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According to Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), different non-tariff measures such as anti-dumping, countervailing, safeguard measures being imposed by the developed nations are making an adverse impact on the knitwear manufacturers and exporters of Bangladesh.
Speaking at a seminar organised in association with Bangladesh Tariff Commission on problems and measures regarding non-tariff measures for ready-made garments industry held at BKMEA's main office in Narayanganj this week, the speakers said the manufacturers and exporters in developing countries lack the key information, facilities and capabilities. Meanwhile, the complex requirements of a variety of non-tariff measures have made it expensive and difficult of the manufacturers and exporters.
BKMEA Director Md Habibur Rahman said the buyers impose conditions on the manufacturers of buying raw materials from certain firms, which also have negative impacts on the capacity of the manufacturers. Former vice-president of BKMEA, Md Hatem said Bangladesh's garment factories are also subjected to strong compliance and production cost is increasing due to the compliances despite no increase in the export earnings.
According to Apurba Sikder, Director of Wisdom Attires, the export products are also subjected to different kinds of certification and the samples have to be sent abroad due to the lack of adequate number of accredited laboratories, causing delay in shipments.
www.bkmea.com
The state of Telangana is in the process of drafting a new textile and apparel policy (T-TAP), which will be launched in January 2016 to boost these segments. The policy will implemented for a period of five years from the date of its announcement.
With an aim to provide major thrust to the industry, the government has decided to propose measures being implemented by the neighbouring states like Maharashtra, Karnataka and Tamil Nadu. These states have already implemented textile policies, for the development and welfare of handloom weavers. The government will focus of developing Warangal as a major textile hub besides developing textile parks in Karimnagar, Adilabad, Khammam and Medak where cotton is grown as a major commercial crop.
The policy will also aim at strengthening the procurement of raw cotton and extend the remunerative prices to the farmers besides creating marketing linkages for the products produced by the weavers and handloom societies. The proposed policy is expected to relieve the debt ridden weavers in the state. The government also aims to promote traditional arts and crafts and bring back artisans, who have migrated to other states.
This year’s ITMA witnessed latest spinning and knitting technology solutions by Mayer & Cie. known as spinitsystems. The spinitsystems combines in an intelligent way what were previously separate processes in textile manufacturing. The technology combines the three process stages spinning, cleaning and knitting.
The Spinit 3.0 E is the first machine to be fitted out with the new technology. On this machine single jersey knitwear is manufactured not from yarn but from roving straight from the spinning mill. This machine’s technology thus kicks in at an entirely different point from conventional circular knitting technology. With spinitsystems, the so-called flyer roving is taken from conventional flyer bobbins and fed to an electronically controlled conventional 3-over-3 roller drafting system where it is drawn into a fine fibre bundle. The twin-jet false-twist spinning unit then takes over, feeding the fibre bundle to the knitting unit, where it is resolved on the yarn guide into a composite fibre without a twist.
After cleaning the composite fibre is formed into loops by means of a conventional circular knitting process using the tried and trusted relative technology and a textile surface takes shape. This process provides the users with a whole array of advantages. Spinitsystemsprocesses roving straight into knitwear, knitting the fibres into loops gently and without a twist. The voluminous feel of the knitwear is suitable for use in manufacturing high-quality baby linen and nightwear and quality shirts.
www.mayerandcie.com
During the recently concluded technology exhibition – ITMA, Karl Mayer displayed MLF 46/24 in a width of 242”, an exceptionally wide multi-bar lace machine with fall plate and without jacquard bars, offering an impressive level of productivity for a low investment outlay.
The concept of this new machine is based on considerably increasing its speed compared to its predecessor at a gauge of E18. The last fall plate raschel machine was the MRGSF 31/16, having a working width of 210″ and a summation drive system. The MLF 46/24, 242″ can produce several lace panels side-by-side, as well as wide, all-over-patterned textile webs and also bordered fabrics with long repeats.
At ITMA the MLF 46/24, with a working width of 242″ and a gauge of E 18, simultaneously worked on four bordered webs with 145 cm widths of the finished fabric and 150 cm long patterns. The non-stretch panels are intended to be used in outerwear.
Also the new TL 79/1/36 Fashion machine by Karl Mayer can produce innovative Textronic lace looks never seen before in the lace sector. These eye-catching products include lightweight fabrics based on jacquard constructions, featuring relief-like patterns with a distinct three-dimensional look – the result of a new way of incorporating the heavy liners. All the standard Textronic® patterns can be worked using the 76 pattern bars that are available, without using the heavy cord option. The design of the TL 79/1/36 Fashion makes it ideal for producing exclusive, high-end lace bands and panels for dresses, blouses and jackets.
www.karlmayer.com
Wool manufacturer Botto Giuseppe from Valle Mosso, Biella, Italy, has become the prime reference for the FAIR cashmere project set up by US fashion label Maiyet. The raw material comes from Mongolia, the world's third largest producer of this fibre, and it is environmentally and ethically sustainable.
Maiyet is a US luxury fashion label specialising in rare artisanal products from all over the world. Based in New York and led by Kristy Cailor, Maiyet buys cashmere directly at source, with no intermediaries. Supporting local goat farmers from the Gobi desert in Mongolia, and improving their quality of life through tangible contributions, are among Maiyet’s objectives. The company also looks after goat vaccination and disinfection, in partnership with the Gobi Revival Fund.
FAIR cashmere is 'Cradle to Cradle'-certified at 'Bronze' level, and is awaiting its 'Gold' certification. 'Cradle to Cradle' is a rigorous certification system for products that are innovative across their entire supply chain. It tests the process through five criteria to evaluate a product's sustainable development level: waste, health, energy consumption, water resources (in terms of usage and pollution) and human resources use.
Botto Giuseppe was created in 1876 and is a manufacturer of fine fabrics and yarns. Over the years, Botto Giuseppe has added jersey and knitwear yarns to its range, and is now a vertically integrated producer, from yarns to finished products, in its two manufacturing centres in Valle Mosso and Tarcento. The company participates in the leading industry trade shows such as Milano Unica, Pitti Filati, Intertextile Shanghai and Spinexpo.
www.bottogiuseppe.com
www.fairbymaiyet.com
"The trend indicates that low-cost production enjoyed by the country two decades ago is now history and it is no longer profitable for many manufacturers, both international and Chinese, who are moving away from China in search of greener pastures. In addition to rising wages and energy costs, higher logistics costs and government quotas on imported cotton are other major reasons why manufacturers are exploring other destinations"
China’s demand as the textile manufacturing hub is waning as Chinese workers are asking for a hike in wages and thus, local manufacturers are finding ways to combat the current challenges. Higher pay, a stronger currency and Beijing’s desire to become a more automated, and high-tech society are all pushing clothing manufacturers/exporters to find new sources.
A leader despite odds
Domestic Chinese manufacturers are combating rising production and labour costs in the textile and apparel industry, which has also led to the country losing its status as the mass producer of goods. China’s costs have risen so quickly and to the extent that importing countries are moving to many other Southeast Asian countries such as Malaysia, the Philippines, Indonesia and Vietnam that offer low production and labour costs.
However, while China imports textile and apparel products from Bangladesh, Pakistan and other countries, its textile and apparel exports continue enjoy the number one status in global foreign trade, with China’s biggest markets the United States, the European Union and Japan. Also, many Southeast Asian exporters import China-made fabrics and re-export them after further processing. Last year, China processed approximately 10 million tons of cotton, 60 per cent of which was grown locally. The remainder was imported from countries including the United States, India, and Pakistan.
However, recent CCPIT data reveals China’s total export value of textiles and apparel from January 2015 to May 2015 was $30 billion, with the United States accounting for some $16.4 billion in this period. By contrast, in 2014, the total export value of textiles and apparel amounted to roughly $300 billion. And while the US market is showcasing much more resilience, the European Union’s and Japan continue to lag behind as far as economic recovery is concerned.
Focus on new export, production destinations
Amid slowing demand from the US, EU and other traditionally strong importing countries, Chinese players are now exploring newer export destinations such as South America, including Brazil, Africa and Russia. Sighting continuous rise in labour and production costs, manufacturers from China are also moving their production to places like South Carolina in the United States, where they are buying out mills to set up manufacturing base. The trend indicates that low-cost production enjoyed by the country two decades ago is now history and it is no longer profitable for many manufacturers, both international and Chinese, who are moving away from China in search of greener pastures. In addition to rising wages and energy costs, higher logistics costs and government quotas on imported cotton are other major reasons why manufacturers are exploring other destinations.
While labour and production costs are equally high in America, much lower energy prices, competitive prices of cotton, tax incentives from local governments and a considerable reduction in shipping costs since supply is closer to home are luring Chinese players to set up a shop in the US. And Chinese yarn manufacturers with US operations want to ship yarn to apparel manufacturers in Mexico, Central America and the Caribbean — countries that have duty-free access to the American market under NAFTA and CAFTA.
There are a host of significant trends that have an impact on today's global cotton industry, but, in the end, nothing is more critical than consumer demand. Whatever the issues may be, as long as people continue to buy cotton textiles and apparel, everything else is manageable. However, consumers are increasingly demanding more than a comfortable and fashionable product at a reasonable price – they want to know the product's story, too. That was the primary message delivered by panellists during the third Open Session of the 74th Plenary Meeting of the International Cotton Advisory Committee (ICAC), entitled ‘Demand for Cotton: the Views of Retailers’.
“Price and functionality are the primary drivers of consumer demand and will be for the foreseeable future, but sustainability is steadily growing in importance for buyers," said Prem Malik, a partner with Techware Consultants.
“Our customers love everything about cotton," said Pascal Brun, global supply chain manager for H&M, adding, “However, their concerns about sustainability are not going to go away. People want to know the story behind the products they buy: what they are made of, where they come from, and what impact they have on the environment."
Pramod Singh, cotton leader at IKEA, agreed with Brun's assessment. “Retailers need to be able to tell that story or the customers will go to someone who can," he said, adding, “Being able to talk about sustainability isn't enough to gain customers, but not being able to talk about sustainability is enough to lose them."
www.icac.org
Around 200 delegates from IndustriALL Global Unions are gathering in Phnom Penh today and tomorrow for Executive Committee meetings. The garment industry employs 600,000 workers in Cambodia and as part of its global action towards living wages in the sector, IndustriALL is working with its eight Cambodian affiliates to push for higher wages.
According to IndustriALL general secretary Jyrki Raina, the latest increase to the minimum wage does not meet workers’ expectations for a wage sufficient to support themselves and their families. The current demands by unions in Cambodia reflect the workers’ frustration with the brands, as well as the lack of response from government and employers to the unions’ 13 demands. Workers are saying that brands sourcing from the country must guarantee a living wage.
This is why it has become urgent for IndustriALL to continue to work with the brands sourcing from Cambodia towards industry level collective bargaining in order to improve wage conditions. The garment brands that source from Cambodian factories must take their share of responsibility for ensuring that garment workers earn a living wage.
H.E. Sat Samoth, Under-Secretary of State from the Ministry of Labour and Vocational Training will speak at the opening of the Executive Committee. To highlight the complex situation in the region, IndustriALL is hosting a panel debate on living wage action, collective bargaining and organizing in Cambodia and other Asian countries. Panelists include Cambodian government representative Heng Sour, Swedish retail giant H&M, GMAC general secretary Ken Loo and trade union representatives from Cambodia, Myanmar and Indonesia.
www.industryall-union.org
Taiwan based knitting machinery manufacturing giant Pai Lung Machinery Mill attracted a significant number of interested visitors at this month’s ITMA 2015 in Milan. With new technology in 13 different circular and flat knitting machines and a display of hundreds of roles of fabric, Pai Lung presented its capabilities in line with the ITMA 2015 theme of ‘Sustainability.’
According to the company, the most exciting development was its SPINIT technology, an advanced concept and revolutionary technology combining spinning and knitting. The cost of knitted fabric from SPINIT is significantly lower than traditional processes, Pai Lung estimating that savings of up to 37 per cent can be made in equipment costs, power supply and labour costs.
Another new technology introduced was its ‘inverse plating’ on its PLF-IP132 flat knitting machine. However, innovative circular knitting technology is always the key attraction at Pai Lung’s booth and the company introduced its new circular knitting technologies under new fabric designations as Active mesh- a single jersey with eyelet jacquard fabric made by a full jacquard rib-mesh machine, ‘3D embossing’ - a new yarn inlay knitting technology on Pai Lung’s PL-KD2, ‘Duplexknit’, ‘Multi-fleece’ is produced on Pai Lung’s PL-KFCJ 34“, 28GG, 72 feeders machine, ‘Warm terry’ is made on Pai Lung’s PL-KDPS-HP high pile shearing machine in 36-inch diameter with 14 gauge on the dial, and 28 gauge in the cylinder, with 56 feeders for high volume pile fabric production.
Many other developments and fabric applications were also shown on Pai Lung’s 880 square metres booth.
www.pailung.com.tw
Turkish foreign investments across the globe have increased considerably over the last decade. Major investment has particularly gone to Africa, where its value has reached $6 billion. According to industry estimates investments in North Africa almost doubled in the past five years, while in the sub-Saharan region Turkish investors have invested in countries such as Ethiopia, Cameroon, Cote d’Ivoire and Nigeria.
According to Oktay Ercan, Chairman of OE Group, the rise is in investment is because of the success of foreign policy initiatives of the Turkish government in Africa and Middle East since 2005. By providing employment to locals and making use of home-grown resources, the Turkish companies are helping Africa’s development. However, Ercan feels that more investment in Africa is required if Turkey aims to sustain its economic growth and move up the ranks of the G20.
“In brief, with the business and investment opportunities in Africa, the Turkish know-how, the financial mechanism in the Gulf should be established. The African countries declare that they have been taking Turkey as an example for development especially in the last five years,” he said.
The OE Group, has been actively operating in Africa and in the Gulf region since 2001, in the textile, retail, import-export, construction, mining, agriculture, livestock breeding and tourism sectors, employing 6,500 in its operations in 14 companies in the region: in the Middle East – in the UAE, Qatar and Saudi Arabia – and Africa, in Sudan, Kenya, Cote d’Ivoire and Cameroon.
Oe-group.com
