FW
The circular economy is helping brands hit their environmental and economic targets and succeed in today’s marketplace.Outdoor clothing brand FW’s new range of clothes has been designed to help put an end to throwaway consumerism, emphasizing durable, high-quality construction and materials to ensure the garments last and last. By repairing every garment it can, FW is selling clothes that could be worn for life. This is an important move away from the usual practice of simply disposing of clothes when they become damaged. Through a dedicated service designed to make clothes last longer, customers will have the option of having garments repaired for free within a warranty period. Repairs will still be available to customers at a low cost beyond the warranty period.
A repair service is one of several models companies may integrate into their business to create more value and profit, while reducing their environmental impact. Repairing products helps to keep them in use for longer and builds loyalty with the customer. Several market players across the fashion sector illustrate the competitive advantage of circular business models, which can help build not just a more sustainable business but customer loyalty too. People are waking up to the impacts of their shopping habits and increasingly demanding more sustainable options from brands.
Brands are diversifying their offer to provide not only fashion, but an entire experience. They are looking to generate experience in its clients a 360 degrees’ experience, where they don’t only find garments in its stores but also an entire concept. This encompasses everything, from music to salads. Armani has a megastore in Italy, where it has a cafeteria, a decoration division and even a bookstore. Hermès has partnered with Apple to launch the Apple Watch. Gucci collaborated with Fiat to launch the Fiat 500.
H&M, for example, offers in its flagship in Spain the option of going shopping and, at the same time, in the same place, to have salad in the restaurant. Urban Outfitters has always focused its offer on a variety of products so the client stays as long as possible in its stores. Bershka has allied with a live streaming music platform. At the new concept of the Primark store clients can get a haircut or drink a coffee.
Brands are looking for a way of staying afloat especially in times where new business models are entering the markets. A way of conquering the consumer and fighting sales deceleration. Even if this means diversifying their offers and generating new ones for the consumer.
American clothing companies, scouting for greater investment opportunities in India following the US-China trade war, have made a case for a free trade agreement between the US and India to increase trade in the sector.Other suggestions given by a group of 15 American companies to Textile Minister Smriti Irani was to improve the ease of doing business on the ground, provide higher skills to workers and draw up a sustainable growth plan for the sector.
The delegation, which comprises representatives from American textile majors such as Ralph Lauren, the PVH Group (which owns brands like Calvin Klein, Timmy Hilfiger, Van Heusen and Arrow) and Carter’s Inc, also discussed future possibilities with Niti Aayog.
An FTA between the US and India would promote business in the textiles sector. The Amcham delegation also met the faculty of the National Institute of Fashion Technology (NIFT) to exchange ideas on the latest trends in design.
Cotton Corp of India (CCI) purchases only good quality cotton directly from farmers and avoids intermediaries.The price gap between cotton sold by the Cotton Corp of India and that prevailing in the market has widened significantly in the last few days after global prices fell by a steep 15 per cent.
The fall in local prices that followed was not as steep as that of the global market, mainly due to the extremely tight supply. This was because output in the current year was at a decade-low due to droughts in key producing states of India. The agency would rather hold stocks instead of cutting prices and incurring losses. Cotton lying with Cotton Corp is of premium quality than the variety benchmarked to Cotlook.
Bangladesh meets over 60 per cent of its cotton requirements from India and figures in the world’s top two exporters in various textile products. The country has been the top destination for Indian cotton over last few years. India’s cotton yarn exports have fallen by more than 50 per cent in August 2019 and down over 35 per cent in April to August. India’s exports are down due to bilateral trade pacts and because of competitors such as Vietnam, South Korea and Bangladesh getting preferential access in the global markets.
As per Fact.MR’s latest analysis, global flame retardant market is likely to grow by 6.2 per cent in 2019. Imposition of stringent regulatory rules and growing awareness about workers’ safety in high-risk industries worldwide will continue to drive the growth of this market. It will also be driven by macroeconomic factors, notably stability in global oil prices and capital injection in infrastructure projects. The report opines that effective implementation of workplace safety guidelines in developing countries can open up new opportunities for manufacturers.
The Fact.MR study analyses growth parameters of global flame retardant apparel market to provide comprehensive and insightful information about the future prospects of the global flame retardant apparel market. According to the study, demand for flame retardant apparels will be complemented by healthy adoption in the power industry. Evolving workplace safety regulation in power, electronics electrical, and automotive & transportation industries are also likely to influence growth.
The study finds EU at the forefront of global fire retardant clothing demand, with over one-third volume share in 2018. The constantly evolving regulatory framework for personal protective equipment in Europe has accelerated the demand for flame retardant apparels in the region. The mandatory conformity to the Regulation (EU) 2016/425 adopted by the European Commission has been instrumental in boosting growth of the Europe flame retardant apparel market.
Huntsman Textile Effects’ High IQ performance assurance program helps mills, brands and retailers meet demand for garments with durable moisture management and produce high-performance textiles with built-in sun protection, freshness, friction protection and water repellence, in bright whites and color that lasts.
The program allows garments to breathe, while transporting moisture away from the body. This ensures consumers can stay cool, dry and fresh throughout. The program is built on the industry’s broadest and most advanced moisture management agents to deliver durable, long-lasting performance. The unique technology supports accelerated evaporation, ensuring garments dry quickly for long-lasting comfort. Unique quick-dry properties created by the natural microclimate of the garment help reduce post-exercise chill, making the effects highly suitable for sports and active wear.
As consumers around the world adopt more active lifestyles and outdoor activities, the need for cool, dry and comfortable sports and athleisure wear is on an upward trend.
Huntsman Textile Effects is a leader in intelligent effects. The technology that drives the High IQ Cool Comfort program complies with the requirements of bluesign for safe and sustainable textile production. Fabrics produced with High IQ Cool Comfort are suitable for Standard 100 by Oeko-Tex certified textile products.
India wants the US to resume trade concessions under GSP.The US terminated India's designation as a beneficiary developing nation under GSP in June 2019. India calls the decision discriminatory, arbitrary, and detrimental to the development, finance and trade needs of India, which is a vast and diverse developing country with unique challenges. This is an US trade preference program and is designed to promote economic development by allowing duty-free entry for thousands of products from designated beneficiary countries.
India came under the GSP program in 1975. The program is limited to certain categories like apparel and footwear with the aim of alleviating poverty by promoting exports by poor craftspeople and artisans in those sectors. In retaliation for the US raising tariffs of steel and aluminium imports from India, India has threatened to increase duties on agricultural products like walnuts, apples and other fruits imported from the US. The US dairy industry says India’s sanitary and phytosanitary requirements are unscientific and so exporting to India is difficult. According to Indian laws imports should not come from cows that have been given cannibalised feed that includes offal or other meat products. India provides unimpeded market access to dairy products from all countries that meet the criteria.
Eclat Textile, one of the leading garment and fabric suppliers in Taiwan, is planning to invest $170 million in Indonesia. This will expand the manufacturer's global production map besides boosting its production capacity. The investment will be rolled out in three stages from October 2019. The investment in the first stage will involve construction of a garment factory to produce 1 million units per month. This will be completed by the end of 2020.
Tobe followed by the second stage, which will start in 2021 to build another garment plant, also with a monthly capacity of 1 million units. The investment in the third stage will involve the building of a weaving mill with a monthly capacity of one million kg.
The construction of the weaving mill is scheduled to start in two years, and before the work starts, the company will map out details about the investment through possible suppliers with the aim of setting up a comprehensive supply chain for its Indonesia plant during the two years.
Currently, Eclat has overseas production sites in Vietnam, Cambodia and Lesotho. The investment in Indonesia is expected to help the company diversify its risk.
India has reservations about the Regional Comprehensive Economic Partnership (RCEP) and is adamant about protecting its domestic industries.One is RCEP’s tariff requirements. RCEP proposes that 92 per cent of India’s traded items must have zero tariffs by the end of a 15-year period. But the main point of contention for India is the presence of China, with which it has a massive trade deficit. India is concerned that greater market access for China will harm its key manufacturing sectors like steel and textiles. India is also worried about giving greater market access to other non-FTA partners like Australia and New Zealand.
However,Asean countries are keen to have India as part of the partnership and have made India a concessional offer to open up about 83 per cent of its tariff lines instead. India is better off joining RCEP as it will face a marginal fall in real GDP growth if it does not join, while it stands to gain at least 0.06 percentage points of growth in 2020 if it does. The deal will undoubtedly be more strategically significant if it contains three of the world’s largest economies — China, Japan and India. Though India fears cheaper imports flooding its market, some key industries have much to gain from lower tariffs under RCEP.
Historically known as a skinny brand, Banana Republic plans to boost its size selection to 26 or larger. The brand currently stocks upto size 16 in stores and upto size 20 online for some articles of its clothing. Gap acquired the chain in 1983, just five years after the apparel brand's founding. Banana Republic started out as a safari-themed clothing retailer but Gap tweaked the brand to become more upscale and preppy.
The comparable sales of Banana Republic slumped by 3 per cent in the second quarter of 2019. To contain these declining the brand is shutting down all remaining Banana Republic stores in the United Kingdom. It also plans to spin off its Old Navy brand.
