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The Synthetic & Rayon Textiles Export Promotion Council (SRTEPC) is organising participation of its member companies in Colombo International Yarn & Fabric Show (CIFS) to be held from March 10 to 12, 2016.
Sri Lanka is currently sourcing over $1.60 billion of MMF of synthetic and blended textiles from the global markets. India exported $201.82 million of synthetic and blended textiles to this market during 2014 with a market share of 12.30 per cent only. Considering this, the council feels that there is substantial scope for Indian players to further enhance their trade of MMF textiles with Sri Lanka. Keeping the prospects of this market in sight, SRTEPC has urged its members to participate in the fair to improve their trade relations.
The main products of MMF textiles that are exported to Sri Lanka includes suiting, shirting, PV woven fabrics, woven fabrics of polyester staple fibre, knitted fabrics of elastomeric yarn and synthetic fibres dyed, narrow woven fabrics, among many other varieties. In Yarn category, India exports nylon tyre cord yarn, polyester textured yarn (PTY), nylon textured yarn, and in fibre category viscose staple fibre (VSF) to Sri Lanka.
www.yarnandfabric.org
www.srtepc.in
The Australian Wool Production Forecasting Committee (AWPFC) has revised its forecast of shorn wool production for the 2015/16 season to 322 million kilograms greasy, a 7 per cent decline on the estimate of 346 million kg for the 2014/15 season.
According to the Committee Chairman, Russell Pattinson, “seasonal conditions in a number of the major sheep producing regions in Australia have been drier than expected over spring which has resulted in lower fleece weights and, more recently, reports of increased sheep turn-off. Victoria, Tasmania, the south-east and north-west of South Australia, and the Great Southern region in Western Australia have all experienced difficult seasons. Among other things this has caused problems with stock water availability. Also, the major sheep regions of Queensland continue to see very tough conditions and the sell-off of sheep continues in that state. Even in New South Wales, there are areas where seasonal conditions have been more difficult than expected.”
The AWPFC’s final estimate of shorn wool production for the 2014/15 season is 346 million kg, an increase of 1.7 per cent over the previous season. As noted in August, this increase is in line with, but less than, the increase seen in AWTA tests, ABS wool receivals and AWEX auction offerings for 2014/15. Some of the increase in wool tests, receivals and auction offerings late in the 2014/15 season was attributed to the release of on-farm stocks held over from previous seasons as well as the forward offering of wool held in brokers’ stores and earlier than usual deliveries of recently shorn wool in response to the spike in wool prices in May and June. It is expected that, as these stocks will not be available in 2015/16, the AWTA test data and ABS receivals data in 2015/16 will fall by more than the decline in production.
The Committee noted that for the 2015/16 season to November, the AWTA test data showed a reduction in volumes of wool between 20.6 and 24.5 microns, with smaller declines for finer Merino wool and for Crossbred wool. This resulted in a 0.1 micron decline in the mean fibre diameter for Australia to November.
www.wool.com
Recent approval of the ‘Trade Facilitation and Trade Enforcement Bill’ by the US Senate on December 9, 2015 opened duty-free-quota-free access of Nepali readymade garments, pashmina, and leather products into the US. The latest Bill, once gets the US President’s seal to transform it into an Act, is anticipated to boost trade prospects of the RMG industry of Nepal.
According to Chandi Prasad Aryal, Acting President of Garment Association Nepal, sighting the ensued opportunity the RMG industry must now focus on improving the industrial and investment climate to attract investment. Over 80 per cent of garment factories were forced to shut down after the quota system was abolished, which can now be revived. Momento Apparels and Cotton Comforts, for instance, once Nepal’s largest garment exporters, are looking at making a comeback.
Apart from political stability, the country also needs to tackle issues like load-shedding, well-managed transportation costs and labour unrest to ensure healthy business climate, which can attract investments in the garment sector. The duty free facility is also expected tp make the industry capable of competing with its rivals in Asia like Bangladesh and Cambodia.
Also to avoid situation like post-quota phase, Aryal is of the opinion that the country needs to create sustainable relations with trade partners by delivering orders on time at competitive rates and create strong raw material base, while the government should approach investors from developed countries and announce an incentive package for the development of the RMG sector.
Ganasso.org.np
Coimbatore textile mills have taken steps toward energy conservation. Be it spinning mills or humidification plants, machinery comes with energy saving upgrades. Foundries and engineering units have started looking at ways to improve power supply, bring down energy bill, and save on power consumed.
Mills have a scope for seven to 11 percent energy saving in a year if they take the right steps. Since energy conservation requires investment, it’s necessary for mills to prioritise areas that need to be addressed. In the case of power looms, one option for bringing down the power consumed is by going in for solar panels. However, the investments are high and hence the units have sought subsidy from the central and state governments.
Micro units do job work for larger industries but their earnings are less. So they are unable to invest in energy saving tools. They focus more on day to day operations and not many have the resources to take up energy conservation. This is an area that needs attention.
Foundries and pump set units are reluctant to invest in energy conservation because of current market conditions. Making energy efficient pumpsets mandatory will bring more manufacturers into this sector.
Seasoned industry retail leader Carrie Ask is joining Levi Strauss as executive vice president and president of global retail. Ask will be responsible for leading all aspects of Levi’s global retail business, including 2,700 owned and operated stores, franchise stores and outlet stores.
Carrie Ask has a successful track record of driving retail strategy and execution at leading brands. She has held leadership positions at Nike subsidiary Converse, where she was VP and general manager with global oversight for full price stores and factory stores. Previously she held retail and merchandising positions at Petco, Target Corporation and BC Natural Foods. She has been vice president and general manager at Nike.
Ask served in the US navy and received a bachelor of science in ocean engineering from the US Naval Academy. She is a graduate of the Kellogg Graduate School of Management at Northwestern University where she received a Master of Business Administration.
Levi Strauss jeans represent the rebellion and romance of the untamed American west. They have become a social phenomenon: a worldwide symbol of youth, independence, ruggedness, and freedom. The brand offers fashionable jeans and casual wear for the whole family.
www.levistrauss.com/
New York hosted the second edition of BPD Blueprint Expo. The compact meeting saw 15 exhibitors including fabric mills, manufacturers and industry insiders. Kurabo, Calik Denim, KG Denim, Cadica Group, Grandtex, IPU 142, Absolute Denim, Orta Andolu, Mafatlal Industries, Raymond Uco, Tyfountex, Matrix Sourcing, Seazon, WSG and Romatex are amongst the exhibitors. While, the owner of the Blue Print Denim Wash House in Jersey City, NJ, also the show founder and producer, Bill Curtin professed that he had a waiting list of seven other brands.
Curtin acknowledged that they are the anti-trade show because ‘expo’ is not the right word for their concept which they have expanded and taken to everybody. The show’s highlights was onsite Shibori tie-dye classes, vintage denim flea-market wall offering jeans for $75 each and individual “Denim Therapy” sessions with expert Michelle Branch, who elucidated Spring ’17 fabric trends. Curtin explained that the presence of denim is all around and to avoid same old panel with same old questions, they have adopted the one-on-one consultation which would facilitate trends specific to all segments of kids’, juniors’, women’s or men’s.
The global demand for textile chemicals is estimated to grow at a CAGR of around four per cent between 2015 and 2020. Textile chemicals are a vital division of the textile industry as various chemicals are required in the textile industry right from the pre-treatment stage to the finishing of textiles.
Chemicals used at different level of textile manufacturing include pre-treatment chemicals, textile dyeing chemicals, dyeing and printing chemicals, finishing chemicals, antistatic agents and other specialty chemicals.
There are coating and sizing chemicals, colorants and auxiliaries, finishing agents, surfactants, desizing agents, bleaching agents and yarn lubricants. With the use of textile chemicals, textile manufacturers manage to get the desired color, appearance, texture and properties in their final product.
In terms of volume, the global textile chemical market stood at above 9,500 kilo tons in 2014. The textile chemical market in India is growing at a CAGR of approximately 12 per cent in terms of industry revenues. Major players such as BASF, Clariant and Huntsman are emphasising on product innovation in textile chemicals through preparation of eco-friendly products as well as high end products. These companies extensively use bio-auxiliaries and other environment-friendly chemicals in order to decrease the overall pollution load faced by textile processing plants.
Paris witnessed a landmark agreement between representatives of 195 countries to cut emissions of greenhouse gases last week. Reducing carbon footprint and sustainability have become the priorities of manufacturing industries across the world. And fashion and luxury players are paying specific attention to bettering their supply chain.
Developing nations try to reduce carbon footprint
As the first universal agreement on climate change was inked in Paris, developing nations like China and India are showing great strides in their commitment towards a low-carbon future. The discussion during before the deal expressed optimism that the deal could encourage business leaders to invest in renewables sources of energy.
According to Hannah Jones, Chief Sustainability Officer at Nike, this agreement marks a transformative moment on the journey towards a low-carbon economy, providing the certainty and confidence businesses need to continue to pursue positive climate action. Reiterating his views, Pierre Börjesson, Sustainability Business Expert on climate at H&M too was of the opinion that the deal is a step towards a safe environment with continued growth and increased quality of life for more people around the world.
However, according to Eric Liedtke, responsible for global brands at Adidas, the time has come for real action instead of telling the industry to tell what needs to be done. The deal also has set an additional aim to cut global warming to 1.5 degrees centigrade. Companies like Kering are ready to support the cause. In 2012, Levi Strauss & Co announced its commitment to cut its greenhouse gas emissions by 25 per cent by 2020. By 2014, the company achieved its mission by 20 per cent.The company will update its climate strategy and targets in 2016.
Efforts begin to cut carbon footprint, what next?
While some fashion companies have already begun taking initiatives and set goals to make their supply chains sustainable, a section of fashion companies continue to present risk to the environment than others. As Elisa Niemtzow, consumer sectors director at non-profit consultancy Business for Social Responsibility (BSR) points out that the extent of impact greatest at the raw materials stage and the companies need to work with their suppliers to improve manufacturing practices to ensure that small producers are protected and resilient in the face of climate change.
It is a known fact that production of raw materials like cotton and cashmere require large amounts of electricity and water and are sourced from those regions of the developing nations that can face the early adverse impacts of any environmental change, such as flooding and droughts. Even production of rayon and viscose can lead to deforestation and companies must take note of these climatic changes to save the planet. Experts say that the players can also make use of eco-friendly fuels while transporting goods to reduce pollution. Finally, even consumers need to be made aware by educating them to care for the product in an efficient and eco-friendly ways.
Investing in renewable resources can also make a big change. RE100, a programme set up by non-profit The Climate Group, works with companies to commit to using 100 per cent renewable power. Google, H&M, Nike, and Yoox Group are already a part of this initiative. Even government support in terms of incentives to support and grow renewable sources can boost the usage, while reducing the greenhouse emissions.
The part of Paris agreement is countries’ committed to raise $100 billion a year by 2020, to help developing nations mitigate and adapt to the consequences of climate change. And large fashion groups such as H&M are doing their bit to bring awareness among their suppliers to better the supply chain with clean and green practices. The companies now need to work in unison to tackle the challenges across borders and the Paris global agreement is considered a first step towards the green future.
Ec-europa.eu
"The European apparel industry has got a boost with advent of e-commerce. European online retail sales are expected to hit €191 billion ($249 billion) in 2017, up from €112 billion ($146 billion) in 2012 led by the current back-space facing countries of Spain and Italy, according to new data published by Forrester. Also, online retailing is expected to go up a good 2 per cent from 2013 to 2017."
Despite facing challenging economic conditions, the European fashion market is popular because of its high-end fashion labels, innovations and retailers. Accounting for one third of the world’s total textile trade, annual consumer apparel sales in Europe are over $300 billion. ‘Made in Europe’ tag is a sign of uunparalleled quality and award-winning craftsmanship. The ongoing economic crisis however, has had a negative impact on fashion business. But, experts opine with lower oil prices, further monetary easing and a weaker euro, the European economy is forecasted to grow by 1.7 per cent in 2015.
Import/export market scenario
According to IFM, Europe’s apparel imports statistics in the first semester of 2015 indicates that China is a dominant player in the segment as top clothing supplier, providing €12.6 billion of goods (+13 per cent). Bangladesh holds the second position, which showcases a significant growth of over 26 per cent, reaching €6.8 billion, while Turkey declined by 1 per cent to €4.5 billion. Significant expansion was also achieved by India with 13 per cent rise, Cambodia (32 per cent), Vietnam (30 per cent), Pakistan (28 per cent) and the US (28 per cent). At the bottom of the ranking, with €146 million worth of goods, Myanmar records a 64 per cent increase.
Industry estimates suggest that while India exports apparel worth $5 billion (about Rs 27,000 crores) to EU, Bangladesh exports apparel worth $8 billion (about Rs43,400 crores) to the 27-nation bloc. Europe registered a sudden yet steady growth percentage in the fiscal 2014, claiming the half share of the world’s clothing production pie. Earlier, European brands stuck to their own selling points, however brands are now spreading their presence. Now fast-fashion labels such as, H&M and Zara along with advent of e-commerce is creating tough competition for retail biggies like M&S and Benetton.
Almost all EU countries are forecasted to witness a surge in terms of growth owing to their efforts to bounce back implementing economic reforms. Major changes are being seen in Germany which is expected to see a GDP growth of 1.57 per cent by the end of 2016. In case of France, while domestically it is doing well owing to low inflation and tax-cuts, ease in credit conditions along with government taken supportive economic strategies, export performance has been bleak and needs improvement. The United Kingdom will prove to be the best paced one in the entire Europe with a GDP of 2.23 per cent in 2016.
Apparel market analysis across Europe
Retail value sales of men’s wear saw a growth of 12 per cent in the last fiscal in Hungary, almost similar to that of the women’s wear segment both in terms of volume and value sales, owing to the overall upsurge in expenditure on apparel products by the masses. The top spot for men’s attires have been enjoyed by C&A Mode in the country whereas H&M takes up the title for the most sold in Hungary.
Portugal has seen low improvement in the national economy. However, promotional campaigns taken up as an ultimate success method by many brands including Homino Emerito and Cortefiel which offered heavy discounts to take sales and clear stocks further up led to a rise in demand. End of season sales also saw a boom, taking down average unit prices. Zara remained the most important label in the country with a 7 per cent value share in 2014.
Both home-grown and foreign labels are doing well in Austria but menswear in particular has led to menswear taking up a larger piece of cake in Austria with H&M leading the success. The stable and high levels of disposable income in Germany served as a backbone to the consumer confidence and decisions. Especially in men’s wear, a great hike in the demand for high-quality leisurewear was witnessed along with the premium casual wear.
Fashion gets an e-commerce boost
The European apparel industry has got a boost with advent of e-commerce. European online retail sales are expected to hit €191 billion ($249 billion) in 2017, up from €112 billion ($146 billion) in 2012 led by the current back-space facing countries of Spain and Italy, according to new data published by Forrester. Also, online retailing is expected to go up a good 2 per cent from 2013 to 2017.
The top most e-retailer of Europe Zalando is a 2008 established German label, which has witnessed a steady growth from being a shoe e-tailer to a clothing one in 2010 and now it has launched its own private labels as it plans to expand its reach into new geographies.
June 2000 incepted high-fashion retailer that operates via a website designed in the style of a magazine, Net-a-porter has been a success story too. The website takes up approximately 2.5 million unique visits in internet traffic to their website every month and has a series of sister and brother portals Mr Porter and Neta- Sporter. In early 2014, Net-a-Porter launched a print magazine called Porter, with an associated app and digital version of the magazine.
Several foreign fashion retailers too are exploring the European shores. South African fashion retailer Truworths for instance was recently in talks to acquire the UK’s Office Retail Group, making it the nation’s latest retailer to pursue offshore expansion. With over 650 stores in South Africa, the brand already has 23 franchise stores in the rest of Africa and the Middle East. It offers a collection of leisure wear, formal wear, evening wear, lingerie, shoes and accessories for women.
After Chennai floods, now Supreme Court’s (SC) order banning entry of goods vehicle in Delhi and hiking environment compensatory charges by 100 per cent has hit the textile traders and transporters from Surat, who supply man-made fabrics (MMF) including saris and dress materials worth Rs 20 crores to the national capital.
Textile traders believe Supreme Court's orders will increase the prices of textile goods supplied from Surat and other textile manufacturing centers. According to Southern Gujarat Chamber of Commerce & Industry's (SG textile committee Chairman Devkishan Manghani, it's going to be tough for wholesalers in Delhi to manage loading and off-loading of textile goods given the SC ruling. The overhead expenses, including transport and labour costs, will increase go up and the wholesalers may have to bear extra expense of Rs 200 per parcel containing around 150 saris and dress materials.
According to the industry players, textile goods are further sent to Chandigarh, Himachal Pradesh, Haryana, Bihar, Uttar Pradesh, Rajasthan and West Bengal from New Delhi. The court clarifies that no vehicle registered in 2005 or prior years shall be allowed to enter Delhi even after payment of enhanced green cess. For the rest of the commercial vehicles registered after 2005, the cess has now been doubled - Rs 700 to Rs 1,400 for light commercial vehicles and Rs 1,300 to Rs 2,600 for heavy commercial vehicles.
Since most of the transport trucks were registered before 2005, they will now have to deliver the goods on national highway outside Delhi. They have let the textile traders know about the situation, who will have to make an alternative arrangement for loading and off-loading of the goods at additional expense.
www.sgcci.in
