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Bangladesh has emerged the world’s largest importer of denim fabrics, with a large number of global denim brands returning to source denim products from the country. Estimates suggest that the country’s over 60 per cent of denim fabrics demand was met by imports from China.
Manufacturers require a variety of denims fabrics such as regular, knit, jacquard, printed, coloured and coated to produce jeans. Bangladesh is said to be producing 360 million yards of denim fabrics against its demand of 720 million per annum and has to heavily rely upon imports. The global demand for denim fabric is estimated to be 6.5 billion yards. 25 factories in Bangladesh are actively producing denim fabrics and few more are said to be in the process of starting production.
Bangladesh’s share in the world market is divided as 22.88 per cent in EU and 11.35 per cent in US. From FY2009 to ’14, denim exports have witnessed a rise of 11.16 per cent and the country’s denim apparel export is expected to reach $7 billion by 2021.
The Korean textile industry is reorganising its industrial structure with the aim to promote high value added market, such as high performance textiles and fabrics for the high tech industry. The Korean fabric technological level has increased from 75 per cent in 2010 to 79 per cent in 2015. The figure will slightly improve to 85 per cent in 2020. Meanwhile China has steadily seen technological growth in the fabric industry rise from 55 per cent in 2010 to 65 per cent in 2015 aiming to touch 75 per cent in 2020.
Accordingly, the technical gap between Korea and China will be halved in a decade from 20 per cent in 2010 to 10 per cent in 2020. The figure between Japan and Korea will also decrease from 25 per cent in 2010 to 15 per cent in 2020. China’s share in the global textile market as of 2013 was 37.9 per cent, while that of Korea and Japan stood at 2.2 per cent and 1.2 per cent.
Korea has a high percentage of clothing in production and most of them are being supplied to the domestic market with middle and high prices while those for exports are low and middle priced products.
Chinaa's export of spun yarn grew sharply by 35 per cent in volume terms while the rise in value terms was 16 per cent. For second month in a row, China’s imports of Indian spun yarn jumped in July. However, overall unit value realisation continued to inch down.
China was the top importer of Indian spun yarn in July, accounting for 45 per cent of Indian spun yarn exports. Bangladesh, the second largest importer of spun yarns, accounted for close to 11 per cent of all spun yarn exported from India. However, exports to Bangladesh increased two per cent in volumes and fell six per cent in value. Egypt continued to be the third largest importer of spun yarns, with volume and value both down 18 per cent and 25 per cent. These three top importers together accounted for 60 per cent of all spun yarn exported from India in July.
Nigeria, Mexico, Cambodia and Norway were among the fastest growing markets in June, more than doubling their imports from India. However, they together accounted for only 0.5 per cent of total exports. Saudi Arabia, Latvia, Chile, Croatia and Czech Republic almost halved their imports from India compared to their levels a year ago.
All Pakistan Textile Mills Association (APTMA) has asked for government’s intervention to free market mechanism, as there is a move to procure seed cotton (phutti) equivalent to one million bales at the support price of Rs 3,000 per 40kg.
The association said that the cost of production for cotton growers was very high, as the price of urea has been increased by Rs 150 per bag and diesel prices have jacked up by 45 per cent. It has put cotton farmers into trouble. The Trading Corporation of Pakistan had procured 90,000 cotton seed last year and incurred a loss of one billion rupees.
Industry body questioned the Corporation’s motive behind repeating the same mistake this year when last year’s procurement is still lying with it. The country’s exports during the outgoing fiscal dropped by 17 per cent and to benefit small growers, it said that the government must procure total production of 14 million bales and supply it to the textile industry at the international price.
Rising production costs are also negatively affecting the cotton farmers, like the textile industry players. The government can assist them by reducing cost of inputs by providing a direct support on electricity and fertilizer.
www.aptma.org.pk
Noble Biomaterials has developed XT2, an anti-odor protection fiber technology. The fiber is available as filament or a staple fiber. Based in the United States, Noble Biomaterials is an antimicrobial company. The polyester-based textile yarn, which is fully dyeable and incorporates silver particles locked into the polymer to prevent leaching during laundering, is a big step forward in terms of design flexibility and performance.
XT2 incorporates silver particles into the polymer during the extrusion and therefore is fully dyeable. It can even be dyed white. Previous versions of the XT2 yarn were based on nylon and took on a silver color, which meant there was less design flexibility. However, the latest dyeable version of yarn now opens up opportunities in the outdoor and sportswear market where design and environmental issues are an important part of the offer. XT2 has been approved and certified by the Bluesign certification system after meeting the requirements for durability, adherence, efficacy, toxicity, and safety. It has been tested and certified by Oeko-Tex 100 (testing for harmful substances). Noble’s original X-Static brand is widely used in the hosiery sector along with the healthcare market such as in surgeon’s scrubs and other antimicrobial textiles.
www.noblebiomaterials.com/
Texcare will be held in Germany from June 11 to 15, 2016. This trade fair exhibits the latest trends and innovations in the laundry and dry-cleaning industry. The textile care sector is a strong and growing market, both in Europe and worldwide. The field of textile services, in particular, enjoys huge market volumes and is gaining importance. There is continued growth in terms of textile hire with IT and merchandise management systems. Services, and ecological aspects of textile care are gaining importance.
The world's leading manufacturers and service providers will present innovative products and future-oriented services. Texcare is the decisive forum for textile cleaning, laundrettes, pressers and colorers; rugs, carpets and upholstery cleaning, the professional, working and protective clothing trade, the hotel and catering trade the health and hygiene market; and the specialist retail trade.
Around 60 per cent of trade visitors are personally responsible for making purchasing and procurement decisions or at least exert a considerable influence on such decisions. Textile care is under great pressure to come up with innovations as a result of increasing outsourcing processes, the growing use of automation technologies and a growing demand for modern, easy care textiles.
ish.messefrankfurt.com/content/texcare/frankfurt/en.html
The Sole Sustainability Index (SSI), which analyses the performance of some of the biggest branded apparel and footwear businesses was revealed by Morgan Stanley Research. The index aggregates existing data and compares the companies’ performance in several terms— social matters (supply chain management and community engagement), environmental issues (examining water, waste and raw materials, specifically cotton and leather), and governance (how sustainability is integrated into the business strategy and how shareholder-friendly the corporate governance structure is).
The leader in environmental issues was revealed as Nike, whereas, PVH (Calvin Klein, Tommy Hilfiger etc.), and Nike shared the first spot for social topics. The VF Corporation (Lee, Wrangler, The North Face, Vans, etc.) was on top for governance.
On this index, where the maximum score is 300, overall, the highest rankers are Nike, VF Corp., and Hanesbrands (Hanes, Champion, Playtex, Wonderbra etc).
Morgan Stanley however admitted that there were several limitations to these results. There is little, quantifiable industry ESG data (environmental, social and corporate governance). Besides, the existing numbers are difficult to compare. The report also stated that a company’s SSI score is primarily driven by disclosure quality, and the existence of targets and trends.
Thus, VF Crop, Nike and Hanesbrands are at the top, because of their disclosure of most evidence of their commitment to sustainability throughout their core operations. Though, there isn’t enough third-party audited data.
Morgan Stanley is also a financial institution with severe commercial interests. Thus the company’s objectivity in selecting the companies to be examined and their final evaluation is not given.
The spinning industry in Punjab, which employs close to 400,000 people and contributes 15.6 per cent of the total yarn production in India is suffering because of high power costs and taxes. Players say they have not carried out any major expansions in the spinning sector in the last few years.
In the last few years, textile majors of Punjab including Oswal Group, SEL Manufacturing, Abhishek Industries and Nahar Industrial Enterprise decided to set up their mills in Madhya Pradesh instead of Punjab since the state government there offered 5 per cent to 6 per cent interest subvention. The average per unit power tariff in Madhya Pradesh is close to Rs 5.50 per unit against Rs 8.25 in Punjab.
Punjab’s spinning industry has also been demanding rollback of 6.5 per cent VAT on cotton yarn. But the state government, instead of offering any relief to the already suffering industry, further increased the Infrastructure Development cess from 5 per cent to 13 percent from July 1, 2015. Given the situation in Punjab, many leading textile players chose to invest over Rs 10,000 crores in the other states.
While Vardhman Group invested about Rs 2,500 crores in Madhya Pradesh, Abhishek Industries built units worth Rs 3,000 crores and Nahar Industrial Enterprise and SEL Manufacturing, each invested Rs 2,000 crores in Madhya Pradesh. Out of 138 spinning mills in the state close to 80 are operational. Others are either sick, closed or under corporate debt restructuring. Decline in Chinese demand of cotton yarn has led to piling up of excess inventories.
Vardhmangroup.net
Messe Frankfurt France says, “Registrations for the trade fair have broken a new record, passing the 400-exhibitor level, which represents a 40 percent rise in attendance, compared to the 289 exhibitors in September 2014. The event is consolidating its position as Europe’s premier world garment sourcing event.”
The knits section is showing strongest growth, with more than 35 new manufacturers, such as Anjuman Garments (Bangladesh), BLR Knits (India), Thai Son S.P (Vietnam), Sanyang Cashmere Textile (China) and others, who are focusing on highly diverse collections of circular and cut and sewn knits for men, women and children. Unstructured garments continue to develop, with 29 businesses and the sleeved pieces segment will welcome 25 new manufacturers, including Apex International (India) and New Zeenat Textile Mills (Pakistan).
Among the newcomers in sportswear are: fashionable collections by Kreateks Tekstil (Turkey) and Alphabeta (South Korea) will be on display. Accessories always attract more exhibitors. Newcomers such as Ningbo Kingshi (China) and Rashish (India) are aiming to attract buyers with traditional, fashionable pieces in quality finishes. The dedicated Shawls & Scarves section will see three newcomers among its 21 exhibitors: Porostar (China), KUM (India) and Shengzou First Garment & Necktie (China). The collections on offer will be highly market-oriented, displaying particular skills, such as hand embroidery, vegetable dyes and digital printing.
Made to measure deserves a special mention as it is still a strong trend in sourcing for customised dresses and unstructured garments at competitive prices. Made to measure had a modest debut at last year’s fair and is coming back in force, represented by seven companies: Ai Xin Dao, Dalian Faric Garment, Ningbo LS Lace, Ningbo EJJ Knitting Garment, Sendi, Shanghai Leads Enterprise and Wujiang Silk Garment. On the whole, the manufacturers at this event will be offering collections intended for the entry-level and midrange women’s and children’s market. In the case of men and accessories, there will be many premium collections on offer alongside more affordable collections.
Vietnam pavilion to feature ten exhibitors
The fair will feature a national pavilion for the Vietnam Textile and Apparel Association (VITAS), with ten exhibitors including Babeeni, Diep Duong, Garment 10 Corporation, Hai Phong Xhan, Hoa Tho Textile, International Fashion, Lewave, Resources Garment, Thai Son S.P. and Thien Nam Investment & Development JSC. They will be offering accessories, casualwear, unstructured garments, bottom pieces, business wear, formal wear, children’s wear and denim for men, women and children, mainly targeting entry-level and mid-range buyers.
Many brands are attracted to Vietnam because of the quality and sourcing solutions which the country and its businesses can offer owing to free trade agreements with Europe (Eurasian Economic Union - EAEU). In other respects, Vietnam has become the world’s fourth-largest exporter of textile products on the basis of its first-quarter figures: $12.18 billion and a year-on-year rise of 8.2 percent in exports to the EU, according to the Vietnam National Textile and Garment Group (Vinatex). Also on the agenda is a seminar ‘Vietnamese textile and clothing sector: a prosperous, competitive industry’ led by Jean-François Limantour , a specialist in both sourcing and Vietnam.
Seminars and programs scheduled for the fair
The trade fair has a full program, featuring four seminars and numerous fashion shows to reveal the specialities of exhibitors from participating countries. Seminars on sourcing, apart from the one on Vietnam, will feature two topics: ‘European garment sourcing in 2015: suppliers, products and markets’ and ‘Garment sourcing management and alternative strategies for industrial offers’.
On corporate responsibility, the association Well made will present ‘Trends in sustainable development’, which will provide professionals with information on new innovations and development of certification. The fashion shows, a showcase for skills, will allow visitors to evaluate exhibitors’ products, shown off to their best effect by the artistic director responsible for the programme. Seminars concentrating on countries and types of product are also scheduled during the four days. As for young designers, the finalists in the 2015 Frankfurt Style Award competition will reveal their creations during the fair.
The average price of EU textile and clothing imports jumped 14.2 per cent during the first four months of 2015, predicts Textile Outlook International. It is expected to continue to rise in 2015 and 2016. The jump in average import price during the four-month period resulted from a sharp 18.9 per cent depreciation in the value of the euro against the US dollar and despite a softening of raw material prices in the second half of 2014.
The sharp depreciation of the euro against US dollar made EU imports expensive in euro terms. And importers, who had to pay substantially more for textiles and clothing, responded by cutting volume of textile imports by 0.6 per cent and clothing imports by 3.7 per cent. While these deductions appear relatively small, full impact of currency movements is yet to be felt as many of the orders fulfilled in the first four months of 2015 were placed before the euro depreciated.
In clothing alone, the average price of EU imports shot up by 17.8 per cent during the first four months of 2015. Interestingly, among the EU's 10 leading clothing supplying countries, the fastest price increases were seen in case of imports from those which supplied clothing to the EU at the lowest average prices. This suggests, suppliers in these countries had such tight margins that they were unable to absorb the effect of the depreciation of the euro against the US dollar and were therefore forced to pass on the increases in prices in euro terms to buyers.
In 2015, the euro is forecast to depreciate against the US dollar by 21.3 per cent. Furthermore, in 2016 it is expected to depreciate by a further 5 per cent to its weakest level since 2002. Textile and clothing import prices in euro terms are therefore expected to continue to increase, even if they fall in US dollar terms. As a result, experts point out that, European buyers may cut back on their purchases in 2015 and EU imports of textiles and clothing may fall in volume terms.
