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Delay or failure to implement the Trans-Pacific Partnership (TPP) trade deal could cost US exporters around $94bn, which also suggests global headwinds are likely to continue to weigh on US growth in the near future.
The 2016 'Economic Report of the President', written by the Council of Economic Advisers, and sent by President Obama to Congress this week, outlines the importance of the TPP for the US economy, which authors predict will grow by 2.7 per cent in 2016, 2.5 per cent in 2017, and 2.4 per cent in 2018.
The President’s report, however, warns of headwinds from a global slowdown that could put pressure on US exports. Opinion of both, the 2016 World Bank Global Economic Prospects and the IMF report that the GDP growth in low-income countries (LICs) fell to between 4.8 per cent and 5.1 per cent in 2015. Between one-half and two-thirds of LICs are commodity exporters. The commodity price decline is taking a toll on public finances, current account balances, and economic growth in these countries, making them more vulnerable to both domestic challenges and external shocks such as global financial turbulence.
This slower growth around the globe, however, has had spillovers to the US economy, the report explains.
The third FASHIONIM, a global fashion event dedicated to the denim industry, will for the first time showcase designs of fashion students from different colleges in Bangladesh. Only designs of those designers would be showcased who were finalists at the Bangladesh Fashion Student’s Contest. The event to be held on March 2, 2016, in Dhaka, is being organised on the sidelines of Denimandjeans.com Bangladesh show.
At the last FASHIONIM event held in October 2015, denim collections from three countries were exhibited. These were Vincunha Textile from Brazil, Envoy from Bangladesh and Bhaskar Denim from India. Around 400 guests from reputed retailers, factories, buying houses and brands were part of the event last time. For people connected with the denim industry in Bangladesh, it is of great interest to come for the show to get an update on the latest trends in the industry. The main theme driving the show was eco-sustainability.
Various market reports have said that Bangladesh would soon rule the international denim industry as the prime supplier and this optimistic fact has been motivating investors to invest in the industry in Bangladesh. The idea behind FASHIONIM has been to provide a platform to the denim industry where the entire supply chain players from mills, fibre, chemical suppliers, garment manufacturers, retailers, buying houses and brands could come together, thrash out ideas to help the industry grow.
Australian surf and ski clothing company Rip Curl has been universally condemned recently, because a survey found that ‘some clothing is manufactured under the cruel situations prevailing in North Korean production.’ The popular brand launched in 2015, the winter ski suit, although the label is 'Made in China', but it is in fact a North Korean 'condition as slaves' factory product.
The differential treatment towards North Korean workers had notoriously low pay and long working hours are well known world-wide. For some time now, terms such as 'slaves', 'slave labour' and similar names are associated with Rip Curl, in the media.
On the contrary, Rip Curl argued that it is not their mistake and passed it on to the contractor engaged with them for sourcing. The brand was originally popular but it suffered a public relations crisis. Meanwhile, anti-poverty organization Oxfam Australia considers that the company must take responsibility.
Oxfam Australia's head of Sauk (Helen Szoke) said in a statement that companies must assume as it is their responsibility to ensure human rights issues are protected in their businesses. This is not just a moral issue, but also the United Nations guidelines for commercial requirements, he added.
Germany sees Bangladesh as a reliable source of high quality garments. The country will support Bangladesh in its aim to double its apparel exports and to develop a sustainable, compliant, social and profitable garment sector. Germany is the second largest single export destination for Bangladesh’s garment products after the US.
Bangladesh is a priority partner for Germany. In fact, Germany was one of Bangladesh’s first partner countries after it gained its independence. Germany is working with political, civil society and private sector stakeholders to develop strategies to promote compliance with social and environmental standards in garment factories and achieve sustainable improvements in working conditions for garment industry workers.
Projects have focused on improving social and environmental standards and health and safety in garment factories, and on the promotion of small and medium-sized enterprises.
Meanwhile, Germany has urged foreign buyers to increase prices of apparel products to ensure the welfare of garment workers. The country has provided training and expertise to Bangladeshi garment workers and its initiatives in the readymade garment sector have helped in improving the safety standards and workers’ rights in Bangladesh.
Germany is the main hub of 27 countries in Europe that is helping develop the clothing business of Bangladeshi producers and exporters.
The Textile Institute World Conference will be held in Poland from April 25 to 28, 2016. It will cover topics on trends, trade, innovation and design as well as the resourceful benefits of incorporating natural fibers into textiles.
The aim of the conference is to establish international interdisciplinary cooperation in various fields of science, research and economy that are linked by textile technology. Textile materials and techniques are applied in medical products such as wound dressing, hygienic goods, but also in state-of-the-art precise prosthetics made of biomaterials, with products being successfully implanted into human organisms.
Advanced technology has enabled expansion of the application potential of fibers and textile products. The use of new synthesis methods of fiber-producing polymers, use of biotechnology, fiber and textile modification methods, of nanotechnology, textronic technologies has allowed for the use of fibers and textiles in virtually all aspects of human life and in areas such as road, air and marine transport construction materials, architecture, building, energy production, agriculture and horticulture, land, road and bank reinforcements, filter production, paper and packaging production.
The Textile Institute is based in England. It deals in textiles, clothing and footwear. It has members in 80 countries. The aim of the institute is to facilitate learning, to recognise achievement, to reward excellence and to disseminate information.
www.tiworldconference.org/
China will host Cinte Techtextil from October 12 to 14, 2016. It will feature a diverse range of sourcing options from around the world. Companies from Austria, Belgium, China, France, Germany, Hong Kong, India, Indonesia, Italy, Korea, the Netherlands, New Zealand, Singapore, Switzerland, UK and the US will be present. Exhibitors have been categorised in 12 product application areas.
Cinte Techtextil China’s product groups include technology and machinery, woven and knitted fabrics, nonwovens, coated textiles, composites, surface and bonding techniques, fibers and yarns, and more. One of the exhibitors is Johns Manville from the US, a manufacturer of insulation, roofing materials and engineered products. Johns Manville sees big opportunities for its specialty polyester spun bond and glass fiber nonwoven product range in China. The company will exhibit a broad variety of nonwovens, including chemically, mechanically and thermally bonded PET spun bond nonwovens, glass fiber wet laid mats, and glass micro fiber air filtration media. The products are suitable for a wide range of applications including luxury vinyl tiles, ceiling tiles, wall coverings, roofing, geo textiles, battery, air and liquid filtration and windmill blades.
Also participating is Coats, an industrial thread and consumer textile crafts business. Coats will feature fiber optics, flame retardant protective wear, automotive items including airbags, seatbelts and trims, teabag threads, feminine hygiene products, tyre cord and conductive threads.
www.techtextilchina.com/
Premiere Vision Paris that took place from February 16 to 18 saw a decline in attendance. The textile trade show recorded a 5.85 per cent decrease in visitors. In all there were 1,725 exhibiting companies. And 73 per cent of visitors were from outside France.
After the 15,070 French visitors, the UK was the most represented nation in the exhibition halls (12 per cent of total visitors), ahead of Italy (11.5 per cent). These countries were followed by Spain, Germany, Belgium and the Netherlands. There were 624 Swedish visitors and 457 Danish visitors.
Asia represented nine per cent visiting professionals. The Japanese presence was reduced to 1,258 visitors. Professionals from China also recorded a downturn in numbers, to 1,234, since the show’s dates were close to the Chinese New Year. A notable increase was reported in visitors from North America, 1,847 in total. Turkey was the sixth most represented nation, with 2,311 professionals.
Numbers notwithstanding, this edition was notable for the high quality of the trade professionals. Although, often for economic and organisational reasons, some companies have been reducing the size of their visiting teams for some seasons now, in terms of quality, it is the most influential decision makers, creative professionals and purchasing executives who are attending.
www.premierevision.com/
Pakistan’s textile exports declined by over 9 per cent from July to January of the ongoing financial year. Exports were down 6.38 per cent in January 2016 compared to January 2015.
Textile exports are continuously declining due to external as well internal issues including high power tariff, electricity and gas shortage and delayed tax refunds of exporters. Another reason is the slowdown in the economy of China and other markets.
Due to the massive decline in textile exports, the country’s overall exports came down by 14.37 per cent during July to January of financial year 2016 compared to the corresponding period last year. Exports of petroleum and coal products decreased by 74.92 per cent, manufacturing products by 19.1 per cent and leather manufacturing by 13.36 per cent during July to January of the ongoing financial year.
Exports of readymade garments registered a growth of 3.77 per cent during July to January 2015-2016 over a year ago. Similarly exports of towels recorded a growth of 1.45 per cent. Meanwhile, exports of all other textile goods including raw cotton, cotton yarn, cotton cloth, cotton carded or combed, knitwear, bed wear, tents, canvas and tarpaulin, art and silk and synthetic textiles registered negative growth as compared to the same period last year.
"India’s textile industry is big and growing with 50 million spindles installed. The government has set an ambitious target to boost its share of global textile trade from 5 per cent to 20 per cent. The expert panel delivered a practical and authoritative analysis revealing some often surprising and challenging requirements for successful yarn production."
The shared experience of top textile executives, a global-scale retail group and leading provider of textile quality management technology at an event organised by Uster Technologies recently gave a unique insight into the Indian textile industry. Organised by Uster Technologies, the three day event was for market forecasts, valuable business intelligence and realistic analysis of problems and solutions combined to draw up a ‘Roadmap for the Future’ for India’s spinning mills. Adaptability, attention to quality issues, value added product mix, sustainable manufacturing and focusing on consumer demands were the key recommendations from a forum of experts.
Expert insights on growth and sustainability
India’s textile industry is big and growing with 50 million spindles installed. The government has set an ambitious target to boost its share of global textile trade from 5 per cent to 20 per cent. The expert panel delivered a practical and authoritative analysis revealing some often surprising and challenging requirements for successful yarn production. The panel comprised S K Khandelia, President, Sutlej Group; Calvin Woolley, Global Supplier Development Leader, Ikea, Iris Biermann, Head of Textile Technology, Uster Technologies; and David McAlister, Product Manager Fiber Testing, Uster Technologies. The event attracted 25 high-level participants, including directors and promoters of 25 mills from all over India.
Khandelia provided a telling and hard-hitting account of the key issues and options for Indian spinners today. His experience as the head of a group of four mills producing 300 tons of yarn per day is significant, and he first outlined the problems mills face in adapting to new market trends. This was often restricted, he said, by the existing plant design and set-up, which prevented innovations that did not fit with the mill’s capabilities. However, dramatic solutions could be found, as when, early in his career, he rescued a 200,000-spindle mill earmarked for closure by initiating product diversification instead.
Exceptions, benchmarking and ROI
Khandelia emphasized the need for focus in managing the business. He said, if we can handle the exceptions, it is enough, but we also know that benchmarking against international standards and best practices is a must, to differentiate our company from competitors.
Ensuring an adequate return on investment (ROI) was also essential. Khandelia revealed his company’s requirement to earn at least 20 per cent ROI - since 11 per cent would be swallowed up by interest. One strategy to cope with instability in raw cotton prices had been to switch towards blends, fancy yarns and mélange yarn to minimize the risk and to complement India’s acknowledged strength in cotton against competition from China and Pakistan by creating a sustainable product mix.
Ikea is the world’s largest furniture retailer, with a strong commitment to cotton and a policy of working closely along the entire production chain. At the event its representative Calvin Woolley forecasted that India has recently overtaken China as the world’s largest cotton producer has the potential to be the leader in cotton yarn production too. For Ikea, spinning is one of the key points in the value chain. Woolley said, when the cotton price exploded 2011 they had to look for alternatives - especially blends, to which the market thankfully responded more readily than in the past. For the same reason, air-jet and open-end spinning are taking a bigger share of production from ring spinning.
Consumers drive the quality message
According to David McAlister of Uster Technologies, mills were now having to operate in a consumer-led marketplace rather than merely offering up an existing product range to their customers in spinning and weaving. Consumers now define the type of products they like and the performance they need, he said.
Said Uster’s Iris Biermann, in some cases, spinning mills needed to be more aware of the implications of using different yarn technologies and other fiber types. It is important to design a yarn according to the end-product requirements, not forgetting vital parameters such as pilling behavior, she added.
The panel discussion was part of a three-day Uster Quality University which also featured a series of workshops and presentations, targeted at improving the knowledge, performance and future prosperity of the sector in today’s increasingly demanding and competitive markets. Talking about the event said V R Rathnam, Head Uster Technologies India that in the course of the event, it became clear that key people from leading Indian spinning mills are well-equipped to keep textiles in India as a growing industry.
The 17th China Yiwu International Exhibition on Textile Machinery (YiwuTex) is scheduled to be held from June 14-16, 2016 at Yiwu International Expo Centre, PR China. The show will cover three thematic zones: Knitting & Hosiery Machinery Zone, Sewing & Automatic Garment Machinery Zone and Dyeing, Finishing & Digital Printing Machinery Zone.
Design has become an up-and-coming trend with continuous and rapid development on digital printing technology and relevant equipment designed for knitted fabrics, digital printing. It gives a rise to the new Digital Printing Machinery Zone in YiwuTex 2016, which will showcase the latest advanced technology on digital printing and its enormous market potential for industry players.
The rise in production costs and strict environmental regulations on knitting industry resulted in higher entry barriers and greater challenges for knitwear manufacturers. To meet these challenges, manufacturers are going to expedite smart production transformation, improve products’ functionality and market their products in the domestic and overseas high-end markets. ‘Knitting & Hosiery Machinery Zone’ will showcase computerized smart knitting system and innovative knitting technology which enable manufacturers maximizing production efficiency and quality at lower cost.
Compared to manually-operated machinery, automated ones have higher productivity. They also provide better performance and precision on fabric-cutting and measurement. ‘Sewing & Automatic Garment Machinery Zone’ at YiwuTex 2016 will showcase advanced sewing machinery at competitive prices and technology intelligence that help industry players to improve efficiency and quality with lower cost.
