FW
To lead its turnaround efforts, Japanese investment fund Integral will acquire apparel company Itokin for an estimated 16.5 billion yen ($144 million). Itokin, the struggling Japanese apparel giant's decision to get help from investment fund Integral in its rehabilitation efforts came as the company faced the prospect of imminent insolvency.
According to the company sources, Integral will obtain new shares in Itokin via a private placement for 4.5 billion yen ($39.5 million) on Feb. 26 and gain 98 per cent in voting rights. The fund will appoint three directors to Itokin's board to oversee the operations.
Itokin bled red for four straight years through January 2015, due to slow restructuring operations. The company finally took action at the end of 2015, when concern grew that it may not be able to get through February, when it has to make many payments for spring items procured, according to sources.
Sixty readymade garment factories in Bangladesh, suppliers of European retailers and brands, have completed all remediation work suggested by the Accord on Fire and Building Safety and are waiting for the recognition from the European buyers’ platform.
According to senior officials from Accord, once the factories’ claim are verified, the names would be released. The Accord received information from approximately 60 factories in which all remediation items were completed but only two of them were verified and accordingly received recognition letters from the chief safety inspector of Accord, said a recent report on advisory board meeting of the platform. The two factories are Concord Fashion Export and Jeacon, both are housed in the same building at South Salna in Gazipur.
The two factories received the recognition on May 2015 nearly two years after the launch of Accord. The Accord steering committee decision on the remediation completion plan and associated allocation of additional resources, staff, and budget towards completion of remediation at the inspected factories were discussed in the advisory board.
According to the Accord update, it had decided to hire 39 additional engineers to increase the follow-up and verification inspections by Accord engineers to 16 teams in the field per day, visiting 32 factories per day.
Nigeria has set up a garment design center to create a pool of skilled personnel for employment in garment manufacturing; inculcate international best practices in apparel production; build capacity for entrepreneurs in apparel production thereby making the sector more competitive; and strengthen the existing sector for domestic production and export purposes. Nigeria is awash with creative talents in the fashion industry, whose designs can compete anywhere globally. However, there is a wide gap in production and finishing, which affects the marketability of garments made in Nigeria at the international market. The center is equipped with machines and facilities to enhance learning for skill development in the sector.
Nigeria has consistently participated in Magic Las Vegas, the world’s largest sourcing show for apparels and footwear. The event exposes the country’s designers to other international designers and helps them learn about international trade, the dynamics of the trade and the intricacies of exporting to America. The Nigerian fashion industry will use the center to brainstorm truly innovative concepts and execute them professionally and so participate more in the global market for garments, which is expected to reach a trillion dollars by 2020.
Taiwan’s sportswear and functional textile exports will get a boost with the Olympic Games in Rio de Janeiro, Brazil, in August this year. Nike is going to source water-free dyeing fabric for the Olympic games in Taiwan. Taiwanese textile mills might also get busy supplying Adidas before the Olympics, as during the 2014 FIFA World Cup in Brazil, all Adidas-sponsored teams wore sportswear made in Taiwan from recycled polyester.
The bulk of polyester orders would go the New Wide Group, a Taiwan manufacturer of knitted fabrics, who was awarded last year for supplying fabrics and garment to Adidas. There are between 20 and 25 Taiwanese textile mills capable of turning recycled PET bottles into fiber acceptable for high-quality filament. Demand for sportswear and functional textiles remains strong, even while orders for other textile categories are cut.
Formosa Taffeta is supplying water-free dyed fabrics to Nike for the Olympics. For this, Formosa Taffeta will be using Aquaoff supercritical Co2 technology, which can dissolve dyes, taking them to the surface of the fabric for dyeing, so that water and dyeing auxiliaries are not required.
Another company is supplying water-free dyed lightweight fabrics with stretch quality for shorts and windbreakers to Nike for the Olympics.
Japan’s economy shrank more than expected in the final quarter of last year. Consumer spending and exports slumped, adding to headaches for policymakers already wary of damage the financial market rout could inflict on a fragile recovery.
Gross domestic product contracted by an annualised 1.4 per cent in October-December. Exports to emerging markets are failing to gain enough momentum to make up for soft domestic demand.
Japan is the world’s third largest economy. Private consumption is especially weak. The economy is at a standstill. Private consumption, which makes up 60 per cent of GDP, fell 0.8 per cent.
With stimulus policies that give big manufacturers windfall profits, the country hopes to generate a positive cycle in which companies raise wages and help boost household spending. But the economy’s fundamentals remain strong. Capital expenditure rose 1.4 per cent. But it is doubtful whether the economy will gain momentum in coming months, with the recent market turbulence and slowing Chinese growth clouding the outlook for corporate profits.
Exports fell 0.9 per cent in October-December after rising 2.6 per cent in the previous quarter, underscoring the pinch companies are already feeling from soft emerging market demand. Domestic demand shaved 0.5 percentage point off GDP growth, while external demand – or net exports – added just 0.1 point.
Maharashtra has extended a capital subsidy to textile units that are self-financed. Earlier the subsidy was extended only to textile units that had taken bank loans. In addition, self-financed textile units in Vidarbha, Marathwada and North Maharashtra regions, which produce almost all of the state’s cotton, will also be eligible for 25 to 35 per cent capital grants from the state.
Maharashtra has come out with this policy to incentivise textile industrialists who are ready to put in their own money in their units. So far there were no incentives to take credit. The policy for self-finance makes sure that the promoter’s equity is raised. The initiative will give Maharashtra a competitive edge over other textile-heavy states like Tamil Nadu.
Meanwhile, 10 integrated textile parks are coming up in Maharashtra. These parks will be developed in Vidarbha, Marathwada and north Maharashtra, where cotton is produced. The targeted investment is Rs 40,000 crores in these parks which would generate more than 11 lakh jobs.
The state has reduced the premium on MIDC land to encourage investors to invest in these parks. One of these parks has come up at Nandgaon Peth in Amravati district in Vidarbha where Raymond Industries has signed an agreement for an investment of Rs 1,400 crores.
Pakistan’s textile sector is going through a crucial juncture. In the last year, 100 spinning factories and 500 ginning factories have closed down. The Trans-Pacific Partnership could give regional competitors such as Vietnam and Malaysia which are members advantages in trading with the US, Japan, Australia and other developed member countries.
The biggest threat to Pakistani textiles may come from Vietnam, which is the second largest textile exporter to the US and which will reap the benefits of reduced duties. The textile industry accounts for 60 per cent of Pakistan’s exports. Pakistan’s textile exports fell by nine per cent in the July-December period from a year ago. For the month of December, the decline was 12 per cent from a year ago. The textile industry in Pakistan wants a reduction in electricity tariff, refund on sales tax payments and a reduction of export taxes.
Yuan depreciation in the near term will aggravate the already depressed export situation in Pakistan, making Chinese exports cheap in the European Union and other regions. The textile sector in Pakistan needs to focus on innovation, do higher value addition in their products rather than exporting raw and semi-raw materials like cotton yarn and gray fabric.
Morarjee Textiles has ordered a fully automated production line from the German textile machinery manufacturer Zinser. Zinser makes ring spinning machines which can be used to produce all types of yarn, including short and long staple yarns, yarns made of natural or manmade fibers and blends.
Zinser is the only manufacturer to offer ring spinning machines for cotton and worsted spinning. The machines have triple added value in the energy, economics and ergonomics categories. The new ZinserRing 72 ring spinning machine can spin up to 25,000 rpm at all spindles. With up to 1920 spindles, the ZinserRing 72 produces yarn very economically. At a production capacity of 30,000 spindles, comprising roving frames, ring spinning and winding machines, production costs fall by nine per cent compared to machines with 1200 spindles.
Morarjee Textiles is a global leader in the production of very fine cotton fabrics. It operates in the premium segment. It spins over 1,000 tons of high grade cotton yarn annually. All of this yarn is processed in the company to create high quality fabrics and fashion garments for customers that include exclusive fashion houses in Europe and the US.
The first Zinser 72 machine to be manufactured in the new Zinser plant in India was ordered by Morarjee Textiles.
www.zinser.de/
"The fair exceeded all expectations. The show recorded a positive 6 per cent plus in visitor attendance. More international visitors came from the Netherlands, France, Spain and the US. Visitor attendance was also up from the Czech Republic, Poland and Switzerland. What was heartening was the positive response of small and medium producers to fashion innovations."
The 40th Munich Fabric Start witnessed significant rise in visitors with rise in international attendance. The fair saw a clear trend towards greater international presence both in terms of exhibitors and visitors. More than 950 suppliers presented over 1,500 collections for the 2017 Spring/Summer season.
Buyers focused on innovative products, sophisticated new developments and forward-looking high-tech and functional materials. Demand for more comfort and multi-functionality plus added value was visible across all product segments, from basics with a new finish to extremely lightweight wool materials with a coated reverse.
The fair exceeded all expectations. The show recorded a positive 6 per cent plus in visitor attendance. More international visitors came from the Netherlands, France, Spain and the US. Visitor attendance was also up from the Czech Republic, Poland and Switzerland. What was heartening was the positive response of small and medium producers to fashion innovations.
Bluezone and its changed concept
Boasting a surprising new design ‘The Bluezone’ and its changed stand concept met with a positive response from both exhibitors and visitors. Bluezone once again proved a resounding success. The quality of visitors was consistently high. Bluezone is about fine-tuning, new nuances and also about rounding off the collection with exciting novel items.
Oliver Hofmann of Bültel rates the altered Bluezone concept as positive: The look and feel of the Bluezone is very accomplished. The hall boasts of a beautiful entry and positively surprises visitors with its creative ranges. The new stand concept enhances the aspired business atmosphere very well; you can withdraw for concentrated work and yet meet for an exchange in the aisles.
Crowded Additionals
The growing international flair at Munich Fabric Start was underscored by attendance in the Additionals Halls, which were very busy on all three days of the trade fair. “In addition to high-caliber customers from Germany there were international contacts with business partners from Belgium, Holland, Denmark, Eastern Europe and Russia,” said Sven Oppermann, Union Knopf.
Design Studios
Creative hustle and bustle also prevailed at the re-staged Design Studios. In an open-plan and spacious workshop atmosphere 20 international design studios and trend offices showcased their latest developments in extraordinary prints, patterns and designs. Alex Hobley of Fusion CPH said, “We had a fantastic first day and the stream of visitors also remained quite stable on day two. Overall, the trade fair has exceeded our expectations. And the premises here have also convinced us 100 per cent.”
Alex Vogt of Kern Kommunikation said the conversations they had at the Eco Village went far beyond the theme of ecology. Visitors came with a purpose to work intensively with the fabrics on display. Serving as an additional attraction once again was the Organic Selection Trend Forums since they prove that sustainable fabrics have become mainstream. Experts representing certification bodies and associations on site were busy advising visitors. Discussions focused on topics like the availability of large quantities, questions on the stability of raw material prices and innovative material and print solutions,.
Trendworld Seminars
Presented by top-notch international speakers the Trend Seminars also met with great approval. Alongside the visionary and market-driven trend lectures presented by renowned trend experts, the lectures with a technical focus on innovative technologies as well as changed clothing habits and consumption were very convincing.
Furthermore, the elaborately designed Trend Areas and the Colour Forum in the foyer were used comprehensively as a basis for directional fabrics and colours. The overriding theme for all the elaborately staged fashion tableaux and stories was ‘Ageless’, the seasonal theme that doubles as an encouragement and challenge to re-define target groups, to go on a quest for new styles and part with conventions. Ageless reflects the longing for fashion that is detached from age, time and - occasionally also gender. The Trendworld already provided initial answers to this, demonstrating a new light-hearted approach to fashion based on a mix of fun, romanticism and relaxed chic.
In a nutshell, the fair organiser's concept met with strong approval. With the first presentation of the fabric collections for Spring Summer 2017 last December at the exclusive preview event ‘View,’ an informative basis for early collection planning had already been laid. This was complemented by three busy trade fair days which were largely used for final collection planning.
"Milano Unica XXII, Italian Textiles and Accessories Tradeshow witnessed two fold growth in exhibitors along with firm attendance. The recently concluded XXII edition of Milano Unica, Italian Textiles and Accessories Tradeshow, held from February 9-11 at Fieramilano city registered a significant overall increase, compared to the February 2015 edition in the number of firms that visited the Spring/Summer 2017 collections. Double digit growth witnessed for both Italian firms and foreign companies."
Milano Unica XXII, Italian Textiles and Accessories Tradeshow witnessed two fold growth in exhibitors along with firm attendance. The recently concluded XXII edition of Milano Unica, Italian Textiles and Accessories Tradeshow, held from February 9-11 at Fieramilano city registered a significant overall increase, compared to the February 2015 edition in the number of firms that visited the Spring/Summer 2017 collections. Double digit growth witnessed for both Italian firms and foreign companies.
This year’s event was preceded by an increase in number of exhibitors from 361 in last February to 371 this year. Foreign exhibitors totalled 72, in addition to 40 and 13 from the Japan and Korea Observatories, respectively. Therefore, the general total was 424, compared to 399 exhibitors recorded 12 months ago (+ 6 per cent).
Return of foreign firms
There was a significant and important comeback of Russian Federation as far as foreign firms are concerned. Double-digit increases also characterized European firms: Portugal (+33 per cent), Netherlands (+30 per cent), Great Britain (+27 per cent), Spain (+17 per cent), France (+15 per cent) and Germany (+14 per cent). Even the presence of U.S. firms grew (+4 per cent), while figures from Japan, Korea and Turkey remained stable. There was a significant drop in Chinese firms (-28 per cent), probably due to the Chinese new year holiday.
According to Ercole Botto Poala, President, Milano Unica, the XXII edition of the event was extraordinary for a number of reasons. First concerns an increase in the number of firms that visited our stands, which corresponded to general satisfaction among our exhibitors for the quality of business contacts made. Furthermore, he was delighted that it occurred during his period of presidency. “Even the idea of luxury should be updated to be synonymous with excellence, and not only exclusivity. Milano Unica will continue to be a tradeshow of excellence and creativity, presenting the finest of Italian invention to the world. Fashion begins with textiles and accessories, and Milano Unica will make it tangible, using modern-day instruments, from mood boards to social technology, communicating by means of emotions and sensations,” he says.
In September, Milano Unica teams up with Japan and Korea Observatories to launch ‘Origin Passion and Beliefs’, an exhibit dedicated to suppliers of fine quality semi-finished products ‘Made in Italy’, promoted by the Fair of Vicenza. Moreover, two days out of three, we will be in synergy with Lineapelle, the international tradeshow specializing in leathers, accessories, components, fabrics, synthetics and models. “This goes to prove that creating a network is not only through words but through facts,” says Poala.
Massimo Mosiello, General Manager of Milano Unica points out they are currently thinking about the IX edition of Milano Unica China (Shanghai, March from 16 to 18, 2016 and, above all, Milano Unica XXIII, scheduled for September 6-8, 2016, and will present Fall/Winter 2017-18 collections at the Rho-Pero headquarters of Fiera Milano. “As for Prima, scheduled for July 6-7, 2016, we have informed our exhibitors that we prefer Fieramilanocity, and will send confirmation as soon as we reach the number of exhibitors equivalent to the July 2015 edition”.
Glittering inaugural performance
The evening of the inauguration ceremony was characterized by a spectacular performance by Gloria Gaynor, disco music icon, accompanied by an 11 piece orchestra, who interpreted some of her greatest hits including “I Will Survive”, “I Am What I Am” and “Never Can Say Goodbye”. The evening began with a dialog between journalist Simone Marchetti and Ercole Botto Poala, President of Milano Unica. The topics included new trends of change and the project for the future Fair at the Rho-Pero headquarters, which will develop into a unique event, with a uniform layout and functional combinations to further facilitate fair visitors.
