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Gokaldas Exports (GEX) has signed a collaborative agreement with BRFL Textiles (BTPL), a prominent fabric processing company based in Tarapur, Maharashtra. Under this agreement, GEX will invest Rs 50 crore initially with the potential for further investments totaling up to Rs 300 crore in multiple tranches. These funds will primarily support BTPL's working capital requirements, with a portion allocated towards capital expenditures. Additionally, the possibility of a merger or acquisition by June 30, 2025, is being explored, contingent upon specific conditions and regulatory approvals.
BTPL operates one of India’s largest fabric processing facilities, processing a variety of fibers such as cotton, viscose, linen, polyester, wool, nylon, modal, silk, and Tencel. Known for its advanced infrastructure and skilled design team, BTPL specialises in high-quality prints and yarn-dyed fabrics, catering to both knit and woven productions. This strategic investment is expected to enhance GEX's self-sufficiency in raw material procurement and bolster its capabilities in fabric processing, aligning well with the company's integrated business model.
Founded in 1979, Gokaldas Exports is a leading manufacturer and exporter of apparel, boasting an annual turnover of $290 million as of FY24. With over 30 production units and a workforce exceeding 51,000 employees, including recent acquisitions of Atraco and Matrix, GEX serves global apparel brands across more than 50 countries. The company remains committed to innovation and sustainability in its operations, aiming to solidify its position as a premier global apparel manufacturer and exporter.
Sportswear firm Saucony has named Joy Allen-Altimare as its new global chief marketing officer, effective immediately.
Allen-Altimare will report directly to Rob Griffiths, Global Brand President, Saucony and will join the brand's senior leadership team. In her new role, she will be tasked with overseeing Saucony's global branding initiatives, including brand positioning, direct-to-consumer strategies, advertising, digital strategies, international growth initiatives, and expansion of the brand's global heritage lifestyle business.
A seasoned marketing leader with over two decades of experience, Allen-Altimare joins Saucony from Havas Media Network, where she served as chief revenue officer for North America, managing client experience, growth, and multicultural teams. Her background also includes serving as CMO at Kindbody, a fertility clinic network, and CRO at EHE Health.
Rob Griffiths, Global Brand President, Saucony, says, Allen-Altimare’s passion for change and her commitment to building an inclusive culture aligns perfectly with Saucony’s vision for the future. Her leadership will be instrumental in creating a consumer-centric brand that inspires people to keep moving forward.
Founded in 1898, Saucony has grown to become a leading running and lifestyle brand. Acquired by Wolverine World Wide in 2012, the company is focused on building a strong brand identity and expanding its global reach.
The US-China trade war, initiated in 2018, saw tariffs placed on various goods, including textiles and apparel from China. This has sent ripples through the global textile and apparel industry, sparking debate on its effectiveness and impact.
The justification, a cloudy picture
The US justified the tariffs citing intellectual property theft and unfair trade practices by China. However, the effectiveness is debated. The National Council of Textile Organizations (NCTO) argues the tariffs levels the playing field for US manufacturers facing lower Chinese production costs.
However, critics like the American Apparel & Footwear Association (AAFA) point out the tariffs increase costs for US companies and consumers, hurting domestic brands. A 2019 study by the Peterson Institute for International Economics found the tariffs reduced US GDP by $83 billion. Similarly, a 2019 study by the National Bureau of Economic Research found that the tariffs increased US consumer prices by an average of 2.3 per cent. For example, American clothing company Gap Inc. reported a 2 per cent decline in profits due to rising costs associated with the tariffs.
Global trade bodies' stance
The World Trade Organization (WTO) has remained largely silent on the specific US-China tariffs. However, the organization emphasizes free trade principles and discourages protectionist measures.
Impact on US textile and apparel industry
While the tariffs aimed to revive domestic manufacturing, data suggests a different story. The US International Trade Commission reported a decline in US textile and apparel production in 2020. "The tariffs haven't done much to revive domestic manufacturing and have only served to increase costs for US companies," explains Sharon Freeman, Executive VP, National Retail Federation
For China, apparel exports to the US did decline initially due to the tariffs. However, China found alternative markets and diversified its exports. The tariffs have disrupted the global textile supply chain. US companies for example are sourcing from Southeast Asian countries like Vietnam. However, this shift brings new challenges like increased transportation costs and building new supplier relationships.
Table: Impact of US Tariffs on Textile & Apparel imports (2018-22)
|
Country |
% Change in Imports to US |
Source |
|
China |
-5% |
USITC |
|
Vietnam |
+25% |
USITC |
|
Bangladesh |
+18% |
USITC |
However, countries with strong textile and apparel industries, particularly those in Southeast Asia, have seen a rise in exports to the US. This has boosted their economies but raised concerns about labor standards and environmental practices in some regions.
The US tariffs on China's textile and apparel industry remain a contentious issue. While the US aimed to protect domestic manufacturing, the impact has been mixed. Consumers faced higher prices, some US jobs were lost, and China adapted its export strategy. The main beneficiaries have been Southeast Asian nations, raising concerns about potential exploitation in those supply chains. Finding a long-term solution requires a multilateral approach that addresses intellectual property concerns while fostering fair and sustainable global trade practices.
Europe's second-hand clothing industry is experiencing a boom and is projected to reach $36.4 billion by 2034. This growth is being fuelled by a growing desire for sustainable fashion and unique finds.
The catalysts for growth are many. One major growth driver is the rise of online platforms. Easy access to pre-owned clothing through online marketplaces like Depop and Vinted has revolutionized buying and selling. The allure of discovering one-of-a-kind pieces at a fraction of the retail price attracts budget-conscious fashionistas seeking to express their individuality. Also eco-conscious consumers are embracing pre-loved clothing and customization to reduce waste.
Market breakdown
Italy leads growth with a projected CAGR of 7.4 per cent. However, Spain shows explosive potential with a CAGR of 8.1 per cent. Women's clothing dominates the market at 55.1 per cent share. Party wear is expected to be the leading segment in 2024.
However, challenges remain. The stigma of ‘used’ clothing lingers among many consumers. Some consumers still perceive second-hand clothing as inferior, hindering wider adoption. Ensuring consistent quality and condition across pre-owned items is crucial for building trust.
Luxury resale and customization fuel growth
Luxury resale platforms cater to a niche market seeking designer brands at a discount. Collaborations between established fashion houses and resale platforms further legitimize the second-hand market and broaden its appeal. Customization and upcycling are also gaining traction as consumers seek to personalize their wardrobes and minimize waste. Many resale businesses now offer workshops and services to cater to this growing demand for sustainable, unique fashion. Influencer marketing and social media endorsements significantly impact consumer perception, particularly among younger demographics. This exposure is driving the demand for second-hand clothing.
Meanwhile, H&M's foray into second-hand clothing demonstrates the commitment of established brands to sustainability. And partnerships like The RealReal and Neiman Marcus showcase the growing collaboration between luxury and resale sectors. Poshmark's acquisition of Premium Garage Sale highlights the consolidation trend within the resale market.
Moving ahead, as competition intensifies businesses must prioritize innovation, adapt to evolving trends, and champion sustainability to maintain a competitive edge. This includes utilizing technology like blockchain for authentication and traceability, further enhancing consumer confidence.
Lucian Dorobantu, Former Director, Inditex-International Division Northern Europe and responsible for the Russian subsidiary until the company’s exit from that market in 2023, has been appointed as the new Director of the youth brand Pull & Bear. He will succeed Pablo delBado.
The transition marks a significant leadership change within the Galician group. Also a member of Inditex’s executive committee, Del Bado Rivas has decided to step down from his responsibilities within the group.
Highlighting Del Bado's extensive and varied career at the company, Inditexemphasised on his ‘prolonged’ professional journey, during which he held numerous roles of ‘diverse nature and high responsibility, including the leadership of Pull&Bear since its inception. A Romanian national, Dorobanta led the Russian subsidiary until Inditex's exit from the market in 2023.
Potentially igniting the controversy with campaigners who argue that shearing alpacas causes significant sufferings, Marks & Spencer (M&S) has reversed its ban on alpaca wool. The retailer had initially banned the wool in 2020 following pressure from animal rights group PETA, which highlighted animal welfare concerns.
In 2020, M&S announced it would phase out alpaca yarn from its products after a PETA investigation revealed concerns around the welfare of animals farmed for alpaca wool. However, M&S recently stated, it would resume using alpaca yarn, citing the introduction of the Responsible Alpaca Standard (RAS) in supply chains as a key factor. According to M&S, the RAS gives the brand the confidence to start sourcing this fibre again.
Launched in 2021 by industry group the Textile Exchange, the RAS is a voluntary certification program for alpaca farmers and ranchers, assessing factors such as animal welfare and land management. M&S emphasised that the use of this certification will be the minimum standard for all alpacafibre in M&S products, highlighting the quality and traditional know-how associated with the fibre’s production. Previously, M&S used alpaca yarn in its jumpers and coats, though currently, no products contain alpaca yarn.
PETA had campaigned against the use of alpaca wool in 2020, alleging that animals at the largest privately-owned alpaca farm suffered deep wounds from shearing. This led to a court case in Peru on charges of animal cruelty. PETA and other campaigners have warned that the RAS fails to prevent animal suffering, criticising it as humane washing and pointing out shortcomings such as only requiring inspections once a year.
Mimi Bekhechi, Vice President-UK, Europe and Australia, PETA, strongly opposed M&S’s decision, suggesting it could alienate compassionate consumers.
She states, if M&S wants to be in the good graces of today’s conscientious shoppers, it must ban alpaca wool – and all animal-derived clothing and accessories – from its stores. And that’s exactly what PETA is urging on it to do.
The Textile Exchange recognised the role of animal rights organisations in driving necessary change in the fashion industry, stating that the RAS was designed to incentivise humane treatment and improve practices across the industry.
The Southern India Mills’ Association (SIMA) is set to host the 14th edition of Texfair, a prominent textile machinery fair, from June 21-24 in Coimbatore, reveals SK Sundaraman, Vice Chairman, SIMA.
The fair will feature 240 exhibitors, including international participants, spread across 260 stalls. Exhibitors will showcase textile machinery, spares, accessories, and cutting-edge technologies, with an anticipated business turnover of Rs 1,500 crore.
Textile mills typically allocate 2.5 per cent to 3 per cent of their annual turnover for spares and accessories, alongside investments in modernization, notes Sundaraman. These mills are continually seeking ways to cut costs, boost efficiency, and forge new supplier partnerships. Texfair aims to bridge the gap between mills and suppliers through this exhibition, he adds.
Approximately 40 per cent of the exhibitors hail from Tamil Nadu, and 30 per cent to 40 per cent from the MSME sector. The event is expected to benefit the small-scale textile industry as well, as these units strive to lower operating costs to remain competitive.
Facing a downturn since the past 16-18 months, textile units need to enhance efficiency and reduce operational expenses, adds Sundararaman.
Further Sundararaman and Krishnakumaremphasisedon the need for the textile and clothing industry in the Coimbatore to focus on value addition, new product development, and branding to seize emerging opportunities.
In a significant stride towards sustainability, bluesign and the Sustainable Chemistry for Textile Industry (SCTI) have donated the innovative Sustainable Chemistry Index (SCI) Methodology to the Zero Discharge of Hazardous Chemicals (ZDHC) Foundation. This collaboration aims to transform chemical management across the textile, leather, and fashion industries by providing a unified, transparent framework to address environmental impacts comprehensively.
The fashion industry has long grappled with the use of hazardous chemicals, hindered by inconsistent regulations and overlapping standards. Despite various efforts, a lack of coordinated action and transparency has stymied progress, leaving consumers uninformed about the environmental impact of their purchases.
Leading the charge for change, SCTI, a consortium of pioneering chemical manufacturers, and bluesign, a sustainability solutions provider, have developed the SCI to streamline and enhance chemical assessments. The SCI offers a holistic approach to evaluating the environmental impact of chemicals throughout a garment's lifecycle, from responsible sourcing to end-of-life considerations.
The SCI introduces key metrics such as supply chain transparency, reduced fossil dependency, product carbon footprint, and resource efficiency. This comprehensive framework allows the industry to better assess and promote circularity and sustainability in chemical use.
By donating the SCI to ZDHC, SCTI and bluesign aim to foster industry-wide collaboration. The SCI will become the cornerstone of ZDHC's Chemicals to Zero (CTZ-A) program, elevating sustainable chemistry standards. In 2024, ZDHC will integrate SCI content through stakeholder engagement, enhancing its Roadmap to Zero Program and making the SCI publicly available for widespread adoption.
Industry leaders commend this initiative. Wolfgang Schumann, SCTI Chairman, highlights the convergence of isolated approaches, while Isabella Tonaco, SCTI Executive Director, emphasizes the power of collective action. ZDHC CEO Frank Michel underscores the transformative potential of integrating SCI into the ZDHC Framework, showcasing thought leadership and driving positive change in sustainable chemistry.
This collaboration empowers manufacturers and brands to make informed, responsible chemical choices, committing to a sustainable future for the textile industry.
The Southern India Mills’ Association (SIMA) will host the 14th Texfair, a prominent textile machinery fair, from June 21 to 24 in Coimbatore.
SIMA chairman SK Sundararaman and Vice-chairman S Krishnakumar announced that the event will feature 240 exhibitors, including international participants, across 260 stalls.
Attendees will showcase textile machinery, spares, accessories, and cutting-edge technologies, with the fair expected to generate Rs1,500 crore in business.
Sundararaman highlighted the ongoing need for textile mills to invest 2.5 per cent to 3 per cent of their turnover in spares and modernization efforts. Texfair aims to connect mills with suppliers to help reduce costs and enhance efficiency.
Nearly 40 per cent of exhibitors hail from Tamil Nadu, with 30 per cent to 40 per cent representing the MSME sector. The event is poised to benefit small-scale textile units seeking to lower operational costs.
Noting the cyclical nature of the textile industry, particularly in spinning, Sundararaman expressed optimism for a revival following a recent downcycle.
He emphasized the importance of the Coimbatore region’s textile and clothing industry focusing on value addition, new product development, and branding to capitalize on emerging opportunities.
SedoTreepoint has successfully upgraded the manufacturing capabilities and digital integration of the fabric dyeing plant of Kudu Knit Process their fabric dyeing plant in Ludhiana, India.
Marking a significant step in the company’s digital advancement, the plant was upgraded with SedoMaster and ColorMaster. The installation of SedoMat 8015 controllers and the integration with SedoMaster’s central manufacturing execution system allowed Kudu to establish an automatic dispensing unit, thereby expanding their factory operations in Ludhiana. This upgrade supports Kudu in efficiently producing a diverse range of fabrics, including cotton, polyester, and viscose blends, while meeting strict timelines.
The integration of SedoMaster and ColorMaster not only boosts Kudu’s production capabilities but also highlights their dedication to innovation and efficiency in textile manufacturing.”
Additionally, the implementation of ColorMaster ensures precise color management and optimal production recipes, improving quality and cost-effectiveness across Kudu’s manufacturing operations. As Kudu continues to incorporate more ERP functionalities and adopts SedoApp for workflow enhancements, their digital transformation journey with SedoTreepoint is set to achieve further optimisations and operational efficiencies.
