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India has officially formalized its participation in the BRICS Centre for Industrial Competencies (BCIC), a strategic move designed to modernize the nation’s textile and apparel manufacturing base. By signing a Trust Fund Agreement with the United Nations Industrial Development Organization (UNIDO) on February 4, 2026, the Department for Promotion of Industry and Internal Trade (DPIIT) has established a direct pipeline for technical exchange. This partnership arrives as the Indian textile sector, which contributes 2.3 per cent to national GDP and 12 per cent to export earnings, seeks to counter competition from regional peers through advanced automation and digital engineering.
National Productivity Council to spearhead apparel cluster upgrades
The National Productivity Council (NPC) has been designated as the domestic nodal agency to lead this technological transition. Under the BCIC framework, apparel clusters in Tier II and Tier III cities will gain access to ‘Factory of the Future’ methodologies, focusing on smart manufacturing and resource efficiency. This initiative dovetails with the recently announced Union Budget 2026-27, which allocated Rs 10,000 crore to an SME Growth Fund. By leveraging UNIDO’s technical oversight, Indian exporters aim to meet the stringent ESG (Environmental, Social, and Governance) and circularity standards currently being implemented in major European and North American markets.
Strategic supply chain resilience across BRICS networks
This membership provides Indian MSMEs - which employ over 45 million people - with a collaborative technology marketplace to share best practices with Brazil, Russia, China, and South Africa. As global brands seek to diversify production away from high-risk corridors, the BCIC framework offers a platform for Indian firms to integrate into more resilient, cross-border value chains. Industry leaders anticipate that the adoption of Industry 4.0 will stabilize input costs and improve manufacturing margins, which have faced pressure from volatile raw material prices and shifting global demand.
The NPC is an autonomous organization under the DPIIT, Ministry of Commerce & Industry, dedicated to enhancing India's industrial competitiveness. It provides consultancy and training in lean manufacturing, energy management, and digital transformation. The NPC is currently expanding its footprint into technical textile clusters to support India's Vision 2030 export goals of $250 billion.
The ratification of the 2026 India-US trade agreement has fundamentally altered the competitive landscape for Odisha’s textile and garment manufacturers. By reducing reciprocal tariffs from a peak of nearly 50 per cent down to a streamlined 18 per cent, the deal effectively positions Indian goods at a more favorable rate than regional peers such as Vietnam and Bangladesh, which currently face duties exceeding 20 per cent. This fiscal de-escalation is a strategic victory for Odisha’s ‘Field to Fashion’ initiative, which aims to integrate the state’s annual production of 6 lakh bales of high-quality long-staple cotton with local processing units. Historically, limited domestic ginning capacity forced raw cotton exports to other states, but the state government is now capitalizing on this trade window by establishing new textile mills in the cotton-rich belts of Bolangir, Kalahandi, and Sonepur.
This policy shift is supported by a significant capital influx, with Odisha TEX 2025 having already secured investment proposals worth Rs 7,808 crore. Industrial leaders, including Aditya Birla Group and Shahi Exports, are expanding their footprints in clusters like the Chhatbar Apparel Park. To further secure these investments, Chief Minister Mohan Charan Majhi announced an increase in monthly employment subsidies to Rs 7,000 for female workers. This infrastructure-led growth, combined with reduced US import barriers, is expected to accelerate the state's mission to achieve Rs 3.5 lakh crore in total exports by 2027 while elevating traditional handlooms like Sambalpuri Ikat into high-value American fashion segments.
Odisha’s textile department manages the state’s apparel and technical textile policies, focusing on the entire value chain from ginning to high-end garmenting. It targets the US and EU as primary markets for its sustainable handlooms and ready-made garments. Growth plans include creating 1 lakh jobs by 2030 through specialized textile parks and increased worker subsidies.
The ratification of the 2026 India-US trade agreement has fundamentally altered the competitive landscape for Odisha’s textile and garment manufacturers. By reducing reciprocal tariffs from a peak of nearly 50 per cent down to a streamlined 18 per cent, the deal effectively positions Indian goods at a more favorable rate than regional peers such as Vietnam and Bangladesh, which currently face duties exceeding 20 per cent. This fiscal de-escalation is a strategic victory for Odisha’s ‘Field to Fashion’ initiative, which aims to integrate the state’s annual production of 6 lakh bales of high-quality long-staple cotton with local processing units. Historically, limited domestic ginning capacity forced raw cotton exports to other states, but the state government is now capitalizing on this trade window by establishing new textile mills in the cotton-rich belts of Bolangir, Kalahandi, and Sonepur.
This policy shift is supported by a significant capital influx, with Odisha TEX 2025 having already secured investment proposals worth Rs 7,808 crore. Industrial leaders, including Aditya Birla Group and Shahi Exports, are expanding their footprints in clusters like the Chhatbar Apparel Park. To further secure these investments, Chief Minister Mohan Charan Majhi announced an increase in monthly employment subsidies to Rs 7,000 for female workers. This infrastructure-led growth, combined with reduced US import barriers, is expected to accelerate the state's mission to achieve Rs 3.5 lakh crore in total exports by 2027 while elevating traditional handlooms like Sambalpuri Ikat into high-value American fashion segments.
Odisha’s textile department manages the state’s apparel and technical textile policies, focusing on the entire value chain from ginning to high-end garmenting. It targets the US and EU as primary markets for its sustainable handlooms and ready-made garments. Growth plans include creating 1 lakh jobs by 2030 through specialized textile parks and increased worker subsidies.
Coterie New York is set to return to the Javits Center from February 24–26, 2026, marking a significant evolution in the wholesale trade model through a landmark partnership with the digital platform Joor. This collaboration extends the traditional three-day event into an eight-week digital window, allowing global retailers to engage with collections two weeks prior to the physical showcase and finalize orders for six weeks following. This hybrid approach addresses the retail sector's demand for greater flexibility and ‘accelerated transactions,’ providing a critical bridge for contemporary brands from Italy, Korea, Turkey, and Brazil to maintain visibility in a competitive international market.
Curated sustainability and the rise of ‘Apres Ski’ circularity
Reflecting a shift toward circular fashion, this season introduces a sustainable dimension to the popular ‘Apres Ski’ neighborhood. In partnership with Normal NYC, the event will feature curated, upcycled vintage collections, offering a cash-and-carry option for on-site acquisitions. This initiative highlights the growing commercial viability of high-end vintage in the advanced contemporary space. Designers are responding to a sophisticated consumer palette for Fall/Winter 2026-27, showcasing sculptural silhouettes that blend silk with technical fabrics and refined neutrals. Notable returnees, including French Connection, Dolce Vita, and Mavi, are leveraging these trends to capture market share as domestic retail inventories stabilize.
Fostering equity through targeted designer incubators
Central to the 2026 edition is the expansion of Informa’s Incubator Program, which provides a dedicated platform for emerging Black-owned brands such as Yesaet and Nia Thomas. By offering complimentary participation, mentorship, and editorial exposure, Coterie is actively lowering the high barriers to entry for minority-owned enterprises. With over 1,000 brands and an estimated 134,000 industry attendees expected across the Javits floor, the event remains a vital economic engine, connecting niche designers with elite global buyers and media to drive long-term commercial growth.
Coterie is the premier global platform for women's contemporary to advanced contemporary apparel, footwear, and accessories. Owned by Informa Markets, it serves the North American and international wholesale sectors through biannual New York events. The group's growth plans focus on digital-physical integration and diversity initiatives to maintain its 40-year legacy as fashion’s most influential business hub.
A landmark study by the American Apparel & Footwear Association (AAFA) and quality provider Intertek has exposed a severe public health crisis within the fashion supply chain. Released in February 2026, the ‘Unboxing Fake Fashion’ report reveals, 41 per cent of counterfeit apparel, footwear, and accessories failed rigorous safety standards. The findings are particularly alarming for the textile sector: one tested product contained diethyl phthalate (DEP) at 327,000 parts per million - exceeding regulatory limits by a staggering 650 times. These results arrive as illicit traders gear up for high-demand windows, including the 2026 Winter Olympics and FIFA World Cup, where fan merchandise is frequently targeted by sophisticated ‘super-fake’ networks.
Marketplaces face heightened scrutiny over ‘Digital Devalue Chains’
The report identifies a systemic failure in digital oversight, noting, 25 per cent of the hazardous failed products were marketed or purchased via the Meta platform. This has prompted the AAFA to formally nominate Meta, Shopee, and Alibaba for the US Government’s Notorious Markets List. Beyond brand protection, the crisis is now framed as a ‘Digital Devalue Chain’ where unregulated third-party marketplaces facilitate the trafficking of PFAS, formaldehyde, and heavy metals. Industry leaders are pivoting toward more aggressive policy advocacy, urging the enactment of stricter liability laws for e-commerce platforms to shield consumers from what Steve Lamar, CEO, AAFA characterizes as a direct threat to national health.
Economic erosion and sustainable supply chain disruption
The proliferation of toxic counterfeits does more than endanger users; it destabilizes the legitimate textile economy, which already faces a projected loss of $1.89 trillion to piracy by 2030. These illicit goods undermine ‘circular economy’ initiatives, as consumers increasingly fear purchasing second-hand luxury items that may be contaminated with restricted substances. While legitimate brands invest millions in ESG compliance and non-toxic dyes, counterfeiters leverage a ‘completely unfair advantage’ by operating outside legal frameworks. This disparity not only stifles innovation but also threatens global employment, with estimates suggesting that millions of legitimate manufacturing jobs remain at risk due to the flooding of substandard, hazardous apparel.
The American Apparel & Footwear Association (AAFA) is the premier national trade association representing over 1,000 world-famous brands. It manages the industry’s Restricted Substances List (RSL) and advocates for global supply chain integrity. Its 2026 growth plans focus on strengthening digital trade laws and expanding consumer safety education across North American and European markets.
Next is overhauling its brick-and-mortar strategy, with its upcoming York store opening tracking significantly ahead of schedule. The retailer is moving away from traditional slow-burn merchandising, instead deploying a high-precision strike team of regional leads to condense the setup phase. This operational speed is backed by a new technical blueprint designed to bridge the gap between physical browsing and digital fulfillment. By integrating a dedicated stock-to-parcel hub directly within the store footprint, Next is positioning the York site as a dual-purpose asset: a premium showroom and a high-speed distribution node.
Precision merchandising and logistics integration
The York project serves as a live case study in clinical operational efficiency. Beyond the visual standards of the sales floor, the site is being built to handle instant customer service requests through a streamlined stock management system. This shift addresses a critical retail pain point: the friction between back-of-house inventory and front-of-house availability. Data from recent retail sector reports suggests that stores utilizing integrated hub models see a marked increase in full-price sales density, as stock turns over faster and local click-and-collect windows shrink. By treating merchandise with a ‘clinical level of care,’ Next aims to eliminate the traditional ‘opening week chaos,’ ensuring the brand’s premium apparel and home lines are presented without the typical logistical lag.
Scaling the omni-channel blueprint
The York expansion reflects a broader trend where major retailers are reinvesting in ‘super-hubs’ to combat rising logistics costs. This move places Next at the forefront of the retail recovery, demonstrating how localized management autonomy can accelerate large-scale rollouts. While competitors struggle with inventory bloat, Next’s aggressive merchandising timeline suggests a lean, data-driven approach to stock allocation. If successful, this high-velocity model will likely become the standard for the company’s future UK footprint, turning physical stores into the most efficient link in their global supply chain.
Operational pedigree and market dominance
Founded in 1864 as a tailor and transformed into a modern retail powerhouse in the 1980s, Next PLC operates over 500 stores across the UK and Eire alongside a massive global online presence. The Group consistently outperforms the high street, recently raising its annual profit guidance toward the £1 billion mark. With a focus on expanding its third-party "Total Platform" and acquiring stakes in premium brands, Next is evolving into a diversified retail conglomerate. Their strategy prioritizes digital infrastructure and prime physical locations to maintain a dominant share of the UK’s fashion and home markets.
Marks & Spencer (M&S) has officially inaugurated its new 83,000 sq ft flagship at Southgate, Bath, marking a pivotal moment in the retailer's ‘Reshape for Growth’ strategy. Opening its doors on February 4, 2026, the four-storey site replaces the legacy Stall Street branch, representing a massive scale-up in the city’s retail infrastructure. The launch follows a year where M&S reported a 15-year profit high, fueled by a disciplined rotation of its estate away from aging high-street units toward high-productivity flagship formats.
Precision planning and operational scale
Led by a dedicated Store Launch project team, the relocation required months of stakeholder engagement and technical planning to transition over 60,000 sq ft of selling space dedicated to Fashion, Home, and Beauty. This flagship model is the blueprint for M&S’s future; the company is currently investing £300 million annually to renew its estate, targeting a lean footprint of 180 full-line stores by 2028. The Bath Southgate site features an expansive 14,000 sq ft ‘market-style’ Foodhall and a 1,600 sq ft Beauty Hall, housing third-party brands like Clinique and Estée Lauder to drive cross-category footfall.
Capital allocation and market performance
M&S is navigating a complex retail landscape where Fashion, Home, and Beauty sales recently saw a 3.5 per cent uptick, reaching £4.2 billion in FY25. By concentrating inventory in premium regional hubs like Southgate - which is now fully let following this opening - M&S aims to achieve a 10 per cent operating margin in its clothing division. These showstopping stores are delivering a two-year return on net capital, noted Sacha Berendji, Operations Director. The Bath opening created 40 new jobs and anchors a 2026 pipeline that includes 20 new or renewed stores across the UK.
Marks & Spencer is a leading British retailer specializing in high-quality food, fashion, and home products. With FY25 group revenue climbing to £13.91 billion, the brand is currently rotating its 1,000-store estate to prioritize ‘bigger, better’ full-line flagships. Founded in 1884, M&S now targets a 50 per cent e-commerce share for clothing by 2028.
Burlington Stores, Inc has initiated a major operational realignment as it enters the 2026 fiscal year, prioritizing high-efficiency store formats and localized leadership to sustain its aggressive growth trajectory. Following a year that saw the brand surpass its 1,200-location milestone, the company is now scaling its physical footprint with a target of 110 net new stores in 2026. This expansion is increasingly fueled by opportunistic real estate acquisitions, including 45 prime leases secured from recent retail bankruptcies, positioning the off-price giant to capture greater market share in the $300 billion value retail sector.
Asset protection and operational hand-offs
To support this rapid scaling, the company is implementing a regional ‘realignment’ strategy, transitioning store management to specialized field leaders to ensure operational stability. This month, Burlington’s asset protection leadership officially completed the transfer of key Southern California locations, including Cerritos and Seal Beach, to new district teams. This structural shift is designed to mitigate ‘shrink’ and operational overheads as the brand integrates smaller, 25,000-square-foot high-productivity models into its fleet, departing from the larger, legacy warehouse formats.
Capital investment and margin optimization
The retailer is backing its 2026 vision with $950 million in planned capital expenditure, focusing heavily on a ‘2.0 Store Experience’ refresh - a program already over 50 per cent complete. By optimizing store layouts and investing in automated distribution centers, such as the new facility in Savannah, Georgia, Burlington achieved an adjusted EBIT margin of 6.2 per cent in its most recent quarter. These adjustments are essential to ensure strong operational support and continued success, noted Jason Parsons, Asset Protection Leader, highlighting the brand's focus on maintaining profitability amidst a 7 per cent projected rise in total sales for the upcoming year.
Burlington is a Fortune 500 off-price retailer specializing in branded apparel, home goods, and beauty at up to 60 per cent discounts. Operating over 1,211 stores, the New Jersey-based company is pursuing a long-term goal of 2,000 locations. With FY2025 revenue reaching approximately $11.2 billion, Burlington continues to outperform legacy peers through aggressive real estate plays and a transition to more efficient, smaller-format retail hubs.
As indicated by the Lyst Inde for Q4, 2025, shoppers are prioritizing ‘safe heritage investments over seasonal experimentation. In a fiscal quarter defined by economic uncertainty and a sprawling ‘game of musical chairs’ among luxury creative directors, there is a decisive turn toward stability. For the second consecutive quarter, Saint Laurent secured the #1 position, followed closely by Miu Miu.
While the industry buzzed with debuts at Dior and Chanel, consumer demand increased by 4 per cent for Saint Laurent's sharp, consistent aesthetic. This ‘wait and see’ attitude suggests that high-fashion recalibrations have yet to convert into meaningful retail traffic, leaving the podium to brands that double down on their established design codes.
The ‘Borecore’ growth and the high street elite
The most disruptive data point of the quarter is the continued dominance of high-street major COS, which retained the #3 spot with a 60 per cent rise in demand. This trend was further bolstered by Massimo Dutti’s debut in the elite Top 20 (ranking 16th), with searches for its puffer jacket - this quarter’s second-hottest product - skyrocketing by 347 per cent. Lyst analysts have identified this shift as ‘Borecore,’ a move toward ultra-functional, modern classics like the Polo Ralph Lauren cable-knit quarter-zip, which became the world's hottest product with a 75 per cent spike in interest. From Burberry’s Nova check scarf (demand up 307 per cent) to Nike’s strategic re-entry into the Top 20 via its Skims collaboration, the data confirms that ‘emotional familiarity’ is currently the most valuable currency in global retail.
Lyst is a global fashion technology platform and shopping app utilized by over 200 million annual users to discover and purchase from 17,000 brands. The company’s ‘Lyst Index’ serves as the definitive industry benchmark, aggregating search volume, sales, and social media engagement. By bridging the gap between luxury houses and premium high-street retailers, Lyst provides real-time insights into consumer behavioral shifts across 150 countries.
Following a volatile second half of 2025, Bangladesh’s ready-made garment (RMG) sector initiated a critical recovery in January 2026, posting an 11.7 per cent M-o-M increase in export earnings. Total merchandise exports for the month increased to $4.41 billion, a sharp ascent from December’s $3.96 billion. This momentum is largely attributed to the clearance of shipment backlogs caused by previous domestic unrest and the stabilization of the ‘crawling peg’ exchange rate system, which has improved the working capital cycle for exporters. While the July–January period of FY26 still reflects a marginal 2.43 per cent Y-o-Y contraction due to global price compression, the January uptick signals a resilient return of buyer confidence as lead times normalize across the Dhaka-Chittagong industrial corridor.
LDC graduation and ‘Cotton-for-Garments’ trade diplomacy
The recovery coincides with high-stakes trade maneuvers as Bangladesh nears its November 2026 graduation from Least Developed Country (LDC) status. To mitigate the looming ‘tariff wall’ - which threatens to impose 12 per cent duties in the EU - Dhaka recently fast-tracked a landmark ‘Cotton-for-Garments’ agreement with the United States. Under this framework, Bangladesh secures reduced reciprocal tariffs in exchange for sourcing US raw cotton and man-made fibers. This strategic alignment is essential as the industry shifts toward synthetic and technical textiles, which now command nearly 37 per cent of the domestic manufacturing share. BGMEA representatives emphasize that while volume is returning, sustaining margins remains the primary challenge amidst a 65 per cent cumulative wage hike and rising energy costs that have sidelined nearly 400 smaller factories over the past year.
Bangladesh is the world's second-largest garment exporter, with the RMG sector accounting for 84 per cent of national export earnings and 10 per cent of GDP. Employing over 4 million workers, the industry is transitioning into a high-tech hub specializing in LEED-certified green manufacturing and man-made fiber (MMF) products. The sector aims for a $100 billion export target by 2030 through aggressive diversification into activewear and premium outerwear.
