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A leading fashion company specialising in designing, sourcing, and marketing apparel and accessories, G-III Apparel Group continues to navigate a challenging market with resilience and strategic initiatives.
In Q2 FY24, the company’s revenues declined by 2 per cent Y-o-Y to $644.8 million. However, its adjusted earnings per share (EPS) increased by $0.52 as against projections of $0.25. GII’s revenues in Q1 FY24 grew by 0.5 per cent totaling $609.7 million while its adjusted EPS increased by $0.12, prompting an upward revision of its full-year guidance.
The company’s growth is attributed to its focus on owned brands and new partnerships. Its owned brands, DKNY and Karl Lagerfeld, reported double-digit growth during the quarter, including a remarkable 50 per cent surge in North America. The relaunch of Donna Karan has further driven higher average unit retail (AUR) and improved sell-through rates.
The company has also signed a global licensing agreement with Converse for men’s and women’s apparel, set to launch in Fall 2025. This partnership is projected to generate $200 million in revenue, offering significant growth potential and enhancing G-III’s brand portfolio.
G-III is also expanding internationally by acquiring a 12 per cent stake in the All We Wear Group (AWWG), which it plans to grow to 20 per cent. This partnership aims to accelerate the expansion of key brands—Karl Lagerfeld, DKNY, and Donna Karan—in Spain, Portugal, and India.
Additionally, G-III plans to add over 2,500 new points of sale in department stores, further driving growth in the latter half of FY24. With a strong focus on optimising its portfolio and securing high-profile partnerships, G-III is positioning itself for sustained growth in a dynamic fashion market.
A Madrid-based producer of recycled cotton fiber, Recover aims to expand by launching a new manufacturing facility in Vietnam by early 2025.
To be located in the Dong Nai province, the state-of-the-art facility will leverage Recover’s advanced recycling technology to enhance fiber recovery in Vietnam, the world’s third-largest textile exporter.
Strategically selected for its proximity to textile waste sorting and manufacturing operations, the facility helps reduce logistics costs and environmental impact. It allows Recover to supply materials to major textile production markets with more efficiency.
Spanning across 14,000 sq m, the facility is scheduled to house two cutting-edge recycling lines with an annual production capacity of 10,000 tons. Additionally, it will feature a dedicated laboratory to ensure consistent product quality and drive continuous innovation in processes and materials.
The factory will also integrate RMix, Recover’s innovative solution for recycling cotton-polyester blends without separating fibers. This breakthrough technology addresses a long-standing challenge in poly cotton recycling and offers significant energy efficiency benefits, supporting more sustainable practices.
By introducing the company’s advanced technology in Vietnam, Recover not only enhances its service to customers by expanding its manufacturing facility but also makes a transformative shift towards circularity in Vietnam’s textile industry, says Anders Sjoblom, CEO.
A family-owned company with a 75-year legacy in textiles, Recover has been a pioneer of large-scale fiber recycling. Having established its second manufacturing facility in Bangladesh in 2022, the company continues to lead the way in sustainable textile solutions.
Chinese company, Bangladesh BaoRui Textile plans to set up a composite textile manufacturing facility in the Mongla Export Processing Zone (EPZ) with an investment of $19.53 million. To generate approximately 1,505 jobs for local Bangladeshi workers, the project aims to produce 10 million pounds of raw yarn, 6 million pounds of knitted fabric, and 1 million garment pieces annually.
Huang Hua, Managing Director, Bangladesh BaoRui Textile signed the investment agreement with Md Ashraful Kabir, Member-Investment Promotion Team, Bangladesh Export Processing Zones Authority (Bepza), during a ceremony held at the Bepza Complex in Dhaka.
Expressing an optimistic view of the project, Major General Abul Kalam Mohammad Ziaur Rahman, Executive Chairman, Bepza, highlighted Bepza’s dedication to creating a secure and supportive environment for investors.
Export earnings from Bangladesh's readymade garment (RMG) sector grew by 12.34 per cent Y-o-Y to $16.11 billion in the first five months spanning July-November’24. This led to the country’s overall exports growing by 11.76 per cent, according to the Export Promotion Bureau (EPB).
In November 2024, Bangladesh’s RMG exports increased by 16.25 per cent to $3.30 billion as against $2.84 billion in November 2023. The segment witnessed a monthly growth rate of 2.89 per cent in July, 7.20 per cent in August, 14.61 per cent in September, and 22.80 per cent in October.
Within RMG, the export earnings from the knitwear sector grew by 12.23 per cent to $8.94 billion, while earnings from the woven subsector increased by 12.48 per cent to $7.17 billion. Meanwhile, export earnings from the home textile sector grew by 5.03 per cent to $326.83 million.
According to Md Anowar Hossain, Vice Chairman, EPB, this growth in export earnings by Bangladesh is attributed to several factors including seasonal peaks in RMG shipments, clearing of backlog orders from August and September due to labor unrest, and increased demand during pre-holiday events such as Christmas, Black Friday, and Thanksgiving. End-of-year inventory management by buyers also supported the sector’s performance.
Commending the resilience of entrepreneurs and the dedication of workers, Hossain notes, most factories in the country are now operational despite earlier disruptions.
Fazlul Hoque, Former President, Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), points out, factors like an increasing demand in the EU and the US markets, along with shifts in orders due to the US-China trade war have led to buyers turning to Bangladesh for orders.
However, the nation may not be able to retain its export momentum due to challenges such as rising costs of doing business and labor unrest. A lack of law and order in the country may also hamper its export growth, he warns.
The 2023-24 season marks a remarkable milestone for Brazil's cotton industry, with production soaring to 17,089,252 bales. This achievement underscores the combined efforts of Brazilian cotton farmers, technological advancements, and sustainable practices that have collectively bolstered the industry's global reputation.
Quality as a cornerstone of success
Central to the 2023-24 achievement is the industry's rigorous quality assurance process. The Brazilian Association of Cotton Producers (ABRAPA) and the Brazilian Cotton Growers Association (CBRA) have highlighted the critical role played by High-Volume Instrument (HVI) labs. These facilities, equipped with 83 HVI machines across 12 classing labs, ensure that every bale of cotton produced meets international quality standards.
Key quality metrics, such as strength, length, and uniformity, have seen consistent improvement. For instance, fiber strength exceeding 28 g/tex improved from 75.34 per cent in 2022-23 to 76.53 per cent in 2023-24, while fiber length surpassing 1.11 inches increased to 60.89 per cent from 59.38 per cent. These enhancements reflect the sector's dedication to refining production techniques and investing in advanced technologies.
However, certain areas, such as micronaire (a measure of fiber fineness and maturity), saw a decline, with only 29.63 per cent falling within the optimal range, down from 50.17 per cent the previous year. This metric indicates potential challenges in balancing quality parameters while pursuing higher yields.
Table: Quality indicators of Brazilian cotton
|
Indicator |
2019/2020 |
2020/2021 |
2021/2022 |
2022/2023 |
2023/2024* |
|
Micronaire (3.50-4.90) |
46.99% |
56.59% |
54.91% |
50.17% |
29.63% |
|
Strength (>28 g/tex) |
74.23% |
75.19% |
75.47% |
75.34% |
76.53% |
|
Length (>1.11 inches) |
57.28% |
54.66% |
49.75% |
59.38% |
60.89% |
|
Uniformity (>80%) |
73.06% |
71.44% |
71.59% |
73.19% |
68.53% |
|
Short Fiber Index (<10%) |
58.34% |
60.38% |
51.67% |
56.11% |
58.90% |
|
Reflectance (>75%) |
61.85% |
45.02% |
53.21% |
57.48% |
68.48% |
|
Yellowness (<9) |
40.92% |
29.13% |
35.25% |
39.54% |
42.25% |
Sustainability at the forefront
Sustainability remains a hallmark of Brazil's cotton production. The Responsible Brazilian Cotton (ABR) program promotes environmentally sound practices, emphasizing reduced water use, minimized pesticide application, and conservation of biodiversity. By adhering to these principles, the Brazilian cotton industry not only ensures the ecological integrity of its operations but also addresses the growing global demand for ethically produced textiles.
The ‘Cotton Brazil’ campaign
Brazil's position as a leading cotton exporter owes much to strategic international marketing efforts. The 'Cotton Brazil' campaign leverages the country's reputation for high-quality, sustainably produced cotton to capture key markets. By showcasing traceability and eco-credentials, the campaign appeals to environmentally conscious brands and consumers, ensuring that Brazilian cotton remains competitive on the global stage.
Challenges and opportunities
While the 2023-24 season stands as a testament to the industry's resilience and progress, it also highlights areas for continued focus. Declines in some quality metrics, such as uniformity and micronaire, suggest the need for more precise agronomic practices and research to optimize fiber characteristics. Furthermore, as global textile markets increasingly demand traceable and sustainable fibers, Brazil's continued investment in sustainability and certification programs will be critical.
A vision for the future
The Brazilian cotton industry's achievements in 2023-24 are not merely about higher production numbers but represent a comprehensive effort to align quality, innovation, and sustainability. With its robust infrastructure, dedicated workforce, and strategic market positioning, Brazil is well-equipped to lead the global cotton industry into a future that prioritizes excellence and responsibility.
As Brazil continues to refine its practices and address challenges, its cotton industry stands as a model for other agricultural sectors worldwide, demonstrating how sustainable practices and technological innovation can drive both economic success and environmental stewardship.
Luxury is not merely about indulgence or high prices—it is a dynamic ecosystem shaped by economics, culture, and technology. Beyond the shining boutiques of LVMH, Gucci, or Chanel, lie two thriving parallel markets: the grey market and the secondhand market. These segments, while distinct, are interwoven, forming a complex network of supply, demand, and consumer behavior.
Luxury overview
As per Bain & Company in 2022 the global luxury market was worth $382 billion in 2022. At a CAGR of 6-8 per cent from 2022-2030 it is expected to be worth $540-$580 billion by 2030. At the core of the luxury ecosystem lies the global market, driven by heritage brands such as Hermès, Prada, and Cartier. These brands dominate with their focus on craftsmanship, storytelling, and exclusivity.
Most of the growth in the segment is being driven by aspirational spending. The rising middle class in emerging markets like China and India aspires to own symbols of status and achievement. On the other hand, high-end consumers value immersive brand experiences, from exclusive store launches to bespoke services. And conscious consumerism is pushing brands to adopt ethical sourcing and sustainable practices, appealing to environmentally aware buyers.
While inflation and geopolitical tensions present challenges, the global luxury market remains resilient, with digital transformation and market diversification. E-commerce, virtual shopping experiences and localization strategies are critical for brands to sustain growth.
Grey market’s threat
Even as the luxury segment continues to grow, the grey market in luxury an opaque frontier has been growing simultaneously. As per studies was worth $20-$30 billion in 2022-23, experts say it’s growing faster than the global luxury market but difficult to quantify due to its informal nature. The grey market, though often frowned upon by luxury brands, caters to consumers seeking genuine goods at discounted prices. It operates through unauthorized channels like online resellers or duty-free shopping, blurring the lines between affordability and exclusivity.
And what is helping it grow are the consumers, especially younger buyers, are who are unwilling or unable to pay full retail prices but still crave luxury brands. Grey markets also gives access to hard-to-find items, from limited-edition sneakers to region-specific collections. In fact, online platforms like eBay or private resellers offer seamless shopping experiences which pushes up demand. However, the grey market faces scrutiny over issues like authenticity, product warranties, and legality. Brands are combating this segment to safeguard their pricing strategies and brand prestige. Still, its growth highlights a demand that cannot be ignored.
Secondhand market a growing segment
As per Bain & Company the market size of secondhand luxury was worth $37 billion in (2022). And at a CAGR of 10-15 per cent in 2022-25 it’s expected to touch $64 billion by 2025. The secondhand luxury market is a star performer, merging affordability with sustainability. Platforms like The RealReal, Vestiaire Collective, and Fashionphile have transformed how consumers perceive pre-owned goods, making them desirable and socially acceptable. And as awareness about environmental impact grows, consumers are turning to circular fashion, reducing waste through resale. Moreover, luxury items retain or even appreciate in value, making them attractive for savvy buyers and sellers. Interestingly, luxury brands themselves are entering the secondhand market. Initiatives like Gucci Vault and Balenciaga’s resale programs signal a shift, as brands recognize the potential in owning a slice of this burgeoning market.
However, the global, grey, and secondhand luxury markets do not exist in isolation, their interactions create ripple effects across the industry. The grey market undermines official pricing structures, affecting brand equity and exclusivity. However, it also taps into consumer segments that the global market may overlook. On the other hand, the secondhand market often relies on inventory from both the global and grey markets, providing a circular flow of luxury goods. A handbag bought in a flagship store might eventually end up on a resale platform, creating opportunities for new buyers.
Consumers, too, traverse these segments. A single buyer might splurge on a new luxury watch, sell a vintage piece through a resale platform, and pick up a discounted grey-market item—all within a year. This fluid movement showcases the interconnected nature of the ecosystem.
Therefore, the luxury market, in all its facets, reflects the changing desires and values of global consumers. The global market continues to thrive on exclusivity and innovation, while the grey market fills gaps in affordability and access; the secondhand market aligns with growing demands for sustainability and value. For brands, navigating this multifaceted landscape requires agility and foresight. By embracing digital tools, sustainability, and creative partnerships, they can not only protect their legacy but also unlock new growth opportunities.
The 2025 Spring Fair, set for 2-5 February at NEC Birmingham, will showcase a newly curated space: The Summer House: Home, Gift & Lifestyle Edit. Marking its 35th anniversary, this reimagined destination promises a seamless, inspiring experience for buyers and interior designers, with a focus on high-end home decor, furnishings, and gifts.
New additions include Portmeirion’s Minerals collection and Bedeck’s debut with three exclusive ranges. Established brands like My Gifts Trade, Casa Fina, and Ulster Weavers return, alongside newcomers Sofia Toscano and Torres Novas. Sustainability also takes center stage with Hug Rug, Weaver Green, and The Braided Rug Company.
The Summer House Edit will feature curated displays highlighting craftsmanship and design excellence. Notable exhibitors include Gallery Direct, DRH Collection, and Malini. The event introduces a dedicated interior design focus, supporting residential and hospitality projects with brands like Mindy Brownes Interiors and RV Astley.
Event Director Soraya Gadelrab emphasizes the refreshed concept as part of Spring Fair’s 75th anniversary celebrations, stating, “The Summer House Edit reflects our commitment to premium products and memorable experiences.”
With over 1,200 exhibitors, Spring Fair 2025 promises to be the most anticipated in its history, offering an immersive journey into the future of home and lifestyle retail.
Temu and Shein, popular low-cost Asian e-commerce platforms, are facing heightened regulatory scrutiny in Europe. EU authorities are cracking down on retailers evading customs checks, with proposals including a new tax on platform revenue and handling fees to curb competitive pricing.
European Trade Commissioner MarosSefcovic highlighted that 4 billion low-value parcels, triple 2022’s figure, are expected to enter the EU this year, many exempt from customs duties due to the €150 threshold. This has raised concerns about unchecked imports of counterfeit or dangerous goods. The EU is now considering scrapping this threshold, mirroring similar moves in the US.
Officials fear platforms’ rock-bottom prices undermine EU competitors, who face higher production costs due to strict regulations. Screening all parcels, however, remains a logistical challenge, with major hubs already processing millions daily. A handling levy on non-EU shipments is also being discussed.
Additionally, Temu faces allegations of misleading consumers through fake discounts, hidden conditions, and unclear contact details. Meanwhile, Amazon’s low-cost storefront, Haul, recently entered the US market, targeting budget-conscious shoppers.
Bangladesh’s ready-made garment (RMG) exports to the European Union (EU) are likely to decline by as much as 21 per cent due to the dual challenges posed by the EU-Vietnam Free Trade Agreement and Bangladesh’s upcoming graduation from the Least Developed Country (LDC) status, according to a recent study by RAPID and the Friedrich-Ebert-Stiftung.
Currently benefiting from duty-free access to the EU under the Everything But Arms (EBA) initiative, Bangladesh faces the prospect of tariffs up to 12 per cent starting in 2029. In contrast, helped by efficient trade policies and investments in its supply chain, Vietnam is likely to enjoy zero-duty access to the EU by 2027 under its FTA.
Bangladesh's slower progress in backward integration and trade policy implementation exacerbates its vulnerability, threatening its global competitiveness. The study emphasises the urgency of negotiating extended transition periods for LDC graduation, relaxing rules of origin under the Generalised Scheme of Preferences (GSP+), and pursuing additional FTAs to maintain market access.
To counter these challenges, the report underscores the need for strategic reforms including engaging with the EU to extend LDC benefits and relax GSP+ conditions, investing in sustainable practices, including man-made fibers and recycling technologies, to align with EU standards, addressing energy supply deficits and enhancing trade logistics to improve efficiency and reducing dependency on apparel exports by exploring new sectors and markets.
While rising labor costs in China and Vietnam could redirect some orders to Bangladesh, the report cautions that internal hurdles, such as energy shortages and inefficiencies in banking systems, continue to undermine growth potential. Additionally, ongoing FTA negotiations with Japan and Singapore offer hope but require structural reforms to unlock their full benefits.
The study concludes that Bangladesh must act swiftly to adopt forward-thinking policies and meet global sustainability standards to retain its position as a leading export hub. Failure to do so could significantly impact its economic trajectory as competitors like Vietnam continue to gain ground in the lucrative EU market.
Pakistan needs to urgently introduce a new policy to boost cotton production in the country, opines Pakistan Cotton Ginners Association (PCGA). In FY2024, Pakistan’s cotton production declined by 33 per cent.
By November 30, 2024, Pakistan produced 5,190,725 bales of cotton as against 7,753,473 bales produced in 2023. Cotton production in Punjab declined by 34.19 per cent to 2,459,684 bales in 2024 compared to 3,736,749 bales in 2023.
Similarly, cotton production in Sindh contracted by 32.01 per cent to 2,731,041 bales this year as against 4,016,724 bales last year. Production in Balochistan contracted to only 155,800 bales.
Sajid Mahmood, Cotton Expert, attributes this decline to weak policies and practical challenges. He emphasise on the need for a comprehensive revival program for cotton cultivation. According to him, a minimum support price of Rs 10,000 per maund needs to be set to incentivise farmers. Farmers need to utilise modern, climate-resilient seeds to combat pests like whiteflies and pink bollworms. To achieve this, farmers need gain financial stability to prioritise cotton over other crops, adds Mahmood .
Research institutions like the Pakistan Central Cotton Committee (PCCC) require immediate funds to boost cotton production. Duty-free imports of cotton should be banned in order to encourage local farmers, states Mahmood. He urges for the strengthening of research and development facilities in the country. He also calls for direct market access for farmers, bypassing exploitative middlemen.
For the growth of both the industry and farmers, it is essential to remove the 18 per cent tax on cotton, says Mahmood. Cotton production in the country can be restored by adopting a sustainable strategy rooted in practical measures.
