FW
China needs an annualized growth of 6.3 per cent in 2018-2020 to realize the target of doubling Gross Domestic Product (GDP) by 2020. GDP expanded 6.9 per cent year on year in the first three quarters of 2017, above the target of around 6.5 per cent for the whole year.
Five years ago, China decided to double GDP and per capita income by 2020 as an important component of becoming a moderately prosperous society in all respects.
Judging from current economic performance, no huge barriers in meeting the goal are expected.
However China's emphasis is on development quality rather than fast expansion. High quality development is the fundamental requirement for determining the development path, making economic policies and conducting macroeconomic regulation.
Realizing high quality development is a must for sustaining healthy economic development and adapting to the country's new principal contradiction between unbalanced and inadequate development and the people's ever growing needs for a better life.
The potential growth rate has changed due to upgraded consumption, financial risk and environmental constraints.
The country is building and improving mechanisms for pushing forward high quality development, including indicators, policies, standards, statistical and performance assessment systems.
China’s economy held steady in the first eleven months of 2017.
China’s economy held steady in the first eleven months of 2017. Fixed asset investment (FAI) climbed 7.2 per cent for the January-November period, down from 7.3 per cent in the first ten months.
Investment in property development rose 7.5 per cent from a year earlier, edging down from 7.8 per cent in the first ten months.
Infrastructure investment, which accounts for more than 20 per cent of the total FAI, surged 20.1 per cent for the January-November period year on year, the pace of growth accelerating from 19.6 per cent for January-October.
Online shopping promotion, retail sales grew 10.2 per cent in November, up from ten per cent the previous month. Sales at Alibaba, China’s largest e-commerce platform, hit a record high on November 11.
Consumption will stay robust on the back of higher incomes and is expected to stay a pillar for economic growth next year.
The country’s GDP grew 6.9 per cent in the first nine months, above the target of around 6.5 per cent for the year. GDP growth is expected to be 6.8 per cent this year.
The steady economic growth will give policy makers more leeway to control risks, reduce poverty and tackle pollution.
More of the impact from the ongoing clean air campaign will come in December and the first quarter of 2018.
In the first eleven months of 2017, Bangladesh’s garment exports were up 1.38 per cent year-on-year. One reason is the favorable exchange rate. Exporters want further devaluation of the local currency against the dollar to compensate for the rising cost of production such that exporters can continue to be competitive on the global stage. They expect at least a ten per cent devaluation of the currency as they have faced a low exchange rate over the last five years. They say the exchange rate is still not up to the mark when compared with competing countries like India and Turkey.
Apart from the favorable exchange rate, the rising shipment of value added items, a brighter image of Bangladesh’s garment sector after remediation work, the relative political calm and automation of production also helped prop up garment exports in 2017. The absence of any major untoward incident like labor or political unrest was a boon for apparel exporters.
Garment exporters are cautiously optimistic about the new year as the country’s apparel sector is on a strong footing. Export receipts are expected to be about ten per cent higher next year. A good number of new factories will come into operation next year.
"Dawn of fast fashion and the convenience of buying trendy clothes at an affordable cost be it offline or online have truly been the trends for some time now. While on one hand, conventional mall retailers have been getting tough competition from the global giants such as Zara, H&M, Mango, on the other hand, the high-end fashion brands are also not exempt from sharing high-meets-low wardrobe-wielding consumers with these mass market giants. Let’s check out some of the trends worth mentioning…"
Dawn of fast fashion and the convenience of buying trendy clothes at an affordable cost be it offline or online have truly been the trends for some time now. While on one hand, conventional mall retailers have been getting tough competition from the global giants such as Zara, H&M, Mango, on the other hand, the high-end fashion brands are also not exempt from sharing high-meets-low wardrobe-wielding consumers with these mass market giants. Let’s check out some of the trends worth mentioning…
Down side of fast fashion In garment factories, women have to choose an option between safety and employment as it lacks well- established legal protections and standards that weigh in favour of fairness and transparency. The existence of such informal labour sectors, coupled with the gender-specific susceptibilities that garment factory owners and operators prey upon, make it quite a challenging affair for women employees. For instance, female workers in Cambodia have suffered mass fainting due to excessive hours worked in stifling conditions in factories that supply garments and accessories to sportswear brands including Nike, Puma, VF Corporation, and Asics.
In another turn of events, H&M has been accused of destroying 60 tons of recyclable garments. Kara/Noveren, a waste disposal company in Denmark, has incinerated over 60 tons of new, unworn apparel from H&M since 2013. These hundreds of thousands of garments consist of reusable/recyclable materials. Challenging the working conditions of fast fashion companies, analysts feel by failing to respond swiftly to factory workers who haven’t been compensated, Zara is doing serious damage to its brand. Fast fashion retailers these days are imitating the global runway showcases and mass producing them quickly to gain consumers. Additionally, most fashion brands – in attempts to offer affordable prices – look abroad for cotton, and the conditions in many of the far-flung locations where cotton is harvested are anything but pretty. Even after widespread campaigns done by NGOs to educate consumers about the harms associated with the practice of fast fashion, both in terms of sustainability and human rights, the intense demand for trendy, cheap clothing is not fading.
In Bangladesh the Awami League (one of the two major political parties of Bangladesh), along with garment industry employers, intensified their crackdown on apparel workers following mass walkouts over wages and working conditions in December.
Fast fashion is here to stay
A product of its times, fast fashion taps into its millennial core audience’s two favourite things: frequent novelty and affordability, which will outweigh traditional model of mass market retailing for some more years. After having gained traction and sustained long-term consumers, it’s going to be challenging for such brands to offer them the value in the price they desire. It remains to be seen if it’s going to be consumers at the helm or fast fashion brands would yet again make way for their increased price-points fashion trends.
A year which started with a crackdown on labour rights in Bangladesh also saw action taken around the world to fight for workers’ rights in a sustainable garment industry.
2017 in Bangladesh export industry resulted in 35 union leaders jailed, union offices shut down, and over 1,000 workers illegally terminated for raising their collective voices for higher wages and better working conditions. On the other side of the world in Nicaragua, workers were terminated and jailed for striking.
However garment unions from across the globe took action. From New York to Tokyo to Amsterdam, solidarity support for these struggles came in the form of letters to governments and global brands, protests and petitions.
IndustriALL North American affiliate workers united, originally founded by immigrant garment workers who came to the United States and Canada seeking a better life for themselves and their families only to face exploitation and poverty at their jobs, holds an annual summer education seminar for all newly elected worker representatives.
IndustriALL held a session on the global textile, garment, leather and shoe sector on the importance of global solidarity and how Workers’ United’s history is intertwined with the textile and garment global supply chain. Workers United members formed unions that improved their lives and helped bring social reform to their countries, improving life for millions.
According to a report on the prevalence of gender-based violence in the garment supply chain three quarters of women garment workers in Bangladesh stated to have experienced verbal abuse while 20 percent physical abuse.
The report further states that the sexual harassment and abuse, both physical and emotional, that women workers experience every day is endemic. This was revealed during a keynote speech by Runa Laila, at a roundtable on “Social dialogue, gender-based violence and living wage in RMG (present situation and practical solution)”.
Supervisors and line chiefs used bad language if production target remained unmet and masks and ID cards were used only when foreign buyers came to visit.
Towhidur Rahman, secretary general of IndustriALL Bangladesh Council, gave another speech on the necessity of living wages and prospects and Koen Oosterom, country manager, Fair Wear Foundation, the welcome speech.
There were presentations by representatives of partners Bangladesh National Women Lawyers Association, Karmojibi Nari and Awaj Foundation with Shirin Akhter MP as the chief guest at the open discussion.
After holding its national convention and appointing its representatives on December 17, the Textile and Apparel Federation (FTTH) of Tunisia has worked out its roadmap. This organisation launched in May 2017 from a split of the textile industry of the Tunisian Union of Industry, Commerce and Handicrafts (Utica), the main organization of Tunisian employers.
The country’s textile industry leaders felt that Utica's wage increases were important and faced difficulties in ensuring that interests of textile manufacturers were heard. Thus FTTHs structure was different from that of Utica. Following the establishment of nine regional councils and small businesses and services ancillary to the textile industry, this new structure ensured the balance of representatives of the different sectors, including spinning or weaving.
Nafaa Ennaifer, TFCE Group Managing Director and Vice President of FTTH reveals, "This will bring out new faces, a new language for another dynamic in the sector." Ennaifer claims that over 500 members “gathered around common values" and represented around "45,000 jobs". FTTH has a charter which exposes the transparency of its activities.
The option displayed is a repositioning in terms of markets and products, combined with a national strategy to enhance productivity and monitoring the 23 textile support measures announced by the Government in June 2017. The FTTH is also a sustainability focused and wants to establish a principle of "co-responsibility" with the UGTT central workers to ensure the sustainability of companies. Its third objective is to rebuild the image of the textile segment that was affected by turbulence since the 2011 revolution. FTTH calls for a more competitive sector with real know-how, where companies are "dynamic and citizens" able to set the course for other industries to follow.
The establishment of this new Federation is in a context of rebound for the sector, thanks to increased competitiveness and the European willingness to rebalance trade with China and Turkey. Textile is the country’s second largest exports accounting for over 20 per cent of Tunisian GDP with 1,600 companies, 1,60,000 jobs and 2.2 billion euros in turnover for export of which 96 per cent goes to Europe. This data thus reveal the strategic importance of textiles in the Tunisian economy.
Gar-Tex will be held in Myanmar from March 28 to 30, 2018. This is an event on the textile and garment industry. The show will provide new business cooperation, networking, and potential market entry. It is a comprehensive platform for international brands to introduce themselves to the Myanmar textile and garment industry market, providing businesses and trade development opportunities for enterprises participating in the exhibition, creating a platform that brings domestic and international enterprises in the textile and garment related industries together for business cooperation, exchanging information, as well as catching up on the new and advanced technology and products from around the world such as Germany, Italy, Pakistan, Switzerland, Korea, Malaysia, Vietnam, Thailand, China, Taiwan, Indonesia, Japan, India, and Myanmar.
The show also includes attractive seminars about the growth of the industry, support for international investors, policy on the textile and garment industry, the current situation and future opportunities in the textile and garment sector as well as how to start a business in Myanmar.
Foreign direct investment in Myanmar’s garment industry has been significant. European and Asian countries are increasingly placing orders for Myanmar garments. Currently, Japan and European countries are placing the largest orders for garment shipments. Additionally garment exports also go to South Korea, China and America.
Donna Ida has introduced Isko stretch fabric into 15 denim styles for their S/S’18 collection. The fabrics are enhanced by a patented technology that increases their recovery level and makes it possible for jeans to hold their shape no matter how much one wears them. This innovative textile formula will be included in core Donna Ida styles and new shapes from December 2017.
Isko Reform HP (Holding Power) denim uses Isko™ Recall patented technology paired with a unique construction which ensures incredible hold to the body, creating a slimmer silhouette and a more streamlined look. It has incredible elasticity which makes this fabric extremely comfortable to wear. The styles include Kitty Kat in fawcett blue with a released hem; Rizzo the ankle skinny in fawcett blue; Carmen Frill Raw Hem Jeans in carnival; Sadie the Boiler Suit in fawcett blue; Wednesday in golden slumbers and Lila in forget me knot.
Isko Blue Skin patented concept has a pure indigo shade inspired by the rich, supersaturated Japanese indigos; deep but bright cast with a beautiful chip off/contrast effect, its refined brightness makes this pure indigo exceptional. This fabric will form the basis of Lila in big starry skies, Rizzo in big skies, Lois in deep big skies with Noir Velvet Lace Up, Minnie Patch Pocket Wide Leg in feeling blue and Ivy the Skinny in singing the blues. This fabric ensures freedom of movement with holding power in all directions. Gravity defying lift and hold including elasticity and 3D shaping feature.
Isko patented denim technology, Isko Recall, ensures jeans never bag out thanks to a superior recovery level. Styles include Sidney the Cropped Straight in cornbury blues, Boy Dazzler in Cosmic Girl High Top Jeans and Mae Pieced Skinny in silhouette blues.
Isko Pop fabric features patented technology which offers permanent softness and bright hues giving a sophisticated sheen to your jeans. Styles include Wednesday in golden slumbers, Lila in forget me knot, Sadie the Boiler Suit in fawcett blue, Mae Pieced Skinny in silhouette blues, Boy Dazzler in Cosmic Girl High Top Jeans, Carmen Frill Raw Hem Jeans in carnival, Rizzo and Kitty Kat in fawcett blue. Featured in Donna Ida’s Sidney the Cropped Straight, Isko PJ Soft is a smooth, supple stretch fabric that offers the 24-hour comfort of pyjamas which is extra-soft and light. Supported by Modal fibres, this fabric moulds and forms with every movement of the body, giving an excellent silhouette and fit for a comfortable look that never constricts.
For the first nine months of 2017, Inditex’s sales increased 10 per cent. Gross profits were nine per cent higher than last year. Span-based retail giant Inditex is the owner of Zara. The company operates with a special kind of business model. Every division commits initially to a small quantity for fashion merchandise and then replenishes it in response to customer demands and preferences. This merchandising strategy enables stores to feature new and different products very quickly. Zara, for instance, can deliver a new garment as quickly as 15 days – from design to store shelves in Spain and nearby countries. Delivery to the US takes just a few days longer. That generates an excitement for customers that keeps them coming back.
Zara, a retail brand with fashion for women and men, has 2, 266 stores and is the best-known division of Inditex. Other major divisions include Pull & Bear that offer casual clothes and accessories for young people, Massimo Dutti that features high end clothing for men and women, Bershka that has urban styles, Stradivarius with casual, young fashion for women, Oysho that features lingerie, Zara Home for home goods and Uterque for accessories.
Inditex operates internet sales in 45 markets and is experimenting with a pick-up kiosk for in store self-service units.
