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The trade war between the US and China is expected to benefit Pakistan’s textile sector. It has come as a boon to Pakistani textile exporters as despite poor crop quality and lower domestic cotton production, garment manufacturers are expected to benefit from lower prices of imported cotton.
Already, the domestic textile value add sector is enjoying a great run on the back of the currency depreciation and the resultant price competitiveness of Pakistani manufactured goods in the global market. On import side, increased cost of imported raw cotton due to higher dollar rates is expected to be more than offset by the lower commodity price in the global market.
The US is one of the largest producers of cotton and the imposition of tariffs is expected to put a downward pressure on its raw cotton exports. Already, cotton prices have declined by 75 cents per pound during last week’s future trading. The obvious beneficiaries of the supply glut are net importers such as Bangladesh, Turkey and Vietnam who continue to rely heavily on imported long staple cotton for higher thread count yarn. Exporters like India will also gain some benefit, as Chinese textile manufacturers look elsewhere for raw material.
The Seam a global commodities trading and agri-business software solutions provider, has formed the Cotton Technology Alliance in cooperation with the American Cotton Shippers Association, National Cotton Council and International Cotton Association. The organization held its first official meeting on June 26. The Association is focused on data standards, which will have a confident impact on all sectors of the cotton industry.
The Cotton Technology Alliance will offer a neutral forum allowing industry software experts to work together by describing, spreading and contributing to data standards, explore emerging technologies and communicate more closely around industry and regulatory changes.
Cargill, Dunavant, EWR, Louis Dreyfus Company, Mallory Group, PCCA, The Seam, Staplcotn, Three Rivers Cotton Systems, USDA AMS Cotton and Tobacco Program, and Wakefield Inspection Services are few of the initial member companies of the Alliance. The Alliance formation accords with The Seam’s recent website renovation, which features info on the company’s products ranging from custom software for agriculture and commodities trading to blockchain initiatives, as well as a broadcasting studio reporting on the latest trends within the industry.
The Seam was founded by leading global agribusinesses and specializes in software development for commodity trading and management systems. The company has leveraged its software and development expertise in agriculture to expand into other commodity segments.
The Sri Lanka Apparel Brands Association [SLABA] will once again organise SLABA Runway 2018, featuring top Sri Lankan apparel brands who will showcase their designs at a glitzy ramp extravaganza. The runway will be spearheaded by a dynamic committee, headed by Azam Habib, President SLABA, Tania Abeysundara, Chairman Organising Committee SLABA Runway 2018 and Shakir Hafiz, Treasurer, SLABA, ably assisted by the rest of the SLABA membership.
The SLABA membership has over 60 members including Reborn, EKKO, Emerald, Signature, Manzari , Trendy, Rough, Arista , LiCC Jeans, Rainco, JEZZA, Avirate, GFlock, Dmaxx, Aurora, Anationz, Perri Allen , Vantage , Uptown Kandy, Andre, etc. They will showcase their brands which have brought in valuable foreign exchange to the country whilst entrenching Sri Lanka in the minds of global apparel buyers as a destination renowned for the production of quality apparel.
SLABA operates as a facilitator in developing the apparel brands segment in Sri Lanka and the membership body. It works together closely with the government of Sri Lanka and non-government organisations such EDB, Chamber of Commerce, and JAFF to develop the industry as well as explore and access new markets.
HGH India 2018, India’s largest trade-show for home textiles, home décor, houseware and gifts – designed exclusively for the professional and trade visitors – presented latest trends in home fashion and lifestyle in Mumbai. Conceptualised and implemented by the internationally renowned design office Sahm + Permantier, the trends, under the title ‘Transition’,reflect the influence of social, lifestyle and technological changes in the Indian home products market in 2018 – 19.
The trends are derived from intense research on colours, materials and patterns as well as on changing consumer values, lifestyle, evolving technology and attitudes. These help manufacturers, brands, retailers and professionals in home business to connect their products and innovations to the aspirational Indian consumers. The Four Trends for 2018-19 are: So Funky at Home, Soft shades of Nature, Collector's Chamber, Smart Bohemians
The trends forecasted in ‘Transition’ are also compiled in a trend book. They will be physically manifested at a generously dimensioned special area in HGH India 2018 named the Trends Pavilion in Hall 1. The pavilion will have applicable designs and colours which can be replicated. The innovative and fashionable styles, textures and products used in the trends pavilion are sourced from exhibitors, who will showcase their products at the trade show, emphasising the utilitarian objective of the showcased trends.
HGH India 2018 is India’s largest trade show for home textiles, home décor, houseware and gifts. The next edition will be held at the Bombay Exhibition Centre from July 3-5, 2018. The trade show will house products from over 600 brands and manufacturers from 30 countries.It expects a footfall of 30,000 serious trade visitors from over 475 cities and towns across India..
For the fourth quarter Nike’s revenue increased 13 per cent. Diluted earnings per share rose 15 per cent. Gross margin increased 60 basis points to 44.7 per cent. Selling and administrative expense increased 17 per cent. Demand creation expense was up 25 per cent. Operating overhead expense increased 14 per cent.
The effective tax rate was 6.4 per cent, compared to 13.7 per cent for the same period last year. Net income increased 13 per cent. For the full year gross margin decreased 80 basis points to 43.8 per cent. Selling and administrative expense increased nine per cent. Demand creation expense was up seven per cent. Operating overhead expense rose ten per cent. The effective tax rate was 55.3 per cent, compared to 13.2 per cent in fiscal 2017. Net income decreased 54 per cent. Diluted earnings per share decreased 53 per cent.
Fueled by a complete digital transformation of the company end-to-end, this year set the foundation for Nike’s next wave of long-term, sustainable growth and profitability. US-based brand Nike is the world’s leading designer, marketer and distributor of authentic athletic footwear, apparel, equipment and accessories for a wide variety of sports and fitness activities. Subsidiary brands include Converse, which designs, markets and distributes athletic lifestyle footwear, apparel and accessories; and Hurley, which designs, markets and distributes surf and youth lifestyle footwear, apparel and accessories.
The Multi Commodity Exchange of India (MCX) has signed a MoU with Maharashtra to create a value chain with final market linkages for cotton farmers in Vidarbha. Special emphasis will be given to farmers’ training, education and awareness so that they can plan and produce quality crop that is marketable and benefit from the existing infrastructure of MCX.
MCX will partner with the agriculture department and other agencies to work closely with farmer producer organisations and help them connect to the MCX's organized market network for building their capabilities. The aim is to improve the lives of farmers in the Vidarbha region. MCX already has accredited warehouses in Yavatmal and Jalna and plans to provide delivery facilities in three or more new locations under the mission.
Commodity exchanges greatly influence a large section of society due to the trading of various agro commodities, base metals and bullion. The cotton futures market provides an efficient platform for farmers to move up the value chain and increase their realisations, use the MCX mechanism to deliver and/or hedge to get remunerative prices. This would support farmers in their upliftment and contribute to doubling their incomes by 2022.
The Multi Commodity Exchange, set up in 2003, is a platform for commodity traders that facilitates online trading, settlement and clearing of commodity futures transactions.
Interfilière Paris will be held from July 7 to 9. This is a tradeshow for the lingerie, swimwear and active wear industries and their suppliers. The show will also welcome 45 new exhibitors, including several international manufacturers.
This edition will bring in a variety of new specialists. This is why it focused on major names, which would be exhibiting for the first time. Last January, it showcased products by yarn manufacturers who weren't exhibiting, providing additional content for visitors.
Interfilière will also feature sections dedicated to industry trends and technology. The Forum Général section will present a range of seasonal colors for autumn/winter 2019-20 focused on pajamas, as there is a special emphasis on homeware in this edition of Interfilière. The Momenti di Passione section, dedicated to summer 2020, zooms in on athleisure and activewear and draws inspiration from the film Black Panther, featuring technical prototypes that combine design and new technology.
A new section called Cups, entirely dedicated to bra cups, will showcase innovations developed by cup manufacturers. Lectra, a specialist in industrial solutions, and design agencies will stage catwalk shows, workshops and talks on a range of subjects from big data to influencer marketing, sustainable development and Industry 4.0.
Indonesia’s exports of textile products from January to May 2018 rose 6.16 per cent while imports jumped 28.02 per cent. In the first quarter of 2018, exports of manufactured products grew only 3.2 per cent while imports jumped 23.5 per cent.
Textile and textile exports in the first quarter of 2010 rose 7.9 per cent while imports jumped 19.5 per cent. Imports of electronics, steel, pulp/paper, rubber products, footwear and furniture grew by 29.9 per cent, 33.9 per cent, 32.5 per cent, 82.1 per cent, 30 per cent and 46 per cent and other sectors experienced an average surge above 20 per cent.
The domestic market is flooded with imported products. The surge in imports is increasingly troubling producers, including textile producers. The trade deficit continues to affect the exchange rate. Sales in the upstream sector in May-June 2018 fell by 15 per cent. The utilization of fabrics by manufacturers is currently below 50 per cent so that all raw materials can be supplied by local producers.
In 2016, apparel exports from the Southeast Asian nation decreased 3.2 per cent due to several challenges including high logistics costs and gas and power tariffs being higher than other competitor countries’.
India may withdraw its decision to impose higher tariffs on US imports. Last week, India finally imposed higher tariff rates on 29 import items from the US, aimed at raking in $240 million worth of duties through higher tax up to 100 per cent. India’s list of tariffs targeted agro commodities such as apples, walnuts, and almonds, for which the US remains the largest source of inbound shipments.
India is also hopeful of securing exemption from the US on steel and aluminium tariffs, which had been imposed earlier by the US against all trade partners. The US may accede to the demands on exemption from tariffs as exports to the US in the category remain small.
Tariff hikes raise new trade barriers, make domestic manufacturing more attractive as the steep increases in customs duties make imports unaffordable. For agri products such as pulses, which have witnessed an increase from 30 per cent to 70 per cent, this would provide encouragement in increasing the cultivable area, on the back of good pulse production in recent years in India.
The price cost trend graph of hosiery products from Tirupur cluster reveal a raise on as many as 14 occasions since December 5, 2005. The products supplied from this cluster have cumulatively become costlier by 123 per cent, since the first collective decision of entire hosiery manufacturers to increase the prices in 2005.
Interestingly, prices were scaled down only once between December 5, 2005 and the latest decision taken a few days back by the South India Hosiery Manufacturers Association (SIHMA) to increase costs. The resolution to reduce prices on July 11, 2011, by 5 per cent was made due to a significant reduction in the cotton yarn prices during that period, even though the other costs like transportation and labour charges were going up. Prices increased the maximum number of times in 2010, when Tirupur cluster become dearer on four occasions with prices collectively going up 32 per cent.
