"As per European Textile and Apparel Confederation (Euratex) in its annual report, the European textile sector generated a business volume of €181 billion in 2017. Europe is also one of the world’s biggest consumer markets along with the United Kingdom, Germany, France and Italy. As Eurostat reveals in 2016, each European home invested almost a 5 per cent of its consumption expenditure in clothes and footwear, which is a total investment of €395.4 billion. Consumption of clothes further grew by 0.9 per cent in 2017."

As per European Textile and Apparel Confederation (Euratex) in its annual report, the European textile sector generated a business volume of €181 billion in 2017. Europe is also one of the world’s biggest consumer markets along with the United Kingdom, Germany, France and Italy. As Eurostat reveals in 2016, each European home invested almost a 5 per cent of its consumption expenditure in clothes and footwear, which is a total investment of €395.4 billion. Consumption of clothes further grew by 0.9 per cent in 2017.

Trade agreements with Japan and Canada boost commercial exchange

To encourage free trade within the region, the European Union is negotiating bilateral agreements with various countries. Two of the biggest agreements signed recently are the agreement with Canada (CETA) and the treaty with Japan (JEFTA). The Canada Comprehensive Economic and Trade Agreement (CETA) was signed between the European Union and Canada. Reduction tariffs in the agreement, valid from 2017, have increased trade between the two territories by 20 per cent in besides boosting commercial interexchange by €20,000 annual million.

EU plans more treaties, agreement with Morocco causes concern

The European Union is also negotiating trade treaties with Mexico. The treaties deal with tariff reductions, with the leather as one of the most important raw materials in that exchange. Additionally, the union recently concluded agreements with South Korea, Moldova and Ukraine, and is negotiating with Colombia and China.

The European Union has also resumed dialogue with the US on free trade issues. After the US withdrawal of Tip negotiation post Donald Trump’s Presidency, the European Commission has started maintaining contacts again to resume negotiations.

However, the dialogue between the European Union and African countries of the Mediterranean watershed is a major cause of concern for the industry. One of these is about Morocco -- the main destination for Spanish textile exports. The country is seeking to reduce the number of industrial process to a single country in order to enjoy trade benefits. This will also allow them to abandon the European market and work with Asian raw material.

Promoting import from third world countries

The European Union also promotes import from third countries by excluding them from tariff payments upto approximately 50 years ago. Countries like Myanmar or Bangladesh enjoy free trade policies with Europe, despite not respecting human rights. According to the European Union, countries with good government also enjoy benefit. In this case, they are free of two third of the total tariffs rates. In this group, countries like Bolivia, Philippines or Sri Lanka are included.

However, countries having duty free access to the European market form the biggest group. This group caters to all kinds of products except arms and ammunition. The European Commission is now promoting a digital single market policy to encourage a single price for all European products sold online. Recently companies like Nike and Guess were penalized by the European Commission for violating this principle of digital single market, and limit cross-border sales to certain products.

During February 2019, Vietnam’s total export-import turnover was down 30.5 per cent against the previous month.
Exports were down 33.9 per cent while imports were down 27.1 per cent.

In the first two months of this year, the total export-import turnover showed a year-on-year rise of 6.7 per cent. Exports increased 5.9 per cent and imports rose 7.5 per cent, causing a trade deficit of 84 million dollars. During this period Vietnam’s exports of machinery, equipment, and components were up 19.3 per cent; exports of garment-textiles were up 19 per cent; and exports of footwear were up 18.4 per cent. During the same period, the country’s imports of fabrics of all kinds were up 16 per cent; imports of machinery, equipment, and spare parts were up 14.6 per cent; and imports of computers, electronic products, and components were up 11.4 per cent.

Vietnam plans to become the world’s third major supplier of garments and textiles. In 2018, the export turnover of garment and textile products marked a year on year increase of 16 per cent. However Vietnam has to depend on raw material imports. Enterprises have to import over 60 per cent of the raw materials they need. Many companies in the sector have speeded up production since early 2019 to meet large orders for the first trimester.

Vietnam’s export turnover was up 5.9 per cent in the first two months of this year.
Earnings from exporting phones and their components were down 7.3 per cent. Earnings from garment and textile products were up 19 per cent. Earnings from electronic products and components were up 1.9 per cent. Earnings from footwear were up 18.4 per cent.

In the two-month period, turnover from the United States, Vietnam's biggest export market, was up 34.4 per cent. Turnover from the European Union was up 1.2 per cent. Turnover from China was down 9.3 per cent.

In the first two months of this year, Vietnam’s import turnover was up 7.5 per cent. Vietnam’s expenditure on importing electronic appliances and their components was up 11.4 per cent. Expenditure on importing machines, equipment and spare parts was up 14.6 per cent. Expenditure on phones and components was down 12.6 per cent. And that on cloth was up 16 per cent.

From January to February, Vietnam’s expenditure on imports from China was up 17 per cent. Expenditure on imports from South Korea was down 2.1 per cent. And expenditure on imports from Asean (Association of Southeast Asian Nations) was up 1.4 per cent.

In 2018, Vietnam’s export turnover was up 13.2 per cent against 2017. Import turnover was up 11.1 per cent.

International Garment Fair Association (IGFA) has shifted its office from Gurgaon to New Delhi.

The new office premise was inaugurated by Rahul Mehta, Chairman of the association.

IGFA has started its activities for organising the 63rd India International Garment Fair (IIGF) and Source Zone fair from its new office.

Apparel Textile Sourcing Miami (ATSM) will unveil the fashion color trend forecast for Autumn/Winter 2020-21 by Pantone Color Institute, the global authority on the movement of color across current and future seasons that enables color-critical decisions through every stage of workflow for brands and manufacturers. More than 10 million designers and producers around the world rely on Pantone products and services to help define, communicate and control color.

Apparel Textile Sourcing Miami (ATSM) show will be held from May 28-30 at the Mana Wynwood Conference Center, coinciding with Miami Fashion Week to present a jam-packed event that features the latest developments shaping the booming apparel and textile market.

With the industry reportedly growing at double-digit rates, transformed by global markets, consumer habits and technology, ATSM provides an unprecedented opportunity for networking and education as more than 300 exhibitors from over 15 countries converge at the show — including fabric mills, ready-made garment factories, service providers, wholesalers, trade offices and home textile suppliers.

Show visitors will also have the opportunity to see the upcoming trends first hand and talk with color specialists at the Pantone booth.

According to President Renuka Jayamanne, the proposed Free Trade Agreement (FTA) between Sri Lanka and Bangladesh will prosper the economic co-operation of both countries in the coming years. The support given by the Bangladeshi Government to develop Lanka’s apparel sector is note worthy.

Sri Lanka is also expected to be the Shipping and Logistics Hub which would benefit both these economies in the future.

The business council is planning to collaborate with various Bangladeshi institutes and key companies to strengthen economic ties further. The Sri Lankan agricultural sector could be upgraded by sharing experience between agricultural institutes of both countries at grassroots levels.

Indonesia is ready to implement Industry 4.0
Industry 4.0 includes the internet of things, big data, cloud computing, artificial intelligence, mobility, virtual and augmented reality, sensor systems and automation, and virtual branding.

A number of domestic manufacturing companies are readying themselves for the application of industrial digitalization. To optimize performance of the national manufacturing industry, efforts will be made to accelerate the application of digital technology.
Industry 4.0 is expected to have a significant impact on the manufacturing sector in Indonesia, encouraging a huge increase in Indonesia’s economic output. Industry 4.0 is a big leap in the manufacturing sector through maximum utilization of information and communication technology. The entire value chain can be made to achieve optimal efficiency so as to give birth to new digital-based business models. In addition, 4.0 not only has tremendous potential in driving policy changes in the manufacturing sector but is also able to change various aspects of human civilization and life.

Indonesia has chosen five manufacturing sectors that will be the pioneers in implementation of digitalization, namely, the food and beverage industry, textiles and clothing, automotives, chemicals, and electronics. These manufacturing sectors have been chosen because of its high contribution to the national economy, with contributions of up to 60 per cent in GDP, export value, and employment.

Gap is splitting into two companies, one is Old Navy. The other unnamed company will comprise Gap, Banana Republic and the company’s other brands.

So Old Navy will become a standalone company. The aim is to showcase Old Navy and deemphasize its slumping namesake brand. Old Navy’s business model and customers had increasingly diverged from Gap’s other brands over time. Originally launched by Gap in 1994, Old Navy offers apparel that generally comes in at a lower price point than at Gap or Banana Republic.

Including all its chains, Gap has about 1,35,000 employees and 3,688 stores globally. Gap reported full-year comparable sales of positive three per cent at Old Navy versus a decline of five per cent at Gap and a gain of one per cent at Banana Republic. The company plans 230 more Gap store closures globally over the next two years as the company works to revitalize the Gap brand by re-engaging with customers and expanding its loyal customer base, leveraging the multigenerational, democratic appeal of the brand.

The move comes as the US retail sector faces stiffening pressure from online retailers as e-commerce eats up a greater share of retail sales. Conventional brick-and-mortar chains are also making costly investments to become omnichannel vendors to stay relevant.

Five companies are Global Fashion Agenda’s associate partners.

These are Crystal, Erdos, Everlane, G-Star Raw and Selfridges. Driving widespread progress in the fashion industry, these hand-picked companies are sustainability leaders or are dedicated to improving their sustainability performance. The five associate partners vary in size, market segments, target demographics and product offerings, broadening Global Fashion Agenda’s network to further represent a range of perspectives that cater to differing business demands. All associate partners have incorporated sustainability into their business strategies in some form. Crystal for instance is a pioneer in apparel manufacturing and committed to implementing environmentally conscious practices throughout its business. Erdos, Everlane and G-Star Raw use sustainable manufacturing processes and materials to reduce their environmental impact, while Selfridges has established itself as a responsible retailer and trusted curator of brands.

Associate Partners is Global Fashion Agenda’s new partnership circle. The circle will expand to include other brands in the coming months.

Associate Partners will act as a secondary sounding board to Global Fashion Agenda’s primary strategic partners, adding another perspective to sustainability to represent different sized businesses. They will partake in shaping the global sustainability agenda by providing feedback and input on initiatives and content developed by Global Fashion Agenda and its steering committee which is made up of strategic partner representatives.

Igatex was held in Pakistan, February 26 to 28, 2019.

This is a garment and textile machinery and accessories exhibition. The exhibition gives exhibitors and visitors an opportunity to see the latest innovations taking place in the textile sector. More than 500 companies from 37 countries participated. There were 116 exhibitors from China and 92 from Italy.

Other countries present at Igatex included France, Belgium, Austria, Korea, the UK, the US, Brazil and Thailand. Companies exhibited their latest machinery and technology used in spinning, finishing, weaving, dyeing and garments. Most visitors showed their interest in European technology.

The expo introduced the latest technology, machinery and auxiliary equipment which will provide business opportunities and add value to Pakistani textile exports.

The event introduces businesses to the latest expertise and will also generate trade benefits besides increasing foreign investments and spending through business visits by international delegates. Ultimately this will further increase product value, which has an overall positive impact on the economic activity in Pakistan.

Textiles are the backbone of Pakistan’s economy. It contributes to 60 per cent of the country’s exports. Considered as one of the top ten textile exporting countries of the world, Pakistan is the fourth largest producer of cotton yarn and cloth, and the third largest player in Asia.