Taiwan’s Far Eastern New Century has unveiled pioneering new recycling technology that converts discarded textile waste streams into fresh feedstock for other industries. The firm’s new process can help recycle polyester from all types of used textiles, including mixed streams. Initially, post-consumer textiles are separated without a need for additional decoloring or use of complex solvents. Polyester is then dissolved and the mixed polymers and dyestuffs are filtered out. Cellulose is isolated in the process and converted into energy-dense fuel rods which can generate electricity.

Far Eastern New Century, is a polyester and textile manufacturer and supplies polyester-related materials to major global sports, outdoor, leisure and fast fashion brands. The solution closes the loop of current PET recycling, diverting what was once destined for landfills to new value-added consumer goods. The company has revealed an all-in-one chemical recycling solution for post-consumer waste textiles, which is expected to support the circular economy movement and help Far Eastern maintain its leadership in smart textile innovation.

Recycled products accounted for 26 per cent of the company’s offering last year. The technology offers further evidence that there is more than one way to close the loop in textiles, with many believing a more pragmatic – and logistically and financially viable – option is to use old textile waste streams to provide feedstock for other industries.

The amendments that Bangladesh has made to the labor law haven’t gone down too well with stakeholders. Labor law was originally framed in 2006 to protect workers’ rights and to increase productivity in the industrial units. The last amendment has brought down the mandatory participation for registration of trade unions to 20 per cent from the previous 30 per cent.

Experts and pro-worker bodies say this is still a standard too high to meet. They say the condition of 20 per cent votes in the biennial general meetings is not possible for trade unions to fulfill for registration under the proposed new act and that their registration would be cancelled ultimately.

Although the law stipulates a four-month maternity leave, the amendment of the law will not safeguard the job of female workers. It is not clear whether the law allows maternity leave as a leave without pay or as termination from the factory. Human rights activists say the clause should be corrected to ensure the rights of female workers. They also want the compensation sum to be paid following death at the workplace to be increased.

Another objection is that the proposed amendment to the labor law does not reflect the set of recommendations proposed by the ILO.

Bangladesh’s export earnings from India rose 142 per cent in the first quarter. Readymade garment exports to India grew 167 per cent. Western and Indian clothing brands have set up a good number of stores in India and raised procurement from Bangladesh.

Earnings from two major export destinations: the US and Germany, also registered sizable growth. Bangladesh’s exports to the US and Germany grew by 14.23 per cent and 14.53 per cent respectively in the quarter while export earnings from most European countries, except the UK, saw a growth of ten per cent.

The ongoing trade war between the US and China created additional demand for Bangladeshi apparel products in the US market contributing to higher growth. US buyers have started considering Bangladesh as an alternative sourcing destination beyond China.

Export earnings from Japan increased due to a surge in apparel exports by 49 per cent in July-September in the current fiscal year compared with that of the same period of the last fiscal year. Overall exports to Japan and China grew by 31.84 per cent and 24.54 per cent respectively. The growth in export earnings from Japan and China turned around in the period after experiencing frustrating performances in the last few months.

Accord will begin handing over responsibility for factory safety monitoring to Bangladesh from October 15. The tenure of the European buyers’ platform will end on November 30. The platform will also submit a time-bound transition plan.

Accord has so far inspected more than 1,600 readymade garment factories. Accord-listed factories have completed more than 89 per cent of remediation work while 172 factories have completed 100 per cent remediation. The tenure of the platform in Bangladesh ended in May this year but it was allowed a six-month transition period.

Following the Rana Plaza building collapse in April 2013 that killed more than 1100 people, mostly garment workers, EU retailers formed the Accord and North American retailers formed the Alliance for Bangladesh Worker Safety, undertaking a five-year plan which set timeframes and accountability for inspections and training and workers’ empowerment programs. Alliance will leave Bangladesh after ending its transition period in November.

Global stakeholders, including buyers, trade unions and investors, have requested Bangladesh to allow the operation of Transition Accord till a national body is ready to take over factory safety responsibility. Accord was an unprecedented, independent, legally binding agreement between trade unions and brands. The Bangladesh readymade garment industry is undoubtedly safer, and lives have been saved.

"In a classic case of political insensitivity backfiring, many reputed brands such as Versace, Coach and Givenchy had to apologise to China for disrespecting the country’s sovereignty recently. These brands had launched a range of T-shirts with designs that suggested that Hong Kong, Macau and Taiwan are independent territories and not an integral part of China."

In a classic case of political insensitivity backfiring, many reputed brands such as Versace, Coach and Givenchy had to apologise to China for disrespecting the country’s sovereignty recently. These brands had launched a range of T-shirts with designs that suggested that Hong Kong, Macau and Taiwan are independent territories and not an integral part of China.

Hong Kong is currently in the midst of widespread protests as citizens believe that the move by these brands threatens the city’s autonomy. The one time British colony has its own economic and legal systems, as well as greater civil liberties than the mainland. To assuage protests, China has begun to crack down on these protesters.

Men’s innerwear brand Calvin Klein and sports label Asics have issued statements of remorse on Chinese social media platforms such as Weibo and Instagram, for treating these three as independent regions in their drop down menus.

Upsetting China to hamper brands’ growth

Even though brands have made similar mistakes before, the protests have been particularly fierce this time as the Chinese government is working overtime to shape its country’s image overseas as well as domestically. This is further amplified by Chinese celebrities ending their relationships with brands that threaten to tarnish the country’s image. Yang Mi, a superstar actress in China, recently announced her decision to cut her ties with Versace, while model Liu Wen severed her contract with Coach, as did actress Guan Xiaotong. Jackson Yee, a popular singer, also stopped working with Givenchy’s cosmetics line.

There’s a lot at stake for these fashion brands. As a recent joint report by McKinsey & Company and Business of Fashion, notes, Greater China is soon set to overtake the US as the largest fashion market in the world this year. The market is particularly important for upscale brands like Versace, Givenchy and Coach as the Chinese are one of the biggest shoppers of luxury goods in the world. The country is a key component of many brands’ plans for sales growth.

Brands therefore, can’t afford to lose the support of Chinese celebrities who act as a connecting bridge for them with their audiences. They need to take some action before they lose access to one of the most valuable customer bases in the world. This is why brands like Versace, Givenchy, and Coach have displayed a level of remorse one might not expect from them for something as trivial as ill-considered t-shirt designs.

"As per a recent survey the RMG sector in Bangladesh is expected to garner $33.5 billion followed by leather and leather goods at $1.13 billion. To achieve this goal, the government plans to set a $40 billion goods export target with a 7.14 per cent growth for fiscal year 2018-19, riding largely on apparel industry’s success. The Export Promotion Bureau (EPB) sent a proposal to the commerce ministry for consideration. If everything goes as planned, then the commerce minister will formally announce the export target in a few days. In July-May of the current fiscal year, Bangladesh earned $33.72 billion against a target of $37.5 billion."

As per a recent survey the RMG sector in Bangladesh is expected to garner $33.5 billion followed by leather and leather goods at $1.13 billion. To achieve this goal, the government plans to set a $40 billion goods export target with a 7.14 per cent growth for fiscal year 2018-19, riding largely on apparel industry’s success. The Export Promotion Bureau (EPB) sent a proposal to the commerce ministry for consideration. If everything goes as planned, then the commerce minister will formally announce the export target in a few days. In July-May of the current fiscal year, Bangladesh earned $33.72 billion against a target of $37.5 billion.

Abdus Salam Murshedy, President, Exporters Association of Bangladesh (EAB), says over 82 per cent of the country’s export earnings come from the apparel sector. Bangladesh has enough capacity to meet the export target. Manufacturers are losing their competitive edge due to a rise in production costs. Making things worse, in the proposed budget for FY19, beginning July 2018, the government increased corporate tax to 15 per cent, while the tax-at-source returned to 1 per cent from 0.70 per cent. Salam feels, if the government reduces corporate tax and brings down tax-at-source to the previous level to increase competitiveness, Bangladesh will be able to reach the target.

Ahsan H Mansur, Executive Director, Policy Research Institute (PRI) points out this export growth target, is unambitious. In attaining development goals as well as GDP target, the export target should be much more ambitious. Present policy towards export-oriented industries, rate of target achievement, and performance is disappointing. This is because of lack of proper policy support to export oriented industries.

Striking the right balance

Industry needs a comprehensive and balanced export policy to achieve export target. Md Jashim Uddin, President of Bangladesh Plastic Goods Manufacturers and Exporters Association (BPGMEA), observes there is a lack of coordination between concerned ministries in setting export target. The government is not taking necessary steps to remove export barriers. The government has offered incentives to promote plastic exports but exporters are yet to enjoy the benefits. Due to lack of proper implementation, incentives and policy support fail to reach the target.

Policy continuity and equal treatment in terms of government incentives are needed to provide space for emerging export industries to grow. Once that’s achieved, it will help diversify the export basket. To achieve the export target, the government should prioritise emerging sector and take measures to expand export basket.

The World Bank plans to launch a project to support the eco-friendly initiatives of Ethiopia’s rapidly growing textile industry. The bank is seeking contractors to improve efficiency in textile mills around Ethiopia as well as lowering production costs and minimising environmental impacts. Industrial parks will be a key focus as they are the main tool being used by the government to develop the textile and footwear industries.

The project will support efficiency improving interventions which will lower the production cost and minimise environmental impacts that will consequently attract and retain investment. At a broader level, the project will decrease greenhouse gas emissions through the removal of regulatory barriers to the implementation of energy efficiency and water efficiency investments in the private and public sectors. By providing support to the government and relevant industries on sector specific interventions, the project will ensure that the textile and footwear sector remain competitive while the growth of the sectors is environmentally sustainable.

Vietnam’s exports grew 16.9 per cent in January-August. The country is on track to become the world's second biggest exporter of textiles and clothing this year. Textiles and clothing are Vietnam’s second biggest export and its leading industrial employer. Despite rising labor costs, the sector remains highly labor intensive, employing 2.7 million workers. That means five per cent of the country's total labor force and 20 per cent of its industrial workforce are engaged in producing textiles and clothing.

A combination of demographic and geographic advantages as well as an openness in trade policy gives Vietnam an edge over its competitors. The prospect of free trade agreements with the EU -- expected to be ratified this year -- and the original Trans-Pacific Partnership led to a jump in foreign investment. About half of the overseas investments in Vietnam's clothing and textile sector since 1998 have been invested in the past five years.

But Vietnam also needs to move up the value chain if it is to diversify into overseas markets. The country currently exports nearly half of all of its textiles and clothing to the US. As the country’s trade surplus with the US balloons, Vietnam will need to move up the value chain by developing homegrown textile manufacturing if it is to diversify into new markets.

A tariff war with China is on but retailers in the US are continuing to import merchandise in order to meet consumer demand. Imports at the nation’s major retail container ports are expected to remain at near-record levels this month. Retail sales for all of 2018 are forecast to be up at least 4.5 per cent over 2017.

The US retail industry plans to fight back against the negative impacts of the tariff wars. Tariffs are now in place on roughly half the goods imported from China and the trade war is still escalating. Retailers are doing their best to mitigate the impact on customers, but they are not able to quickly or easily change their sourcing. That means these tariffs will eventually mean higher prices for American consumers.

The third round of tariffs is now in place, an increase in the level of tariffs is coming, and further tariffs have been threatened. Consumer prices will inevitably start to rise. While cargo numbers do not correlate directly with sales, the imports mirror this year’s strong retail sales. Holiday season retail sales for 2018– excluding automobiles, restaurants and gasoline stations – are expected to increase between 4.3 and 4.8 per cent over last year.

India International Textile (IIT) expo will be held in Ichalkaranji, December 6 to 8, 2018. This is a one stop source for all textile requirements of worldwide buyers and a unique platform for Indian participants where they can gather information on the latest developments and trends.

Buyers from various countries are invited such as Sri Lanka, Bangladesh, UAE, Vietnam, Korea, Senegal, Zimbabwe, Mali, Malaysia, Australia etc. About a 100 Indian textile exporters will display a wide range of products with the latest trends and qualities under one roof. The product range will be suitable for all types of markets whether emerging or developed, ranging from yarn, fabrics to garments and made ups. Among these are textile fabrics, denim, industrial fabrics, made-ups and home textiles like bed linen, kitchen linen, bath linen, living and dining linen and technical textiles along with various types of yarn.

Ichalkaranji is one of India’s important textile/fabric manufacturing clusters with over 1,50,000 power looms including auto and high speed shuttle-less looms producing fine varieties of cotton and blended fabrics including industrial textiles. There are some 35 spinning mills producing a wide range of counts, ply yarns, ring and open end yarns and fancy yarns. Ichalkaranji is near the Solapur cluster is famous for its terry towel and designer chaddars and dhurries.