FW
With a good beginning of the monsoon season, the domestic textile market is expected to grow by 7-8 per cent in FY17, the Confederation of Indian Textile Industry (CITI) has said.
“The onset of good monsoon and Government initiatives may help in growth of 7-8 per cent of domestic textile market, which was estimated at USD 60 billion in FY16,” Confederation of Indian Textile Industry (CITI) Chairman Naishadh Parikh has been quoted to have said.
Welcoming the new Textiles Minister Smriti Irani, Parikh was quoted as saying that the appointment of a dynamic, progressive and result-oriented cabinet minister like Irani has come at an opportune time.
The apex chamber of textiles in India hoped that the industry would achieve the ambitious goal of creating 5 crore jobs in the next few years.
China is certainly doing a lot in Cambodia, becoming the country’s largest aid donor and source of foreign investment. Between 1994 and 2013, Chinese investment in Cambodia was about US$10 billion, focused mainly on agriculture, mining, infrastructure projects, hydro-power dams and garment production. Since 1992, China has also provided around US$3 billion in concessional loans and grants to Cambodia. This gesture has garnered appreciation from Cambodia’s government.
Excessive dependence on China has also placed Cambodian foreign policy firmly under China’s influence. During a meeting between Chinese and ASEAN ministers over the South China Sea in June 2016, Cambodia joined two other ASEAN nations in refusing to endorse a joint statement criticising China for its construction of military installations in contentious areas in the South China Sea.
Because of China’s influence, Cambodia is reluctant to strongly criticise or protest environmental issues resulting from Chinese policies. Chinese dam building on the upper Mekong River is being tolerated despite potential environmental devastation affecting millions of Cambodians who depend on this water for drinking, irrigation, fishing and sediments that naturally fertilise the land — in short for their food, water, sanitation and, in many instances, their income.
However, the key strategic interest for Cambodia is that its engagement with donors can both deliver infrastructure and the protect human rights and the rule of law. Both Western and Chinese approaches have their benefits. Cambodia’s task is to balance the benefits and obligations of both.
A study by the International Labour Organisation (ILO) suggests that it is the lower-end jobs in the textile and garment industry that are facing the risk of getting replaced by robots or automation. The research, based on two ASEAN-wide surveys of more than 4,000 enterprises and 2,700 students, and qualitative interviews with more than 330 stakeholders in ASEAN and beyond, examines how technology has an impact on workplaces.
According to the study, the robot age is already a reality among ASEAN manufacturers, who have been incrementally introducing robotic automation to improve productivity, quality, consistency, and workplace safety.
However, talking about labour-intensive sectors such as textiles, clothing and footwear, which provide more than nine million jobs in the ASEAN region, the report says, here, skilled jobs are particularly vulnerable to disruptive technologies, like additive manufacturing and automation. This could reduce export growth, as destination markets in Europe and the United States bring production back home. The subsequent social consequences could be particularly significant for some ASEAN economies, such as Cambodia and Vietnam.
As far as India is concerned, when the second wave of automation in the textile and apparel industry halves the use of human capital, those industries will shift their base back to developed nations. This would be a bad situation for India, as for the next two decades, every year, 10 million people are expected to join India's workforce.
In their statement last week, African cotton producers have said that the Nairobi decision was key to improve market access and eliminate export subsidies for cotton.
Speaking for the “cotton four” (C4) countries — Burkina Faso, Benin, Chad and Mali, the economies of which largely rely on cotton exports, Ambassador Thiam Diallo of Mali is reported to have said that the domestic support programs of major producers were continuing to put downward pressure on global prices of cotton, to the detriment of C4 farmers.
This in turn is having dramatic consequences on rural African communities and forcing thousands of young people to turn to migration in order to earn a living. The statement was supported by the Group of Least-developed countries (LDCs).
The remarks were made at the WTO’s latest consultations on cotton which included the fifth dedicated discussion on trade-related developments for cotton as well as Director General’s Consultative Framework Mechanism on Cotton.
The discussions were the first since WTO members adopted a decision on cotton at their 10th Ministerial Conference in Nairobi last December.
The decision requires developed countries to eliminate export subsidies for cotton immediately and for developing countries to do so by 1 January 2017.
Australian wool prices improved further this week, giving weight to the long-held belief of a relative global shortage of suitable greasy wool in front of machines or in stocks.
Broader microns continued to be the focus and largely carried the market higher this week. The progressive rises over the two selling days resulted in 21 micron wools jumping almost 50 cents clean for the sale, approaching 1500 cents clean. The 21 micron category briefly hit 1500 cents in June 2015, but the most notable recent encounter at this level was in 2011 and the record for any 21 indicator is 1682 cents back in 1988.
Widespread enquiry for new business, mainly China, India and to a lesser extent Europe, warned exporters of a dearer market on its way for the merino fleece segment. It was not an over-abundance of quantity that was being sought, but the fact that there were numerous users needing prompt or close in shipment, giving weight to the long held belief of a relative global shortage of suitable greasy wool in front of machines or being held as stock.
Forward sellers appeared to be well-covered and mostly just bought to advantage against the indents to supply their clients with any prompt lots needed prior to the recess.
Price of cotton went higher than that of VSF recently. Both cotton spot and cotton futures are staying at high level currently. Since quantity offered for sales is less than planned, short availability will sustain before new cotton arrives. (Monthly consumption of 600kt is higher than auction volume of 400-500kt). According to the acceptance of spinners and cotton futures tendency, cotton price is likely to be bolstered at 13,000-13,500yuan/mt.
Meanwhile, 2016/17 cotton production is estimated to reduce by around 15 per cent on falling cotton planting area and flooding in the Yangtze River valley. Given cotton supply reduction and rising commodity market, cotton price is expected to remain high.
VSF market has been pushed up by tight supply and higher cotton price since last Friday. Now the price has touched 13,700yuan/mt and most plants still have pre-sale volume. If cotton futures do not dive, VSF price in Jul may hit new highs since the start of 2016. The operating rate of some spinners and fabric mills may be influenced by G20 Summit in August, but the impact may be partially offset by maintenance of Zhejiang Fulida and increasing orders in the second half of year. The atmosphere of peak season may sustain in Sep-Oct but uncertainties exist afterwards.
When an ambitious businesswoman, Susan Bernard, attended the NASA Technology Days in Cleveland, Ohio, and got herself into the know about the latest NASA sensors, the idea of creating textile Instruments struck her mind. The project was about integrating a novel sensor technology into a fabric that would be able to monitor the condition of living beings.
The technology called SansEC, is a sensor that functions using electromagnetic vibrations in the air and does not need to be plugged in or use batteries. Originally developed by NASA Langley researcher Stanley Woodard, SansEC can simultaneously measure different physical phenomena, like temperature and fluid level, and functions even when badly damaged. A remote antenna interrogates the sensor and collects the measurements.
In the beginning, Woodard imagined using the sensor on space systems such as inflatable habitats or the Mars airplane. However, Textile Instruments is now a NASA licensee for the promising technology. With various embroidery techniques and a multitude of fabrics, the sensors can be virtually added to existing materials, uniforms or weaved directly, creating a highly resonant sensor at a low cost with no additional weight, NASA said in a statement. Textile Instruments has already made a prototype blanket of the same.
The September edition of Milano Unica (Sept. 6-8), designed for a global audience will take place at Fieramilano Rho, opening on the last exhibition day of both The Micam and Mipel to underscore the determination and political-economic importance of teaming up.
The ‘New Beginning’ of the 23rd edition of Milano Unica starts with the principle of offering a new dimension of service, creativity and excellence of the proposals put on display, with a view to accompanying visitors through the values of quality and authenticity that characterize Made-in- Italy production. Italy’s most prominent and important manufacturers but also foreign exhibitors will participate along with the participants from the Japan and Korea Observatories that, as usual, were selected based on product quality.
The event represents an innovation in textile and accessories trade shows, as it introduces a new system of establishing relationships between fabric manufacturers and customers and, also, the entire fashion system, thanks particularly to the thorough and complex trend research area. In fact, Milano Unica has invested on trend research, raising the bar and empathetically involving the reference audience, accompanying it through creative, never banal, explorations.
Milano Unica transforms itself into a place where a team-focused system does not diminish the individual personality of each single business, but instead creates an inclusive, barrier-free environment that invites visitors to walk smoothly through the areas. This restyling is intended to allow participants to experience a new dimension of service, business and entertainment.
World leader in integrated technology solutions dedicated to industries using fabrics, leather, technical textiles and composite materials, Lectra has opened its subsidiary, Lectra Vietnam recently. Lectra has been present in Vietnam for over 20 years and represented by its agent Ly Sinh Cong Trading Service Company (LSC) for the past 12 years. The new subsidiary will take over LSC’s team and assets.
With the opening of the Vietnam subsidiary, Lectra is continuing its development plans in Asia. Said Daniel Harari, Lectra CEO, thanks to 5.5 per cent growth in the first quarter of 2016, Vietnam is one of Southeast Asia’s most dynamic economies. It is a top choice for manufacturers who focus on production costs and brands seeking to diversify supplies. The transpacific agreement signed in February 2016 will reinforce the attractiveness of the country, where Lectra has many customers, including very large Asian companies.
The apparel industry is vibrant in Vietnam. Clothing exports reached $21 billion in 2014 and should grow by 8 per cent, attaining $29.5 billion in 2016, nearly a third from local actors. Of the 6,000 textile and apparel companies, a large number are owned by Chinese, Hong Kong, South Korean, Japanese and Taiwanese companies operating out of Vietnam to take advantage of lower manufacturing costs.
Nylon fiber maker Invista has firmed up plans to slash a significant part of its Chattanooga plant production. The nylon 6,6 polymer made at the Chattanooga factory is used in apparel and automotive air bags. This move is expected to eventually lead to a significant cut in its 300-person workforce, it is gathered. The Koch Industries division that bought DuPont's Access Road plant in 2004 is totally stopping production of nylon 6,6 polymer in Chattanooga and shifting the work to two other facilities in South Carolina and Canada, according to Invista.
The company has made this announcement to ensure employees, contractors, site tenant companies and customers have as much time as possible to plan for the future. Since the move is a multi-phase restructuring process, it's premature to know as to how many employees would be impacted and when, officials of the company said.
The company anticipates an ongoing need for "a consistent workforce" into 2017. They'll assist with the transfer of production in addition to completing steps to safely secure the nylon 6,6 polymer assets not needed in the future, the company said. One thing that is noticeable is that other products are made by the company in Chattanooga though the plans for these functions are unclear.
Just three years ago, Invista made one of the biggest investments ever in the plant that spans more than six decades in the city to help the company penetrate the growing automotive parts market. The Invista decision is due to impact Kordsa Global, a company that's a tenant in the plant and on its own employs about 200 people.
Late last year, DuPont announced that it was closing the last of its operations at the plant. About 40 workers including 26 employees and 14 contractors lost their jobs at the end of last year.
