year 2018-19 to $18 billion. Low export is a major reason for the growing trade deficit, with the prime minister forming committees to address the deficiency. Value-added textile exporters want the federal government to formulate separate policies for various sub-sectors of the textile industry in order to resolve their sector-specific issues and problems.
As per Sheikh Luqman Amin, Senior Vice-Chairman, PRGMEA, different sub-sectors of the country’s textile industry cannot be treated equally due to their varying needs and requirements. Hence, the new government and textile ministry should formulate separate policies for the value-added and other sub-sectors of the industry in order to facilitate improved production and export.
Amin believes value-added textile exporters are facing a severe problem in meeting the export orders due to multiple reasons. These include: seeking the attention of the government on issues of ease of doing business; cost of doing business, one window operation, minimum interference of bureaucracy and formulation of a counsel of all stakeholders to resolve the issues of exporters. He stressed on the need for early clearance of outstanding refund cases.
"As India aims for 20 per cent yearly growth in exports over the next decade, Indian manufacturers need to develop a business strategy that can help the country to succeed in the US and European markets. In 2025, global trade in the textile and apparel market will cross $1.2 trillion. China has nearly 40 per cent share in global exports. However, in the past few years, the country is experiencing a downward trend in apparel exports and has vacated nearly $30 billion worth of space in global trade. Growth in global trade and China’s shrinking exports share present a lucrative opportunity for other countries with competitive manufacturing facilities. India can become one of the biggest gainers in the changing landscape of global apparel trade. Drip Capital offers insights into some of the intriguing aspects that can make India a global textile destination."
As India aims for 20 per cent yearly growth in exports over the next decade, Indian manufacturers need to develop a business strategy that can help the country to succeed in the US and European markets. In 2025, global trade in the textile and apparel market will cross $1.2 trillion. China has nearly 40 per cent share in global exports. However, in the past few years, the country is experiencing a downward trend in apparel exports and has vacated nearly $30 billion worth of space in global trade. Growth in global trade and China’s shrinking exports share present a lucrative opportunity for other countries with competitive manufacturing facilities. India can become one of the biggest gainers in the changing landscape of global apparel trade. Drip Capital offers insights into some of the intriguing aspects that can make India a global textile destination.
The prerequisites
Today, fair trade has become a prerequisite to sustain globally. Fair trade advocates expect that everyone in the
value should earn enough to fulfill basic household needs, regardless of volatile market prices. Environment sustainability is also a big concern and consumers in the West want products that are made judiciously. Indian manufacturers can stand out by positioning themselves as practitioners of Fairtrade. Environmental stewardship and labour-friendly working conditions can become India’s USP.
If India is to achieve close to 20 per cent yearly growth in apparel exports, manufacturers have to invest in skills training and process improvement to match global competitiveness. In recent times, there has been increased focus on skill development but these initiatives need to scale up. If the Indian garment industry remains at same productivity levels, they would need 35 million more workers to fulfill the new demand, which is nearly impossible. The objective should be to match the productivity levels of China in a few years, average output per hour and per machine output both in terms of quality and quantity. Indian policies make it difficult to import the fabric needed to produce winter or some specific garments. Locally, the textile industry is focused on cotton which leaves the exporters with no material to produce such products. This policy to protect the demand for local cotton producers is perhaps doing more than good.
"A new report by Changing Markets Foundation on sustainability has yet again brought fast fashion retailers under scanner as the biggest pollutants. The report concludes that many firms are still not doing enough to ensure sustainability of their textile supply chains. While there has been bold leadership from some retailers, a large part of the industry has still not demonstrated willingness to engage on the issue or set out policies on viscose production. These include: Burberry, Ikea, Missguided, Gucci, and Prada, as well as supermarkets such as Sainsbury's, Lidl, Morrisons and Asda."
A new report by Changing Markets Foundation on sustainability has yet again brought fast fashion retailers under scanner as the biggest pollutants. The report concludes that many firms are still not doing enough to ensure sustainability of their textile supply chains. While there has been bold leadership from some retailers, a large part of the industry has still not demonstrated willingness to engage on the issue or set out policies on viscose production. These include: Burberry, Ikea, Missguided, Gucci, and Prada, as well as supermarkets such as Sainsbury's, Lidl, Morrisons and Asda.
Viscose is a soft semi-synthetic fibre commonly used to make lighter clothing and is the third most-used fibre in the textiles industry after polyester and cotton. It is created from cellulose that is chemically extracted from trees, a process that requires hazardous chemicals. A number of major producers have been accused of failing to follow adequate health and safety processes, leading to pollution from production processes impacting surrounding water and soils.
Some well-known UK fashion retailers are sourcing viscose fabric from two factories in Indonesia and India,
which have been accused of polluting their local environments and harming human health with toxic chemicals. As per Changing Markets Foundation, if managed properly, viscose has the potential to be a largely sustainable fibre as it is made from plant matter and is biodegradable.
Path to sustainability
Changing Markets Foundation has set up a roadmap for sustainable viscose sourcing. Seven brands have signed up so far and started engaging with their supply chains on how to guard against the risk of viscose-related pollution. Inditex, Asos, Marks & Spencer, H&M, Tesco, Esprit, and C&A are the first signatories. Next has reportedly indicated plans to commit to the roadmap, which sets out best available techniques for viscose production in the near future.
Carmen Chan, Senior Sustainability Manager-F&F Clothing line, Tesco, says while she understood the complexity of the environmental challenge of viscose, it was not possible to tackle it alone. Collaboration is the key to help transform the textile and clothing industry. M&S has stated it will not source from any man-made cellulosic fibre suppliers which do not transition to a closed-loop manufacturing system by 2023-25, explaining such a system should recycle the majority of chemicals used during the production and prevent the process from negatively impacting human health and environment.
Phil Townsend, Sustainable Raw Materials Specialist, M&S says the roadmap was an important step forward in reducing environmental impact of viscose for making clothes. However, the industry needs to work together to create positive change and achieve the Changing Market Foundation's goals. Ikea has stated that it is working towards a goal that all Made Cellulose fibres shall come from responsibly sourced wood and be produced having minimum environmental impact to land, air and water.
The two largest viscose producers in the world, Austria's Lenzing and India's ABG, have both now committed to making all their sites meet EU Ecolabel requirements for production. In China, the country's 10 largest producers have joined together to form the Collaboration for the Sustainable Development of Viscose and are developing a 10-year roadmap for improvement, the report said.
Many more to achieve…
Natasha Hurley, Campaign Manager, Changing Markets Foundation says the onus was on manufacturers and their customers to turn commitments to improve their supply chains into detailed plans and ensure transparent reporting of their performance, including complaints and grievances. After many years of complacency from fashion brands and producers with regard to the environmental impacts of viscose manufacturing, the tide is finally beginning to turn towards more responsible production methods," she said. But the unlikely bedfellows of luxury brands and discount retailers continue to ignore an issue that is blighting people’s lives and the environment. What's more, most luxury fashion brands are failing to publicly disclose supply chain information. This is unacceptable. It’s time for them to wake up to transparency and sustainable fashion.
Huafu Fashion has opened the world's largest textile mill for spinning colored yarn in northwest China's Xinjiang Uygur Autonomous Region. Built with an investment of 5 billion yuan ($735 million ), the mill in Aksu, southern Xinjiang, will install 1 million spindles by the end of the year. The company has also built a dyeing industrial park in Aksu with an investment of 2.5 billion yuan. The park has the capacity to dye and print 100,000 tonnes of cotton yarn a year.
As the largest cotton growing region in China, Xinjiang has attracted major textile companies from east and south China to set up branches and factories. These include Aksu, Kashgar and Hotan in southern Xinjiang. Aksu's long-staple cotton output accounts for 93 percent of the country's total.
As of 2017, there are more than 2,700 registered textile companies in Xinjiang, which have provided jobs for more than 350,000 local residents. Huafu has 5,333 hectares of cotton growing fields in Xinjiang. Its annual cotton trade and logistic volume has reached 500,000 tonnes.
