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The Chinese are investing in the cotton industry in the US. Input costs of cotton production derive mainly from raw materials and energy, both of which are cheaper in the US than in China. China has actively encouraged vertical integration in the food sector as a part of its ‘Go Out’ strategy of overseas capital investment.
Since 2011, China has built up a significant stockpile of cotton as part of its price support operations for its agricultural sector. This has led to higher input costs in China’s cotton processing industry, and with no barriers to the import of yarn (processed cotton) Chinese cotton companies have taken the hint and set up shop where they can access cheaper raw materials, moving plant and machinery out of China.
If China eventually stops price support operations for cotton, then cotton production will inevitably migrate to where it is most efficient and productive. Since 2000, China’s agricultural production – despite solid productivity gains – has not kept pace with domestic demand, meaning that China has gone from a position of approximate net food security to being the largest food importer in the world, with the US becoming the largest single agricultural exporter to China.
Times are tough for farmers in the US cotton belt who are caught in the middle of a storm of changing global demand. Cotton acreage in the US has been declining for years, with 2015 hitting the lowest mark in decades. It has dropped from nearly 15 million acres to less than 9 million acres in just the past five years.
According to Jody Campiche, VP of economics and policy analysis at the National Cotton Council, one of the main issues facing the world cotton market is just a sluggish demand. It boils down to one thing, Campiche said - China. It used to be the largest export market for American cotton. A few years ago, more than 40 per cent of US cotton exports ended there. Last year, it was down to 6 per cent.
A lot of American clothes are made in China, but clothing companies there are relying more and more on cheaper man-made fibers, like polyester. According to the US Department of Agriculture, a big reason man-made fibers are on the rise is growing consumer demand for athletic wear, such as Lululemon and Under Armor fitness apparel. U.S. producers are also facing growing competition from countries, like India and Pakistan.
After an outcry over attempt to rule it out, European commission appears to soften stance on whether it will strengthen its 40 per cent carbon cut. Europe's chief climate negotiator has said he is open to increasing the EU's carbon target for 2030, in a back down by the European commission. Recently, the commission ruled out any increase in the bloc's target of cutting emissions by 40 per cent by 2030 on 1990 levels, sparking an outcry from several countries and green groups.
Meanwhile, ministers and environmentalists said that Europe should be increasing its ambition in light of the Paris climate deal agreed in December, where nearly 200 countries pledged to pursue efforts to keep temperature rises to 1.5C. That was a much tougher goal than the existing 2C goal which Europe's 40 per cent cut is based on.
The EU director of climate strategy, Artur Runge-Metzger, responded to the criticism that the question of the level of ambition for 2030 is open, as long as it is a binding EU target of at least 40 per cent domestic reduction in greenhouse gas emissions by 2030 compared to 1990.
Coats is launching a range of advanced composite fibers which can be processed into fabric form and then used to mould strong, but lightweight, parts for industries including automotive and aerospace.
The range Synergex has high levels of hybrid fiber integrity and performance. It can be processed into fabric form using many technologies including commingling and twisting. The carbon and nylon commingled yarn delivers a perfect balance between strength, weight, performance and also recyclability. The composite fibers can be embroidered directly into complex shapes and the final composite parts can be metal pressed.
Coats is the world’s leading industrial thread manufacturer. The Synergex range is dedicated to developing high performance composite constructions. From carbon processing units to aramid converting lines and fiber glass processing equipment, it is able to commingle and twist carbon fibers and various thermoplastic fibers. This enables the manufacture of flexible thermoplastic prepegs which produce advanced thermoplastic parts for the wind, automotive, aerospace and sporting goods sectors.
Synergex is a ground breaking new product range which will revolutionise composite technology across a wide range of industries. The pioneering thread and yarn expertise has created an innovative product that can accelerate current manufacturing processes. It provides a simple solution for complex forms.
www.coats.com/
"The Society of Dyers and Colourists (SDC) organized a half-day seminar ‘Clean and Green Garment Processing’ in Mumbai. It was aimed at promoting green practices in the garmenting industry throgh innovative methods and efficient use of machinery, equipments nd labour. The event witnessed attracted many big names from the garment processing and fashion industry."
The Society of Dyers and Colourists (SDC) organized a half-day seminar ‘Clean and Green Garment Processing’ in Mumbai. It was aimed at promoting green practices in the garmenting industry through innovative methods and efficient use of machinery, equipments and labour. The event witnessed attracted many big names from the garment processing and fashion industry.
In his keynote address of Harish Punjabi, Director (Marketing), Trinity Services Bd, stressed not to taking the planet for granted use resources carelessly. “This is an attempt towards the preservation of the environment since climate changes are acute, unpredictable, and posing big challenges to everybody on this earth.” He emphasized everything has undergone a change for example, there is less rainfall these days, summers are hotter, pollution is high. “The entire planet is facing a threat and we need to stop procrastinating and work for the improvement of the environment,” he said adding, “Today we are addressing the way to use resources, reduce affluent and bring efficiency and sustainability in the entire spectrum of things we are involved in. We need to find solutions and bring innovation in our working methods.” He said the garment industry is keen to address issues concerning climate, inspired by the old-fashioned and harmful practices. However, these initiatives should not be limited to any industry or corporate but be taken seriously by every industry and individual to promote clean and green environment.
The seminar was the first-of-its-kind conducted by SDC in the garment processing industry. Also present on the occasion were: Ravichandran, Director (Technical and Business Development) Atlantic Chemicals, Jaydeep Umalkar, Marketing Manager, SF Dyes, Sidharth Wilson from Spykar Jeans and Aniket Satam , Proprietor, Brand Aniket, among others.
V R Sai Ganesh, Secretary SDC EC and General Manager, Atul Limited, while addressing the audience said: “The efforts to encourage clean and green practices by SDC and garment processing industry are commendable. Having a galaxy of industry stalwarts on one platform discussing the need to bring transformation in the working methods established in the Industry is heartening. Garmenting industry is huge and has a huge impact on nature owing to its use of natural and artificial resources. The need of the hour is conscious utilisation of goods and machinery. The use of organic products can help bring sustainability in the environment.
Ganesh pointed out that water usage is high in garment processing industry and its effective use can help to save the environment. The industry needs to adopt innovative methods for water treatment and limited disposal of affluent. Recycling is another area where the industry needs to focus on.
Also discussed at the seminar were topics like costing and how to make costing of the product viable to manufacturer and end users while accommodating green practices.
Keeping the buying and selling potential of the country’s textile and garments industry in view, Pakistan Readymade Garments Manufacturers and Exporters Association (PRGMEA) is holding the 15th Textile Asia 2016 International Textile and Garment Machinery Trade Fair from March 9-11, 2016 in Karachi.
According to PRGMEA, the trade fair will have more than 550 international brands displaying their products in over 700 booths, and over 500 foreign delegates mainly from Austria, China, Czech Republic, France, Germany, India, Italy, Korea, Taiwan, Turkey, UK and US are likely to attend the event.
Interaction of local stakeholders with the global tycoons would enable them to further improve their products and also bring them in conformity with the current trends and market demand in various regions of the world.
It was written in the publications that to take advantage of opportunities from the Trans-Pacific Partnership (TPP), the world’s biggest shoe processor, Pou Chen (Taiwan) has been gradually shifting its production bases to Vietnam since 2012.
Similarly, the textile industry also witnessed the landing of large textile corporations, including the competitor of Pou Chen in Taiwan, Feng Tay and the major manufacturers in the world such as Hanesbrands (US), Onewoo and Panko (Korea).
In fact, moving factories to Vietnam where there is cheap labour to wait for the opportunities given by the TPP is the way that many foreign companies are pursuing in order to use Vietnam as a springboard to enter major markets in the TPP.
Some experts are afraid that this phenomenon will affect profit from Vietnam’s key export commodities. Others felt Vietnam should have appropriate policies to ‘borrow’ this source of capital to develop the local economy along with strict commitments on technology transfer.
According to the Vietnam’s Ministry of Industry and Trade spokesperson, Deputy Minister Do Thang Hai the increase of foreign investment in this way benefited Vietnam so far. He said exports of the foreign-invested sector were a bright spot in the overall economic picture of Vietnam last year. The part of this sector in Vietnam’s total export revenue has increased in recent years, from US$34 billion (representing 49.4 per cent of total national exports) in 2010 to $110.59 billion (accounting for 68.2 per cent) in 2015.
Celebrating its 110th anniversary this year Japanese sports brand Mizuno, continues to refuse to help 346 Indonesian workers who were unfairly dismissed after a strike in 2012. Some of the women, who have been working for years on Mizuno sportswear, lost their homes and families after the company producing for Mizuno sacked them. Adidas, another buyer at the factory at the time, also refuses to support the workers.
The labour issue started in July 2012 when a group of 1300 mostly female workers was fired from the PT Panarub Dwikarya Benoa factory (PDK) after a strike demanding the right to freedom of association and a back payment of the legal minimum wage. The women also suffered from verbal and physical violence. Early 2012 workers founded the union SBGTS-GSBI. In July 2012 factory management unilaterally decided to postpone negotiations regarding wage violations, while the workers started a spontaneous protest, followed by a strike which was joined by 2000 workers. After five days of strike, the factory management dismissed the workers.
Out of the 1300 dismissed workers, 346 are still fighting for fair severance payment. The other workers agreed to be paid off with a meager ransom, due to the pressure of the factory management and the hardship of lack of income. The remaining workers recently considerably lowered their financial demands in order to be able to reach a settlement and close the case.
Bangladesh has made the use of jute sacks mandatory in packaging different agricultural products including rice.
So mills in Bangladesh now need to produce an additional 1.5 million bales of raw jute annually. The country currently produces about 7 million bales a year.
Under the law, all kinds of packaging, particularly for rice, wheat, sugar and fertiliser, must be done with the use of jute sacks. Most rice millers are now using jute sacks in packaging rice and need to be supplied around 360 million jute sacks a year.
The country sees a return to the golden era of the fiber if the law can be implemented successfully. For violation, the law provides punishment of a maximum imprisonment for a year, or a fine, or both, for using non-degradable synthetics to package commodities.
Despite initial unwillingness, most rice millers have now started using jute sacks.
Bangladesh is seeing new export opportunities. European Union members and some other countries have recently imposed restrictions on the use of plastic and other synthetic products. According to strict new targets each country has to reduce plastic bag use by 80 per cent before 2019.
Bangladesh hopes to take this chance and increase jute product supply to these countries and raise its export volumes.
Textile firm Filatex India has commenced commercial production of polyester fully drawn yarns at its plant in Dahej, Gujarat.
The commercial production is for manufacture of 100 million tons per day of polyester fully drawn yarn. This will lead to lower per ton capital cost which in turn will put the company to a recurring advantage by way of lower depreciation and interest. Also, other fixed expenses like staff cost and factory overheads would also be spread over bigger production volumes leading to improvement in profitability.
The total capital expenditure for implementing the expansion program is about Rs 100 crores.
Filatex, established in 1995, is also in the process of installing about 40 texturising machines at the plant. Two texturising machines have been installed. The remaining machines would be installed in phases till September.
The company is involved in the manufacture of various varieties of synthetic manmade fibers like polyester filament yarn, poly propylene yarn, textured yarn, micro denier yarn, polypropylene yarn, mono filament yarn. It is considered a pioneer in the manufacture of mono filament yarn in the Indian market.
Filatex has also diversified itself into special polyester filament yarns like micro denier polyester filament yarn.
www.filatex.com/
