FW
The trade value between Vietnam and the European Union in the first half of this year has gained year-on-year growth of 9.05 per cent. Export value from Vietnam to the EU increased by 8.68 per cent and import value to Vietnam from the EU surged by 10.28 per cent.
Vietnam mainly exports traditional products to the EU, including textiles, garments, footwear, and coffee, in addition to seafood and computers. Imports are of machines, equipments, tools and pharmaceutical products, in addition to milk and milk products.
Over the past years, the trade relationship between Vietnam and the EU has gained rapidly and developed efficiently. The bilateral trade value increased ten times from 2000 to 2015. Of this, the export value from Vietnam to the EU surged 11 times while import value from the EU to Vietnam rose eight times.
Some other products that grew between five per cent and ten per cent a year in export value were plastic products, wood and wooden products, handbags, suitcases and umbrellas, apart from pepper and cashew.
Vietnam started exporting telephones and components to the EU in 2011, but the export value of those products in 2015 accounted for 75 per cent of its total national export value to EU.
A majority of business houses in the US consider Vietnam as a priority market in the ASEAN region for their business and investment expansion in 2017, according to the 2017 ASEAN Business Outlook Survey. According to the survey, US companies maintain a steady sense of optimism about growth and commercial opportunities in ASEAN. More than half or 53 per cent of respondents reported that ASEAN markets have become more important for their companies’ worldwide revenue over the last two years while 78 per cent executives projected profit increase in 2017. Meanwhile, close to half of the surveyed companies (49 per cent) expected to increase their ASEAN workforce by the end of 2016.
According to US businesses, Vietnam leads among ASEAN member states in attracting investment from American firms that intend to diversify their investments or businesses over the next two years from China into ASEAN.
Suryalakshmi Cotton’s net revenue has risen by 1.6 per cent. Profit before interest, depreciation and tax was at 15.3 per cent of net revenue, an increase of 9.8 per cent. Profit after tax and earnings per share rose by 11.8 per cent. The company’s exports in the first quarter of the current year were almost 20 per cent of net sales. It estimates revenue of Rs 850 crores to Rs 900 crores during the financial year 2016-17.
Suryalakshmi has a denim fabric manufacturing capacity of 40 million meters a year. The company has launched new variants from the Amravati spinning unit to be used in manufacturing high-end denim fabrics. It has a capacity of 25,000 spindles for the manufacture of high quality value added and fancy yarns like stretch, slub and Elitwist yarns.
Suryalakshmi Cotton is one of India’s leading integrated premium yarn-to-denim-to-garment manufacturing companies. It has become the Original Denim Manufacturer to leading global and domestic brands with a dominant market share in the premium denim sector.
With cutting-edge designs, the latest spinning technology and end-to-end manufacturing plants, Suryalakshmi creates the finest yarns, premium denims and garments for leading private labels, fashion brands and retail chains in 31 countries across the globe.
Singapore-based brand Kydra has crafted the perfect pair of multi-functional shorts for the urban athlete. Kydra Flex Shorts is a product that brings together the practical benefits of running tights and a casual pair of shorts. Every pair is engineered to provide the utmost comfort during high impact activities, be it running, ball sports, water sports or a heavy-lifting day at the gym. The shorts come with a tailored fit and a stylish look.
The shorts are made of a cutting-edge 160GSM polyester and elastane blend that is both anti-bacterial and sweat-wicking. Each pair is also fitted with an anti-bounce, zippered side pocket made from durable, ballistic mesh -- keeping one's phone or media player in place during a workout. Additional hidden back pockets ensure that smaller valuables are kept equally secure. In all there are five pockets.
Kydra was founded in 2015. The Kydra Flex Shorts is the brand’s first product line. The Flex Shorts are available in S, M, L and XL sizes and fit waistlines from 28 to 40 inches.
The shorts are supposed to be worn without underwear. They have inner tights shaped like boxer briefs, made of a nylon-lycra blend that has anti-bacterial properties.
With market analysts predicting cotton prices unlikely to fall until next season that starts in October, textile mills in Coimbatore are desperately taking measures to reduce production and raise prices of hosiery yarn. Though the Tamil Nadu government does not have a role to play in cotton pricing, officials of textile mills say reducing taxes as per their earlier demand will go a long way. Domestic cotton prices, especially the preferred Shankar-6 variety, have risen from Rs. 34,000 per candy (355 kgs of cotton) in April to Rs. 49,000 per candy by July-end.
As per India Ratings and Research, prices of cotton are unlikely to come down till October when the new season begins. As a result, textile mills in the state which account for 46 per cent of the spinning capacity in the country, preferred to bring down their production by 15 to 20 per cent, to curtail losses. The textile industry accepts that the state government cannot play a role in stabilising or bringing down cotton prices but feel they can take long- and short-term measures to help the industry tide over current crisis and prevent it in the future.
In his observation, Southern India Mills' Association (SIMA) chairman M Senthilkumar said that though the GST bill has been passed, at least till it is implemented, the state government can reduce its VAT (value added tax) on cotton cone yarn from 5 to 2 per cent to bring it on a par with the central sales tax.
The Rio de Janeiro Olympics are providing business bonanzas for Taiwanese footwear and apparel manufacturers. Feng Tay is a footwear contract manufacturer from Taiwan. It supplies basketball sneakers to Nike. For the quarter ended June, Feng Tay’s revenue grew 11.6 per cent while net profit surged nearly 44 per cent.
For the first half of 2016, Pou Chen’s revenue was up six per cent on the year. The company’s net profit rose 8.2 per cent. Pou Chen, which turns out shoes for such renowned brands as Nike, Adidas and New Balance, has logged year-on-year growth by more than 10 per cent.
Taiwan's biggest apparel maker, Eclat Textile, has seen demand pick up during the Olympics. Sales were otherwise tepid since the second half of last year due to the global economic slowdown. The clothing maker counts Nike and JC Penny among its customers. Eclat's revenue fell more than 10 per cent for the three months ended June. But its improving gross margin -- at 28 per cent last quarter -- may indicate a strong recovery in the second half.
However there are doubts whether the demand bump brought about by the Olympics will be long-lived. The question is whether these footwear or textile makers can supply higher-end and innovative products to stay competitive in the longer term.
The medical clothing market is set for significant growth. Growth in demand will be underpinned by a number of factors, including a continued rise in many parts of the world of chronic diseases and conditions such as diabetes, heart disease, cancer and respiratory disorders; ageing populations in many parts of the world; and an increase in the number of surgeries performed in key health care markets such as Europe and the US.
These factors are presenting significant challenges to public health authorities which must combat illness and disease in a manner which is cost effective. Indeed, the costs of providing health care continue to rise. As a result, preventing the spread of infection is of the utmost importance.
Advances in electronics, medical technology and textiles are enabling the development of high tech clothing. Such clothing has been shown to protect against infectious diseases, sense the state of the wearer's health, and help in the prevention, treatment and management of ill health.
Producers of nonwoven garments are likely to lead the way in development in this segment, given their strong position in medical protective wear.
Use of health monitoring garments can help reduce reliance on costly or heavily burdened health care systems.
India’s exports fell 6.84 per cent in July 2016 compared to July 2015. Exports have fallen across major sectors including textiles, petroleum products, engineering goods, electronic items, leather products, pharmaceuticals and agriculture produce.
Imports declined at a steeper rate of 19.03 per cent. Oil imports during July 2016 were 28 per cent lower than imports in the corresponding period last year. Imports of gold declined 63.65 per cent during the month compared to the same month last year while the fall in silver was sharper, at 80.34 per cent.
Exports for the period April to July 2016-17 were 3.62 per cent lower at 87 billion dollars compared with 90.27 billion dollars in the same period last year. Imports in the first four months of the fiscal at 113.99 billion dollars were 16.33 per cent lower than 136.25 billion dollars.
Trade deficit for April to July 2016-17 shrunk to 26.99 billion dollars compared with 45.98 billion dollars in the same period last fiscal. The trade deficit lowered to 7.76 billion dollars in July 2016 compared with 13 billion dollars in the same month last year. The decline in exports reflects the contraction in global trade. Global trade uncertainties are increasing.
Europe‘s leading curated shopping service Germany-based Outfittery has raised $22 million funding with backing from New York-based VC firm Octopus Ventures and U-Start Club, an Italian group which includes world renowned fashion families. The company wants to use the fresh capital to expand its leadership position within the European curated shopping market and also improve customer experience. Existing investors Northzone Capital, Highland Europe, Holtzbrinck Ventures and Mangrove Capital Partners have also joined the round.
Founded with the aim of revolutionising shopping experience for men in a world where clients are faced with too many options, Outfittery aims to create an individual and hassle-free shopping experience that is fun. The shopping service uses a combination of personal advice through stylists and technology in order to offer an individual service to every client. The new funds will mainly be invested in developing the products of the company and would be used for further growth.
As pioneers in curated shopping market, Outfittery, which was founded by Anna Alex and Julia Boesch in 2012, has now established itself with 400,000 clients in eight countries and is the market leader within curated shopping. The company will continue to pursue its vision of revolutionising the shopping experience for men with a combination of individual style advice, top service and the convenience of online shopping.
Outfittery makes it easier for men to shop for fashion online. Customers simply answer a few questions about their clothing style and sizes. The company’s stylists then personally contact them and put together individual outfits which are conveniently shipped to their homes. The customers keep whatever they like and send back the rest. Outfittery offers this innovative service free of charge. The company is currently active in Germany, Austria, Switzerland, the Netherlands, Belgium, Luxembourg, Sweden and Denmark.
The Amity School of Fashion Technology (ASFT), Noida, ranked among the top five fashion schools of India, organized an industry interaction to welcome the students of the 2016 batch recently. A galaxy of industry speakers from reputed fashion retail and brand companies and apparel export organizations, as well as fashion communication and fashion designing experts, were present. The topic of discussion was ‘Industry Expectations from Young Fashion Professionals’. Students interacted with industry speakers.
In his opening remarks, Pradeep Joshi, Director General, Amity Directorate of Applied Arts, Fine Arts, Performing Arts & Visual Arts spoke about the importance of textile and apparel sector in the Indian economy. He highlighted the growth potential of the fashion industry and the need for greater industry-academic partnership asking for continuous support and guidance from the industry.
Sanjeev Kingar, Customer Care Associate & Area Controller, Shoppers Stop stressed the need for students to learn from the basic level. He drew examples from his own career at companies like Raymond and Shoppers. Dheeraj Jha, MD, AS Fashions, emphasized that for a person who is focused and industrious, the sky is the limit for growth opportunities in the apparel and fashion industry. He said for a successful entrepreneur a basic knowledge of the production floor and shop floor is very important. Ridhi Arora, fashion designer and founder of the fashion label Ridhi Arora, underlined the various skills and knowledge levels that should be imbibed by budding designers of tomorrow in the ever evolving and constantly dynamic competitive environment.
ASFT offers professional education in the field of design, technology and management of the fashion, textile and apparel industry. Amity endeavors to create professionals who can understand the dynamics of the global business environment of the fashion and apparel industry in a post quota and liberalized textile economy.
