The International Cotton Advisory Committee (ICAC) officially closed its 77th Plenary Meeting in Abidjan, Côte d'Ivoire with few announcements including the acceptance of the meeting’s final statement by the steering committee. This statement included ICAC’s three-year Strategic Plan. The plan, developed over the course of the prior 12 months, establishes a starting point that will ensure the organisation is on track to meet its future goals, and was passed unanimously.

The Steering Committee also agreed that next year’s Technical Seminar will focus on Traceability Technologies, and explore the ways international seed exchange can help create new varieties that are ideally suited to flourish in the future — especially in light of new challenges such as climate change. ICAC also accepted an invitation from the government of Australia to hold the 78th Plenary Meeting from December 2-6, 2019 in Brisbane.

The 77th Plenary Meeting featured more than a dozen open and breakout sessions, covering topics such as combating pest resistance to biotech cotton; the use of drones and robots on small-scale farms; the additional revenue farmers can generate from cotton by-products; and ICAC’s #TruthAboutCotton campaign to counter the misleading claims that are being made about the cotton industry in the media.

From November 8 to 11, four companies of Texbrasil (Brazilian Textile and Fashion Industry Internationalization Program) – held through a partnership between Abit(Brazilian Textile and Apparel Industry Association) and Apex-Brasil (Brazilian Trade and Investment Promotion Agency) – participated in Expotextil Peru 2018, in Lima. These companies of the Hyosung Group; Santa Constancia Tecelagem, Dalila Textil, Audaces and Creora companies displayed their latest products and garnered $830,000 in business. In addition, the companies also made 245 new contacts during the event.

According to Lilian Kaddissi, Executive Manager at Texbrasil, the event provided a great opportunity to foster business in the country, whose economy is very strong right now, in the textile sector as well as in the apparel and home fabrics sectors.

According to a report by Taiwan Spinners’ Association from January 2018 to July 2018, Taiwan imported 366,159 bales of US cotton, representing a market share of 81.6 per cent. At the Taipei In Style (TIS) trade show in Taiwan, Cotton Council International (CCI) promoted US cotton's sustainability and featured US cotton-rich clothing from two Cotton USA licensed brands. Mobo presented women’s wear and Les Enphants showcased children’s wear via a “Look Closer at COTTON USA” fashion show for 500 guests.

The COTTON USA videos introduced US cotton farming and highlights from Cotton Day events to visitors and designers from Asia. Taiwan spokesperson Cindy Yen performed a new COTTON USA theme song at the fashion show, which aimed to inspire everyone in the textile business to use more U.S. cotton.

Many COTTON USA licensees attended the fashion show, as well as a seminar which featured keynote speakerSulee Tsai, Dean & Professor of Fu Jen Catholic University. After the trade show, four brands applied to use the COTTON USA™ Mark.

The Central Board of Indirect Taxes and Customs (CBIC) has slashed duty drawback rates from 2 to 1.8 percent for cotton garments. For polyester, the new duty drawback rates will be 2.3 per cent from 2.5 per cent earlier. The new drawback rates will be effective from December 19, 2018.

Exporters noted there has been a marginal increase in business for the past couple of months mainly due to dollar appreciation but the industry is far behind the 2016-17 level. They advised the government to stop raw cotton export to boost exports.

Apparel exporters are required to use various inputs for making garments. About 70 per cent of the material consumed is cotton, which is agri-product coming from farming sector and out of GST ambit. It comes loaded with embedded taxes, which the farmer has to pay for production and transportation of cotton.

During the production process of fabric and garments, electricity gets consumed which is also embedded in the cost of garment. Expenses are incurred on fuel and transportation, exporters said, giving reasons for losing market share in the international market. All these add to the input cost and leads to losing competition especially with China.

CAI, which released its November estimate of the cotton crop for the season 2018-19, beginning from October 1, 2018 has estimated cotton crop for the 2018-19 season at 340.25 lakh bales (of 170 kg each). This is lower by 3 lakh bales than its previous estimate of 343.25 lakh bales made during last month.

The CAI has projected a total cotton supply during the months of October and November at 95 lakh bales, which consists of arrivals of 70 lakh bales upto November 30, 2018. Imports are around 2 lakh bales upto November 30 and the opening stock at the beginning of the season has been put at 23 lakh bales.

The estimate of cotton consumption during the months of October and November is 54 lakh bales while the export shipment of cotton upto November 30 has been estimated at 10 lakh bales. The stock at the end of November is estimated at 31 lakh bales, including 27 lakh bales with textile mills and the remaining 4 lakh bales are estimated to be held by CCI and others.

The projected annual balance sheet for the season 2018-19 drawn by the CAI has estimated total cotton supply, till end of the season upto September 30, 2019, at 390.25 lakh bales.

Reports by the US Department of Agriculture (USDA) suggests, Brazil exports of cotton to China and other Asian countries are expected to rise for 2018-19 marketing year, partially stemming from US-China trade tensions. Exports are forecast to reach 6 million bales, up from 4.2 million bales from the banner 2017/18 season. The USDA also cited continued improvement in grading and quality of Brazilian product, as a secondary reason why demand of Brazilian cotton from China is expected to rise.

Meanwhile, Brazil's 2018-19 marketing year cotton area is expected to reach 1.4 million hectares, an increase of 19 percent compared to the previous marketing year. The planted area expansion is a result of rising cotton prices and strong export demand. Domestic consumption is forecast at 3.5 million bales, a marginal 3 per cent increase compared to last marketing year, based on increased investment and an increase in economic activity that is expected on the back of positive market sentiment for the incoming administration of President-elect Bolsonaro.

David Beckham united his long standing partnership with adidas Originals, with his role as Ambassadorial President at the British Fashion Council (BFC) to drive new generation engagement within the creative industries and provide a platform for global design talent. Makerlab Presents: Here to Create.

This creative platform is aimed at furthering education in the design and fashion sector and champion emerging designers. To mark the launch of the partnership designers Nicholas Daley and Paolina Russo were selected as inaugural partners of the collaboration.

"Consumers and government are increasingly focusing on the environmental impact of fashion across the globe. While last month’s BBC3 documentary Fashion’s Dirty Secrets exposed the industry’s failings to the public, the Environmental Audit Committee is conducting an inquiry into sustainability in fashion. Although many retailers implement sustainability policies, most business leaders still prioritise profits over responsible retailing. Many shoppers however, often choose a cheaper option over a more sustainable one."

Consumers and government are increasingly focusing on the environmental impact of fashion across the globe. While last month’s BBC3 documentary Fashion’s Dirty Secrets exposed the industry’s failings to the public, the Environmental Audit Committee is conducting an inquiry into sustainability in fashion. Although many retailers implement sustainability policies, most business leaders still prioritise profits over responsible retailing. Many shoppers however, often choose a cheaper option over a more sustainable one.

Although sustainability initiatives pose a temporary financial burden on companies, not implementing them pose greater financial risks. PR disasters such as the collapse of the Rana Plaza factory in Bangladesh in 2013, or government intervention, for instance, could suddenly ramp up costs or impact sales. Furthermore, there is the risk of being overtaken by competitors who have adopted sustainable principles, as consumers who are increasingly well informed and demanding choose more responsible brands.

Brands take up sustainability challenge

A consumer research study conducted by Mark & Spencer had revealed only 10 per cent consumers are likely to pay more for environmentally friendly products. A further 70 per cent of respondents adopted sustainability in some form, but expected the industry to absorb the cost.

M&S’ has adopted a Plan A initiatives that includes sourcing all cotton from sustainable sources by April 2019, its shopping recycling partnership with Oxfam, and a focus on sustainable design as part of its Plan A 2025 commitments. The brand publishes a large amount of information on its website to underpin this trust, including the location of its factories for food and clothing, details on its second- and third-tier suppliers across the supply chain, the location of its dye houses and the raw materials used.

Another brand trying to become more sustainable, Pentland Brands believes retailers need to look beyond short-term margins. Speedo launched its new H2O Active range, which uses Econyl – a fabric made from recycling fishing nets and plastics into first-grade nylon.

Sustainability impacts consumer behavior

The new event, Drapers Sustainable Fashion, will bring together the most sustainable brands and retailers, trailblazers and unicorns, disruptors, progressive thinkers and pioneers to discuss what we can do and why change is not optional. Consumers may not choose sustainability due to the cost factor but the trend is impacting their behavior in different ways.

Retailers need to be more open about sustainability. By staying silent, brands risk being considered non-emphathetic. Oxfam saves around 7,200 tons of clothes from being dumped into landfill every year thanks to its waste saver processing plant. Similarly Burberry announced it would stop the practice of incinerating unsold clothing and accessories to protect the brand and prevent them from being sold cheaply.

No sustainability regulation in place

Besides the Modern Slavery Act, there is currently no sustainability legislation in fashion. The government’s options for regulation include a French-style “duty of vigilance” law, a ban on textile incineration, higher taxes for use of virgin materials, and levies based on the amount of waste produced. The British Retail Consortium (BRC) is also concerned about lack of enforcement. It believes the practice of unscrupulous suppliers paying textile workers in the UK below minimum wage is going unchecked, and is lobbying for action.

Companies, who do not act until the government compels them to, face greater risks. So the time to act is now whether it is the PR, consumers or the regulation.

Global yarn production increased 5 per cent between the first and second quarters of 2018. Higher output were observed in Egypt (+1.4 per cent), the USA (+3.2 per cent), South Africa (+3.3 per cent), globally in Asia where the overall +5.7 per cent increase was led by Chinese Taipei and Korea, Rep. An opposite trend was observed in all surveyed European countries, Brazil and Japan. Forecasts for Q3/18 are only optimistic in Africa but the Q4/18 previsions turn positive in all regions except Brazil where stability is expected.

Global fabric production, however, decreased by 0.25 per cent from Q1/18 to Q2/18. This contraction reflects a -6 per cent output reduction in Africa, a decrease of -0.5 per cent in Asia, a +1.6 per cent increase in Europe, and a +3.7 per cent increase in Brazil. World output level has now reached 87 per cent of its Q2/17 level. Fabric production in all regions is expected to decrease in Q3/18 except in Brazil where stability is foreseen.

Messe Frankfurt, the international trade fair, congress and event organiser with its own exhibition grounds in Frankfurt am Main, Germany, has finalised a deal with the Clean Show Executive Committee (CEC) to purchase the Clean Show, the largest trade fair for linen, uniform and facility services in the Western Hemisphere. As a part of the deal, TRSA, the association for the linen, uniform and facility services industry, and its four association partners will maintain their close involvement with the biennial Clean Show.

The first edition as a part of the Messe Frankfurt portfolio of textile-care fairs will be held in New Orleans from June 20-23, 2019. Future events are planned for Atlanta and Orlando in 2021 and 2023, respectively. Messe Frankfurt will organise the Clean Show in cooperation with its five former owners, including TRSA.

The purchase of Clean Show will elevate the portfolio of trade fairs organised by Messe Frankfurt for linen, uniform and facility services businesses. Texcare International has been held in Frankfurt am Main, Germany, since 1956. The network has expanded to include trade shows in China and the United Arab Emirates, as well as conferences in growth markets under the heading ‘Texcare Forum.’