FW
UK-based fashion chain Jaeger is in trouble. Founded in 1884, Jaeger has counted actresses, royalty and Arctic explorers among its fans. However, its now faced with intense competition on high street and a dipping sales graph. It has struggled to keep up with rivals such as Burberry and fast fashion chains including Zara and H&M.
Jaeger's problems are partly because it has struggled for years to truly understand its core clientele. The firm also relied too heavily on special offers. Discounts account for over three quarters of Jaeger’s sales. Constant stream of sales and offers discouraged shoppers from paying the full price and lessened their trust in the quality of the Jaeger product.
Last year Jaeger’s annual sales fell four per cent. Jaeger started by selling woolen long johns and its clothes were worn by the explorer Ernest Shackleton on an Antarctic expedition.
In the 1950s and 1960s its celebrity fans included the actress Marilyn Monroe and the model Twiggy, before more recently being worn by the Duchess of Cambridge. Jaeger has 46 stores, 63 concessions, a head office in London and a logistics centre in King's Lynn.
The situation is such that most of Jaeger’s stores are moving towards closure, although the brand is likely to survive as part of the EWM stable, which includes Jane Norman, Peacocks and Austin Reed.
Archroma will showcase next-generation fluorochemical products at the forthcoming Techtextil in Germany. The company is the system supplier of choice for textile mills and nonwoven manufacturers. Archroma, a global leader in color and specialty chemicals, uses only non-halogenated technologies for its global range of Pekoflam products. This range is ideally suited to help customers face today’s ecological challenges and fulfill ever stricter safety regulations, regardless of the application. The company’s non-halogenated portfolio includes select products that are assessed for compliance with global requirements for industrial and consumer safety.
Archroma’s portfolio of water-based, solvent-free polymers allows handle and surface adaptations, from soft to hard, elastic to rigid, hydrophilic to hydrophobic, heat sealable to highly durable, impermeable to breathable, with low or no formaldehyde content. These products allow for more sustainable, tailor-made coating solutions for applications such as technical textiles, automotive, nonwoven, personal protective equipment and sportswear.
Archroma's innovative next-generation fluorochemical products provide long-lasting and excellent repellency and release effects, are easy to handle and non-sensitive regarding compatibility with other finishing chemicals. They allow covering the full spectrum of repellency and release needs in technical textile applications. Smartrepel Hydro keeps cotton, polyester and polyamide textiles dry. The unique technology offers exceptional, durable water repellency and is not based on fluorine. Smartrepel Hydro produces a soft hand feel and outstanding breathability – perfect for any weatherproof garment.
"Chinese denim maker Prosperity Denim is striving hard to keep its leadership position. As managing director Andy Zhong, Prosperity Denim says “We have more than 100 new styles every month. In China, we make eight million yards a month and at the new capacity in Vietnam we will offer two million yards a month. This capacity is for denim fabrics. We also have other piece dyed and yarn dyed fabrics. In piece dyed our capacity is one million yards a month.” Innovations to stay ahead Zhong says the company is now focusing on a theme of Prosperity Fabric Technology."
Chinese denim maker Prosperity Denim is striving hard to keep its leadership position. As managing director Andy Zhong, Prosperity Denim says “We have more than 100 new styles every month. In China, we make eight million yards a month and at the new capacity in Vietnam we will offer two million yards a month. This capacity is for denim fabrics. We also have other piece dyed and yarn dyed fabrics. In piece dyed our capacity is one million yards a month.” Innovations to stay ahead Zhong says the company is now focusing on a theme of Prosperity Fabric Technology. There are new developments in dyeing, finishing, material processing, etc. “We focus on functionality, hand feel, stretch, etc.” Prosperity classifies its range under four themes: Hand Feel for a very soft feel as ‘Air-Lite’, C-Blend and Blue Force, range of ‘Stretch’ fabrics with J- Fit and Tri X, Eco-Technology with Bio-Stretch, Coffee Denim and Eco Color and ‘Functional’ to address the current trend of denim offering comfort. We use around 20 per cent Tencel, whereas generally in jeans wear, Tencel content is just four per cent.” Zhong says, it improves the hand feel as it is 50 per cent softer than regular cotton. “At Prosperity, we quantify the hand feel. We can say it’s soft in terms of percentage.”
Meanwhile Prosperity Denim has diversified its stretch range. Zhong poins out “Generally around 30 or 40 per cent stretch is enough in denim but women want bio stretch or two way stretch. To put stretch in warp and weft, you need sophisticated technology. This also increases the cost. I think trend of stretch denim will increase in the next few years. The US and Europe have a bigger demand for biostretch.”
Focus on Sustainability
Talking about their eco-friendly moves, Zhong says, “We use eco dyeing, so the water is less dirty and consequently COD value is reduced. In dyeing, we use a new base that replaces the Hydro Sulphur. This reduces Chemistry Oxygen Demand (COD) by 60 per cent, higher the count means the water is dirtier. We recycle the coffee plant and put it into the fibre, yarn and fabric. One cup of coffee equals eight pairs of jeans. By recycling we reduce the impact on environment, so it is a bit expensive but still affordable. We have some association for coffee beans with the Taiwanese company S Café. We get organic cotton from India, Pakistan, Brazil, etc. We use air technology in finishing. So, the hand feel is soft. It can control shrinkage better.”
Prosperity Denim has developed Trio X range, with three yarns inside. And the inside yarns are not cotton but nylon or polyester. It has soft stretch, is easy on, easy off, therefore used for skinny jeans. It is good for stretch and performance. The company also has four way stretch, airlight stretch, making vintage jeans 10 per cent lighter. So, one feels more comfortable and it allows more freedom. “Then we have functional denim and super energy denim. Usually our body has heat. This fabric reduces body heat, deals with infrared rays, increases blood circulation, increases the oxygen level of the body. For this, we have done engineering in the indigo fabric. We have anti-odor denim. You can wear it for months at a time without washing. It won’t stink and still smell fresh. You can save water since you don’t need to wash jeans often,” explains Zhong.
Expansion Plans
Prosperity Denim has units in Vietnam which will soon have its own design development like their China units. In China, the company employs 20 designers and has an in-house washing unit. “Every season, we have our designs and develop our washing effects. Some fabrics have light wash and some heavy wash. Similar work would be done in Vietnam design development unit. In Vietnam, we may have a different fabric depending on market share,” he informs. At the moment, Prosperity has 20 offices around the world and in a year, they attend 15 to 20 denim shows around the world. The company has marketing offices in every major denim market and maintains close relations with fashion agencies, brands, buyers, etc. “We know the trends and what our brands want. We have stretch fabrics, functional fabrics, eco and hand feel. We understand our brands and also understand the fabric. We can connect the brands and the fabrics, We work very closely with H&M and some big Chinese fashion brands,” adds Zhong.
As for the future, Zhong says they are focusing on a better collection, new developments. “Last year we had a 60 per cent increase in sales. Our shipment focus this year will also be close to 80 million. Compared to last year, we will have 30 per cent annual growth. The company has a huge presence in China and sells 30 per cent to the US, 30 per cent to the European market and the rest to the domestic market. The company is looking at South America like Colombia, Brazil and Southeast Asia including Japan and South Korea.”
The International Textile and Textile Conference (ICAHT) will be held in New Delhi, on September 9, 2017. The theme of this edition is: People, Purpose and Passion: the Pathway to Success. The aim is to explore creativity and the creative process through imagination and innovation. The event is an opportunity for professionals in the textile and clothing sectors to know the strength of India, not only as a source of supply, but also as a destination for the fashion collections of global brands.
Various discussions on the problems of small and medium enterprises, trade barriers gripping the sector, strengths and weaknesses of manufacturing in different parts of the globe, globalization shortage of resources and skilled labor, quality of products, new techniques to improve productivity, changes in the supply chain etc. have been lined up.
India is an example of growth in the midst of a global economy that has been stagnant in recent years. The country's GDP has been growing at a rate of more than seven per cent a year. ICAHT is being organized by the Okhla Garment and Textile Cluster, Okhla Textile and Clothing Manufacturers’ and Exporters' Association, an industrial area south of Delhi, is one of the most important industrial sectors in the textile and clothing industry.
During 2016, India, Bangladesh and Vietnam clocked in positive export of trousers to the EU on a year-on-year basis. In value terms, India’s trouser exports were up 4.50 per cent whereas quantities were up 8.87 per cent. Bangladesh’s trouser exports to the EU rose in value by an impressive 9.65 per cent while quantities rose by 12.91 per cent. Vietnam’s exports rose in value terms by 5.89 per cent and quantities rose by 4.28 per cent.
Among the EU’s textile and clothing imports are cotton yarn, fabrics woven from synthetic staple fibers, fabrics woven from synthetic filament yarn, T-shirts, pullovers, women's blouses, men's shirts, women's overcoats, women's dresses, women's skirts, women's suits, men's trousers, men's denim trousers, women's trousers and women's denim trousers.
Between 2004 and 2014, European jeans imports doubled in volume and more than doubled in value terms. However, pricing rose only 10.9 per cent in this period. The most important supplier countries for Europe’s denim in 2014 were Bangladesh, Turkey, China and Pakistan. These four together accounted for 74 per cent of European jeans imports in value terms and 82 per cent in volume. The biggest denim importer in Europe is Germany, followed by Spain, the United Kingdom, the Netherlands, France and Italy.
Bangladesh’s jute exports to India have fallen 52 per cent in January and 37 per cent in February. Reason: India has imposed an anti-dumping duty. And with a decline in demand and exports to India, a number of jute millers have cut production.
Shipments from firms that face high anti-dumping duties have fallen. But mills facing low duties have not been affected much. Jute is the third largest export earning sector of Bangladesh, after garments and leather, and India is one of the biggest markets for the fiber.
India accounted for 17 per cent of jute goods exported by Bangladesh in fiscal 2015-16. Considering overall exports to India, the share of jute and jute goods was 37 per cent in fiscal 2015-16. However, jute cloth to make sacks remain free from the purview of anti dumping duty. A section of importers in India are showing interest in buying these sack cloth. The anti-dumping duty is expected to affect consumers in India because of a rise in prices.
However, shipment of raw jute has risen following the imposition of the duty. India has justified the tariff by saying countries are undercutting and suppressing the prices of the domestic industry. The duty has been imposed for five years and applies to products such as jute yarn, hessian fabrics and jute sacks.
Chinese cotton imports are unlikely to rise this season. Instead the country will continue to draw down cotton stocks. The priority is to ease the burden of its large cotton stocks following years of cotton purchases. China may succeed in reducing its cotton reserves to five million tons by the end of 2018. This can be compared to the 13.9 million tons in 2014-15 when China's cotton reserves peaked after three years of support purchase programs.
These cotton sales will keep a lid on imports, despite the steady consumption. However, seeking to stay competitive in export markets, the Chinese textile industry is likely to continue sourcing higher grade cotton from the United States.
Plantings are being supported by a price subsidy policy in Xinjiang, the country’s top growing region. Similarly, the reduction of government support to corn production in 2016 is expected to encourage farmers to add cotton acreage moderately in other cotton-producing provinces. China’s 2017-18 cotton production is forecast to be 5.15 million tons.
China’s cotton imports declined 39.1 per cent in 2016. The country is drawing down the huge stocks accumulated through a price support mechanism. China is importing only half as much cotton as it was two years ago and less than a quarter of the amount it was importing four years ago.
Brexit can restructure trade between Pakistan and the UK, say experts. It can have an adverse impact on value-added exports, particularly in textile industry. Even though Pakistan typically exports low value-added products, a significant proportion of imports into the UK from Pakistan is likely to involve value addition in Pakistan. The UK and the EU are a major market for value-added consumer goods exported from Pakistan.
With more than 20 per cent of total exports from Pakistan to the EU destined for the UK, a harder Brexit process that involves renegotiation of trade agreements will have significant consequences for Pakistani exporters. With the most important export destination of Pakistan – UK-- opting to leave the EU, it is imperative that Pakistani policymakers seek trade policies that alleviate any negative impact, particularly if hard measures are to be adopted by the UK.
Imports from Pakistan into the UK are heavily concentrated in textile products, which contribute 82 per cent of total imports. Vegetable products account for four per cent and leather products account for three per cent. Nine out of the top 10 products imported into the UK from Pakistan, which account for more than 50 per cent of all imports into the UK from Pakistan, were made-up of textile articles.
Bangladesh’s garment industry is looking to source cotton from Africa to be used as raw material. Bangladesh’s garment industry mostly depends on imported cotton for raw materials. Bangladesh is currently the second largest cotton importer in the world, sourcing mostly from India and China, but feels Africa is a better source for original cotton.
Import of African cotton is also seen to be more cost-effective compared to other countries. Currently, Bangladesh sources around 20 per cent of its cotton requirements from African countries. Bangladeshi mills also source cotton from like India and the United States. Bangladesh has now a dominant position in cotton with 425 spinning mills. Over the years, Africa contribution to the global cotton supply has increased as of now, about eight per cent of the cotton traded in the world is harvested in sub-Saharan Africa.
In Africa, cotton is almost exclusively grown by smallhold farmers using crop rotation. These farmers work with rain-fed cultivation. The climate, with its high average temperatures and alternation between dry and wet seasons, favors the growth of this natural fiber crop. Burkina Faso is the only West African country to plant Bt cotton, which is resistant to boll worms.
Bangladesh’s readymade garment exports to China in the July-March FY17 period grew 27.11 per cent compared to the same period of FY16. The country’s exports to China in the nine months of FY17 were 32.06 per cent higher than earnings in the same period of FY16.
Export earnings from India in the July-March period of FY17 grew by 7.28 per cent but earnings from export of two major items — garments and jute and jute goods — decreased. Bangladesh’s garment exports to India in the nine months of FY17 fell by 7.85 per cent compared to the same period of FY16. Exports of jute and jute goods to India in the nine months also decreased by 17.08 per cent compared to the same period of the last financial year.
Bangladesh’s exporters face various technical barriers in India regarding testing facility of products at the border, complexities in registration requirement, product specification and border specification. Other factors are payment procedures and devaluation of the Indian currency. So the country is focusing on exports to China especially since China is shifting from production of basic products to high-end and high-tech items and meeting domestic demand for basic products through imports.
