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In today's fast-paced business landscape, efficient inventory management is critical to success. The Large-scale Automated Test and Re-order (LATR) model is emerging as a game-changer, leveraging automation and data analytics to streamline the process of maintaining optimal stock levels.
Decoding LATR
At its core, LATR is an AI-powered model that automates the testing and reordering process for inventory. It leverages real-time data on product consumption, stock levels, and lead times to predict when inventory will reach a critical point. It employs sophisticated algorithms and predictive analytics to determine optimal reorder points and quantities, ensuring that businesses have the right products in stock at the right time. Once triggered, LATR autonomously places reorders with suppliers, ensuring that businesses maintain optimal stock levels without the risk of overstocking or stockouts.
LATR's adaptability has led to its adoption across diverse industries. Retail giants are leveraging LATR to streamline inventory management for thousands of products across multiple stores. This ensures products are readily available for customers, enhancing customer satisfaction. Manufacturers are utilizing LATR to manage raw materials and components, ensuring uninterrupted production runs and minimizing downtime. Hospitals and healthcare providers are implementing LATR for critical medical supplies, guaranteeing that essential items are always on hand to provide timely patient care.
LATR’s impact
LATR has a significant impact on businesses. For example by optimizing inventory levels, LATR helps businesses reduce carrying costs associated with excess stock. By ensuring that products are available when customers need them, LATR helps businesses improve customer satisfaction and loyalty.
And by automating the testing and reordering process, LATR frees up staff to focus on other tasks, improving operational efficiency. Inventory management processes are becoming more efficient, allowing businesses to allocate resources to other strategic initiatives.
A recent study by McKinsey study revealed, businesses that implement LATR can achieve inventory cost reductions of up to 30 per cent. A case study of a major retailer found that LATR helped the company reduce stockouts by 50 per cent and overstocks by 40 per cent.
Changing the traditional business landscape
LATR is transforming the traditional business landscape by enabling businesses to move away from manual, reactive inventory management approaches to automated, proactive models. This shift is leading to improved efficiency, cost savings, and customer satisfaction.
A cutting-edge inventory management model LATR is revolutionizing the way businesses manage their stock. By leveraging automation and data analytics, LATR is helping businesses achieve significant cost savings, improve customer satisfaction, and increase operational efficiency. As businesses continue to seek ways to optimize their inventory management, LATR is poised to play an increasingly important role in the years to come.
China's textile and apparel industry, a global powerhouse, has woven an intricate network of clusters, propelling its growth and evolution. These specialized hubs, fostered by organizations like the China National Textile and Apparel Council (CNTAC), have become the backbone of the industry's success. The CNTAC has now set up a network of 210 textile clusters, integrating more than 200,000 businesses. This network includes ten clusters that generate an annual industrial output value exceeding $10 billion, and 100 clusters worth more than $1 billion each.
Clusters transforming textile sector
These clusters have played a pivotal role in driving the growth and transformation of China's textile and apparel sector. They have fostered collaboration, innovation, and efficiency, allowing businesses to leverage shared resources, knowledge, and infrastructure. The benefits of clustering are manifold:
Economies of scale: Clustering enables businesses to achieve economies of scale, reducing costs and improving competitiveness. It helps to pool resources, share infrastructure, and benefit from specialized suppliers and services, leading to reduced costs and increased productivity.
Enhanced efficiency: The proximity of suppliers, manufacturers, and service providers within clusters streamlines operations, leading to enhanced efficiency and faster time-to-market.
Innovation and knowledge sharing: Clusters create a fertile ground for innovation and knowledge sharing, facilitating the development and adoption of new technologies and practices.
Industry specialization: Many clusters focus on specific sectors within the textile and apparel industry, fostering specialization and expertise. By working together, businesses in clusters can implement and adhere to higher quality and environmental standards, enhancing the industry's reputation and competitiveness.
Sectoral focus enhances growth
The clustering concept in China's textile industry is rooted in the idea of creating geographically concentrated networks of interconnected businesses. This approach offers several strategic advantages. For one, they enable businesses to compete more effectively in global markets by leveraging collective strengths and addressing common challenges. And promote environmentally responsible practices through resource sharing and the adoption of cleaner technologies. By creating jobs and generating economic activity, clusters contribute to the development of surrounding communities.
China's textile clusters are often developed with a sectoral focus, catering to specific segments of the industry such as spinning, weaving, dyeing, printing, and garment manufacturing. This specialization allows clusters to build expertise and achieve excellence in their chosen fields.
For example, the Shaoxing cluster renowned for textile manufacturing and trade generates an annual output value exceeding $20 billion. It boasts of a complete industrial chain, from yarn production to garment manufacturing and export. Similarly, Shishi Clothing City focuses on the garment industry, with over 10,000 businesses involved in design, production, and sales. It's known for its fast fashion and e-commerce capabilities. The Wujiang silk cluster specializes in silk production and processing, this cluster has become a global leader in high-quality silk fabrics. It is home to numerous silk mills, weaving factories, and design studios.
Overall clusters have played a pivotal role in propelling China's textile and apparel industry to global prominence. By fostering collaboration, innovation, and efficiency, they have enabled businesses to thrive in a competitive global market. As the industry continues to evolve, clusters are poised to remain a key driver of growth and transformation, ensuring China's continued leadership in the global textile landscape.
China National Textile and Apparel Council (CNTAC) will organise the 7th World Textile Merchandising Conference in Keqiao, Zhejiang from Oct 23-26, 2024.
Based on the theme, ‘Fashion Vision, New Quality Future,’ the conference will focus on the significance and key pathways for new quality productive forces to empower the global textile industry. It will also offer insights into the future of the global textile sector.
Sun Ruizhe, President, CNTAC, says, a strong force driving global industrial cooperation, the textile and apparel industry in China registered exports worth over $300 billion annually for four consecutive with their contribution to global textile and apparel exports exceeding 50 per cent.
As per the organisers, this year's conference will serve as a bridge between the industrial innovation hub and the international exchange platform, fostering innovation and collaboration. It will promote the global textile industry's development towards high-end, intelligent, green, and integrated innovation.
By empowering the modern international textile city with new quality productive forces, the conference will showcase Keqiao's textile industry cluster, highlighting its technological innovation and green competitiveness to the world, add the organisers.
In July 2024, earnings from Bangladesh's apparel exports grew by 2.88 per cent to $3.18 billion compared to $3 billion in July 2023, as per data from the Bangladesh Bank.
Earnings from export of woven products increased by 3.9 per cent to $1.44 billion, while earnigs from knitwear exports rose by 2 per cent to $1.72 billion. Abdullah Hill Rakib, Acting President, Bangladesh Garment Manufacturers and Exporters Association (BGMEA), avers, this growth provides a promising start to the fiscal year. However, the recent labor unrest, which disrupted production for over 20 days in Savar and Ashulia, has led to a significant rise in production costs, he adds.
Echoeing Rakib’s concerns, Fazle Shamim Ehsan, Executive President, Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), notes, labor unrest and political instability are making buyers hesitant, potentially hindering work orders for the next season.
Describing the export growth in July as sluggish Khondkar Golam Moazzem, Research Director Center for Policy Dialogue, emphasises, the industry needs to step up efforts to meet annual targets. He attributes the current slowdown to global factors such as high inflation in the US and Europe, which have weakened consumer purchasing power and reduced demand. Domestic challenges, including the weak law and order situation and ongoing labour unrest, are also impacting production, Moazzam points out.
The industry needs to introduce a swift resolution to these issues, failing which it may not be able to achieve the targeted double-digit export growth, he warns.
The Netherlands-based Sustainable Trade Initiative (IDH) has signed an MoU with Vietnam’s Energy Efficiency and Sustainable Development Department of the Ministry of Industry and Trade (MoIT) to support the sustainable development of the country’s textile and footwear industry. This agreement formalises the collaboration between MoIT, IDH, and other key associations within the textile and footwear sectors to implement initiatives and activities that prioritise sustainability.
Despite significant contributions to Vietnam’s economy, the domestic textile and footwear industry faces challenges related to resource and energy use, environmental pollution, and greenhouse gas emissions, says Nguyen Thi Lam Giang, Director of the department. These issues create competitive pressures for the industry, she adds.
The MoU aims to promote sustainable development models, expand markets for eco-friendly products, and enhance the competitiveness of Vietnam’s textile and footwear enterprises. This collaboration will also help advance the country's international commitments to sustainable development and climate change.
For the first time, Milan's iconic La Scala Theater spotlighted a dye made solely from textile scraps. On September 22, 2024, Officina39 showcased its innovation at the Sustainable Fashion Awards organized by Camera Nazionale della Moda Italiana (CNMI). Though not winning, the company reached the finals for the Groundbreaking Award with its Recycrom, a patented dye made from 100 per cent recycled textiles.
Founded in 1992, Officina39 specializes in sustainable chemicals for the fashion and denim industries. Recycrom, launched six years ago, offers pigment powders from used clothing and textile scraps. These powders create uniform dyes applicable to a range of natural and synthetic fabrics through dyeing, printing, coating, or spraying.
Brands like Calvin Klein, Stella McCartney, H&M, Tommy Hilfiger, G-Star Row, have partnered with Officina39 to utilize this eco-friendly dye. In 2023, the company introduced Recycrom Ready to Dye, a stock of 15 colors made from at least 65 per cent recycled materials, enabling brands to select dyes from a standard palette.
Officina39 continues pushing innovation, blending passion, sustainability, and transparency in its mission to reduce the industry's environmental impact. The Sustainable Fashion Awards marked a significant milestone in this ongoing journey.
A global leader in supply chain solutions for consumer brands and retailers, Li & Fung has entered into a licensing partnership with contemporary apparel brand Sanctuary to produce and distribute a new range of women’s premium denims. Set to launch in February 2025, this debut collection will be available at specialty retailers, department stores, and on sanctuaryclothing.com, with nationwide wholesale distribution.
The brand’s partnership with Li & Fung will enable Sanctuary to significantly expand its denim category, blending modern lifestyle aesthetic with a commitment to sustainability. The new range will feature responsibly sourced cotton, recycled materials, and eco-friendly washes that minimise water and chemical use, aligning with Sanctuary’s environmental values. The collection will offer a range of styles, from core to fashion-forward designs.
The denim range will include a versatile assortment of perfect-fitting jeans in various cuts, such as skinny, crop, straight, bootcut, slim wide, wide, and barrel styles. It will also offer denim shorts in a range of cuts with 5” and 6.25” inseams alongwith A-line denim skirts, boyfriend jackets, and boxy fit jackets. Washes in this collection will range from white to light, medium, dark, and black colorways.
Deb Polanco, Co-Founder and Chief Creative Officer, Sanctuary, says. Li & Fung’s expertise helps the brand to respond to growing consumer demand for denim apparels, while staying true to its DNA and sustainability mission.
A trusted partner for top brands for over 25 years, Li & Fung specialises in creating collections from concept to delivery. Now expanding its licensing division, Li & Fung is partnering with national brands across various categories and price points. The collaboration with Sanctuary will diversify the brand’s denim offerings and expand its reach.
The International Cotton Advisory Committee (ICAC) began its 82nd Plenary Meeting in Tashkent, Uzbekistan, with representatives from across the cotton textile value chain. Ibrokhim Y Abdurakhmonov, Uzbekistan’s Minister of Agriculture, opened the event, followed by HEM Ambassador Aly Toure, Chair of the ICAC Standing Committee, who commended the Organizing Committee for its efforts and highlighted work to engage new members, especially from Africa.
Ambassador Toure also noted ICAC’s assistance to Benin for hosting World Cotton Day on October 7, 2024, marking the first time the event will be held in the Global South.
ICAC Executive Director Eric Trachtenberg addressed challenges in the cotton industry, such as price fluctuations and climate change, but expressed optimism about cotton’s role in poverty reduction, women’s empowerment, and sustainability. He committed to enhancing ICAC’s work in data production, public engagement, and cotton agriculture development.
The conference recognized two ICAC Researcher of the Year awardees: David Fang from the USDA and Keerti Rathore from Texas A&M University.
Updates were also given by heads of ICAC’s Panels and Committees, including the Private Sector Advisory Council and the International Cotton Researchers Association. The event, themed ‘Global Partnerships to Promote Innovation in the Cotton and Textile Value Chains,’ runs from September 30 to October 3, 2024, and concludes with technical tours of Uzbekistan's cotton and textile industries.
For the fourth consecutive year, overseas shipments of baby clothing and accessories (excluding knitted or crocheted items) by Poland increased by 2.7 per cent to 2.7,000 tons in 2023. In terms of value, exports of baby clothing by Poland expanded to $107 million in 2023, as per estimates by IndexBox.
Germany was the leading destination for Poland’s baby clothes exports, receiving 42 per cent or 1.1000 tons of the total export volume. Exports to Germany were more than triple those to the Netherlands, the second-largest destination (377 tons). Romania held the third position with 143 tons, accounting for 5.4 per cent of the total share.
From 2013 to 2023, Poland’s exports of baby clothing to Germany grew at an average annual rate of 16.7 per cent. Exports to Netherlands grew at a higher rate of 23.1 per cent annually, while exports to Romania increased by 16.1 per cent annually.
In value terms, Germany remained Poland’s key foreign market for baby clothing and accessories (not knitted or crocheted), with exports worth $45 million, representing 42 per cent of the total. The Netherlands ranked second with $16 million (15 per cent of total exports), followed by Belgium with $4.8 million.
From 2013 to 2023, the value of baby clothing exports by Poland to Germany grew at an annual rate of 13.5 per cent. Exports to the Netherlands increased by 20.3 per cent per year, while Belgium saw the most rapid growth in export value, rising by an impressive 51.2 per cent annually.
Wool Month 2024 kicks off with more activities than ever before, aiming to increase consumer awareness and demand for British wool. With events starting in September and running into November, the campaign has grown significantly.
Graham Clark, Marketing Director at British Wool, highlighted the growing popularity of Wool Month, noting the crucial role of social media in reaching new consumers and promoting British wool products.
Yarndale, the first event, catered to knitters and featured a ‘wool trail’ and wool grading demonstration, showcasing the versatility of British wool. Additional initiatives include Shaun the Sheep-themed displays in carpet stores, a press campaign led by Patrick Grant focusing on consumer habits, and fast fashion solutions through British wool.
Events also span from a celebration at the Welsh Wool Museum to partnerships with brands like Navy Grey and Walker Slater in London. A major highlight is a roundtable at Central Saint Martins, University of the Arts London, discussing British wool’s role in sustainability, involving both high fashion brands and students.
This year’s campaign is designed to drive consumer engagement and demand, continuing to elevate the reputation of British wool.
