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"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.
Le Quang Hung, President, Garmex Saigon says the number of orders Garmex Saigon have so far compared to last year will ensure enough jobs for the company until the end of the year. He added that company projects 20 per cent growth rate in revenue in comparison with 2015. Garmex Saigon reported turnover of VND1.530 trillion in 2015, while abundant orders have led to turnover that may reach VND1.8 trillion this year.
Confirmed deputy chair of the Vietnam Textile and Apparel Association (Vitas) Pham Xuan Hong that most enterprises have orders for the first and second quarters, while some others have enough orders for the whole year. Hong said, import orders have come in abundance and the enterprises have to restart production after the long Tet holiday and look for workers.
Vietnam exported $27 billion worth of textile and garment products in 2015 and the target of $30 billion export turnover in 2016, or 10 per cent higher, appears to be attainable. The Ministry of Industry and Trade (MOIT) has every reason to be optimistic about production in 2016. According to report the production index of the textile industry grew by 12 per cent in January compared with the same period last year, while the figure was 11.2 per cent in the clothing industry.
Ykohama-based Japan International Cooperation Agency (JICA) is in discussions with the government of Pakistan about ways in which Japanese overseas development aid might be best used to assist textiles sector. Daisuke Fukumori, Deputy Director of JICA’s South Asia division, JICA works closely with the Trade Development Authority of Pakistan (TDAP), which has sent a request for assistance. However, Fukumori was unable to disclose details of the agreement, but it is likely to include the provision of equipment and hardware, the dispatch of experts and financial assistance.
In 2015, JICA supported a delegation of Japanese business people to Expo Pakistan, the country’s largest trade fair, and arranged a delegation of executives from Pakistan’s leading textile companies to Thailand, where they visited three Japanese textile factories to experience quality control in the production process. Held in October 2015, a Pakistan-Japan Textile Day brought Japanese companies to Lahore and Faisalabad, and served to introduce manufacturers and buyers, while a workshop for Pakistani companies was held in Karachi the same month.
Meanwhile, annual imports of Pakistani textiles to Japan are valued at Japanese Yen JPY9.3bn ($80.5m), with yarns accounting for JPY3.7bn ($32m) of the total and fabrics a further JPY2.2bn ($19m).
The US produces its own wool, but it does rely on a number of trading partners. And Australia happens to be a major one. Australia is the world’s largest producer and the second largest global exporter of wool. At the beginning of 2015, the Australian dollar depreciated against the US dollar, making the price of Australian products more attractive. Many wool buyers took advantage of this and the resulting increase in demand helped to strengthen prices.
A second contributing factor that affected the market price was supply. In 2014, wool production reduced due to Australian weather conditions, an extended dry period that lowered the birth rate of lambs and the corresponding wool production. As the dry weather conditions continue in Australia, wool production may again reduce in 2016. Future price increases may be on the horizon. The last 12 months have seen Australian prices increase by some 19 per cent.
Wool is a great fiber, as it absorbs moisture and keeps a layer of insulation next to the skin. Well-maintained wool is an extremely durable fiber. Around 80 per cent of wool is used for clothing, with the remainder going into production of carpets, blankets and upholstery.
"With consumers waking up to eco-clothing, luxury brands and sportswear companies are increasingly looking at alternative materials to create sustainable clothing. There are greater opportunities in recycled and alternative fabrics made from unusual materials like mushrooms, oranges and even proteins inspired by spider-web DNA. Soon, there would be tie-ups among businesses looking for ways to make leather without cows, silk without worms, fur without animals and fabrics from recycled waste. There are already great examples in the industry."
With consumers waking up to eco-clothing, luxury brands and sportswear companies are increasingly looking at alternative materials to create sustainable clothing. There are greater opportunities in recycled and alternative fabrics made from unusual materials like mushrooms, oranges and even proteins inspired by spider-web DNA. Soon, there would be tie-ups among businesses looking for ways to make leather without cows, silk without worms, fur without animals and fabrics from recycled waste. There are already great examples in the industry. For instance, Salvatore Ferragamo has been selling scarves made of orange fibers while Stella McCartney produced two outfits made with the spider-inspired silk.
McCartney, a vegan designer was a relatively lone fashion voice in the field of sustainable fabrics until recent years, provided a golden dress of the laboratory- made silk for the Museum of Modern Art’s exhibition ‘Item: Is Fashion Modern?’ She also presented a chocolate-brown bodysuit and trousers backstage at her spring 2018 show during Paris Fashion Week.
Claire Bergkamp, Head, sustainability and Ethical Trade at Stella McCartney brand, explains they have not completely perfected it but it is a silk with a slightly different texture than the silk they normally use. The brand, which has signed a long-term partnership agreement with Bolt Threads, the company that developed the Microsilk material, is expected to start selling clothing made with it in the next year or two.
Innovations galore
While developments are happening, they are still in the initial stages of production. Owing to the high cost associated, initial production remains limited. Bolt, for example, introduced a lottery in March to sell its first spider-inspired silk neckties, at $314 each. After studying spiders’ DNA and their webs, Bolt Threads’ developed similar proteins that are injected into yeast and sugar and then subjected to a proprietary fermentation process. The resulting liquid silk is turned into a fibre through a wet-spinning process that creates strands that then can be knitted into fabric.
Rivals, are using similar technology but different production methods, have not produced marketable products yet either. Japanese company Spiber has an agreement with the North Face, the American activewear company. And AMSilk, a German company, has partnered Adidas on products that are expected to go on sale next year. Adidas is producing sneakers made with plastics recovered from beaches and oceanfront communities, part of a product line developed through its partnership with the activist anti-plastic group Parley for the Oceans.
Recycled fruit waste is another promising substance for the creation of alternative fabrics. The Italian company Orange Fiber provided the material for Ferragamo’s capsule scarf collection. Ananas Anam, based at the Royal College of Art in London, uses pineapple leaf fibers to create a nonwoven leatherlike material called Piñatex and brands like Edun, the sustainable fashion label owned by LVMH Moët Hennessy Louis Vuitton, are creating items from it. And mycelium, the rootlike fiber of mushrooms, is being processed as a leather substitute by MycoWorks, a San Francisco start-up. But some specialists say the material, which looks like suede, needs to be tested for durability.
In addition to bio-fabricated materials, the Stella McCartney brand and its founding partner, the luxury group Kering, are investing in ways to recycle fashion items and use fewer resources, such as water. McCartney’s Falabella Go bags are made of recycled polyester and Econyl, a nylon produced from recycled fishing nets, carpets and other such waste, manufactured by the Italian company Aquafil.
Modern Meadow has developed a yeast that, when mixed with sugar, produces a collagen that is purified, processed and tanned to create material with a look and feel similar to leather. The company was planning to unveil its first commercial product next year. Chanel, known for putting a healthy dose of pressure on suppliers to create new yarns and fabrics every season, has been working with paper yarns and is researching the use of 3D printing for ready-to-wear clothing.
Reigning investments
Looking at the potential, several venture capital firms are investing. In May, Russian entrepreneur Miroslava Duma, FZounder, Buro 24/7, introduced Fashion Tech Lab, a venture that funds and develops new technologies in sustainable fashion and wearable technologies. It has $50 million in funding and the advisory services of Carmen Busquets, the e-commerce investor, and Diane von Furstenberg. Orange Fiber and Vitro Labs, a company that is developing lab-grown variations of fur and leather from stem cells, were among the organization’s initial beneficiaries.
Coats has launched a range of corrosion resistant zips. Metal zips used in leather goods, clothing and footwear are prone to oxidisation and corrosion from exposure to the moisture in air and also through contact with chemicals contained in leather following the tanning process it goes through. This not only detracts from the product’s appearance but can also impede the smooth running of the zip, often to the point of jamming.
Coats has developed a unique and advanced formula which makes the zip’s teeth and slider resistant to corrosion caused by atmospheric exposure and leather tanning chemicals. Specially engineered chemical and mechanical properties also enhance the appearance and durability of the zips. This is combined with a superior process for forming the mechanical teeth of the zip which enhances the run ability by lowering friction. The finish protects the electroplated surface from chemicals and minimises the damage caused by regular abrasion.
The range is available in a choice of shiny and matt appearance, all tape colors and three sizes. It is ideal for use in leather garments and accessories as well as stone washed and post dyed garments. Coats is the world’s leading industrial thread and consumer textile crafts business.
www.coats.com/
Asia’s leading multi-segment sports trade fair, ISPO, will take place in China from February 24 to 27, 2016. The event will showcase the latest innovations from the fields of outdoor, action sports, skiing, sports fashion, and fabrics and fibers. ISPO will present an entire value added chain under one roof, from infrastructure to product.
A total of 490 exhibitors have registered, who together represent around 700 different brands. Beijing's successful bid for the 2022 Winter Olympics has given China’s sports industry a boost. A large number of major exhibitors are set to debut at the event in 2016, including Dynafit, Ice Peak, Kneissl, Kovea, Mueller Sports, 2XU, Ride, and 361 Degrees.
There are high levels of international participation. About half the brands at the event will be European, American, or from the Asia-Pacific region. Major brands, such as AlpinePro, Odlo, Pacsafe, Lowa, Thule, Black Diamond, and Kolping, will all be represented.
The exhibition will feature twice as much space dedicated to skiing, with exhibitors such as Nordica, Rossignol and Völkl representing this area of sport. This is reflective of the growing interest of the Chinese population in winter sports. At present, seven million Chinese ski or snowboard, with the number of ski tourists increasing each year.
www.beijing.ispo.com/
Key Asian apparel producers such as Cambodia and Myanmar are alarmed that with TPP, Vietnam could undercut their vital garment industry. China and Bangladesh, the world’s two biggest garment exporters, are also likely to be affected, as well as Pakistan, which has a large but struggling textile and apparel sector. Indonesia, which sends half of its textile and garment exports to the US and EU, is also under threat.
Vietnam’s exports to the US could double once the TPP takes effect. Most exposed of all could be Cambodia, where the garment sector is a main pillar of the country’s small economy. The industry employs more than 7,00,000 workers and accounted for roughly 80 per cent of Cambodia’s total export revenue in 2014. But the garment sector has already lost US market share to Vietnam due to that country’s lower labor costs and higher productivity. And with the TPP things may get worse.
Another country facing a challenge from Vietnam is Myanmar. Myanmar garment makers look to Europe as both a market and a source of investment, with garments a key part of the country’s plans to become a manufacturing economy. The EU cut duties on Myanmar’s exports to Europe in 2013. Around 20 per cent of Myanmar's garment exports now go to the EU.
Cotton prices edged up in the third week of February on fresh demand from domestic yarn mills after prices declined in the previous week. Cotton yarn prices climbed during the week with offers regaining in Ludhiana while remaining flat in Indore. The rise explains the rebound in cotton prices, after progressively declining in the past weeks.
In Pakistan, cotton market eased a bit as leading spinners were away from the proceedings. A slump in cotton yarn and fabric markets depressed cotton trade, and leading spinners have already imported a substantial quantity of cotton. Cotton yarn prices in Pakistan mostly rolled over after cotton prices were revised down on the week due to poor demand. Eights and 30s carded yarn for weaving prices remained unchanged during the week.
The China cotton index fell 89 yuan to 12,219 yuan a ton on the week while cotton yarn markets witnessed scattered transactions, as many players were yet to resume operations, back from the holidays. Major producers were in slow recovery and most held a bearish outlook over future trends. Thus cotton yarn markets saw thin trades and transactions are likely to recover by the end of the month.
