FW
The 11-member Trans-Pacific Partnership trade pact is preparing for its next stage of expansion. Japan and Mexico have ratified the pact. The Asia free trade bloc now needs four more member states to complete similar procedures to kick the process into next stage. TPP-11 takes effect 60 days after six of its 11 members ratify the pact.
Among the current members, Canada, New Zealand and Australia have taken steps toward ratification. Singapore and Chile aim to approve the deal by the end of year. The other members are Peru, Vietnam, Brunei and Malaysia. Thailand, Colombia, Indonesia and the UK have expressed interest in joining. Indonesia feels that not joining the pact risks harming the competitiveness of exports from southeast Asia’s largest economy. The US withdrew from the original TPP deal in January 2017.
TPP-11 is poised to create a free trade zone covering 13 per cent of the global gross domestic product and 15 per cent of global trade by value. GDP in the 10 members other than Japan is set to grow more than six per cent annually through 2023. Clear, unified rules on investment in the pact will greatly expand business opportunities in the economic bloc, which would trail only the US, China and the European Union in size.
Textile machinery exports from India registered a growth of 20.03 per cent 2017-18. Top 10 export markets are: Bangladesh, Germany, the Netherlands, Pakistan, Indonesia, China, Turkey, Vietnam, Italy and UAE.
Spinning, twisting and yarn preparation machines have a 35 per cent share in India’s textile machinery exports. Bangladesh is the topmost export market for India's textile machinery. Region wise, Asia is the largest market for Indian textile machinery, accounting for a 55 per cent share of textile machinery exports.
Cotton spinning ring frames exports account for a 59 per cent share. Cotton spinning ring frame machines are majorly exported to the Netherlands. Other important markets for India’s ring frames are Bangladesh, Pakistan, Malaysia and Indonesia. Cotton combing machines registered an export growth of 16.93 per cent for 2017-18. Vietnam is the top market for cotton combing machine exports.
Exports of printing machinery, including digital printing machines, fell in 2015-16 and 2016-17 by 14.6 per cent and 9.97 per cent. But in the last fiscal year the commodity has shown a rising trend with a growth of 24.3 per cent and having a 14 per cent share in total textile machinery exports. Bangladesh is the topmost market for this product.
The textile and apparel industry in Vietnam is expected to grow 14 per cent over the next two years and a further 10 per cent by 2030. This sector has the second highest export turnover and occupies the fifth position in the world. Last year saw goods worth $31 billion, exported, representing 10.23 per cent year-on-year increase. The rapid growth rate was expected to continue this year with an estimated turnover of $33 billion.
In addition to maintaining traditional markets such as the US, Europe, Japan and South Korea, Vietnamese garment and textile firms have been expanding to new areas such as China, Russia and Cambodia. It also promotes the development of the cotton fiber industry; petrochemical industry and other textile supporting industries as well as trading, services, and fashion industry.
Government policies have played an important role to help businesses develop. Vietnam’s vocational training policies in the industry had not been effective and would need further support.
Marks & Spencer’s waistcoats sales have soared 35 per cent since the FIFA tournament began two weeks ago in a phenomenon that's being called ‘Gareth Southgate’ effect. when Gareth Southgate eventually does return home, he will see an awful lot more waistcoats around the country. England manager has apparently sparked a significant increase in waistcoat purchases thanks to his match attire at the World Cup in Russia.
For each of England's three group games, Southgate has sported a formal look of a fully-buttoned navy waistcoat over a pale blue shirt, accompanied by a navy, red and white striped tie. Marks & Spencer, who has been the official suit supplier to the England national team since 2007, made replicas of the suit for fans. The accompanying tie will set supporters back £25.
Manufacturers Association of Nigeria (MAN) has appealed to the Federal government to relax the tough conditions attached to disbursement of the Textile Intervention Fund. The appeal will relax the bureaucracy and strict conditions surrounding the allocation of the funds and also because there is a need to revitalise the textile industry. The textile industry had suffered a lot as a result of smuggling and other infrastructure deficiencies. At the moment, there are not more than five textile industries working who are functioning at low capacity.
The government had responded its policy initiatives; primary of which is the Textile Fund anchored by the Central Bank of Nigeria. But, manufacturers are finding it difficult to benefit from the fund due to some bottlenecks and strict conditions attached to it.
MAN also urged the government to continue its effort at ensuring provision of basic infrastructure to reduce the cost of production by manufacturers. It suggested inter-ministerial and inter-departmental cooperation for quick actualisation of the proposed anti- smuggling task force to combat smuggling of textiles.
As per Turkish Clothing Manufacturer’s Association (TGSD), the country’s apparel exports of $17 billion would increase to $18 billion this year and reach around $25 billion in five years. Top domestic textile sector players have stressed the importance of environment-friendly and quality products to make the rise in demand sustainable.
Leading apparel supplier Colveta, which every year purchases $46 million worth products from Turkey, plans to raise its purchase to $75 million within five years. The company buys around 30 per cent of its products from Turkey which it plans to raise it to 50 per cent. Hermes Otto aims to increase purchases from Turkey to over $115 million in 2018, a 7 percent growth. Verner, one of the major buyers, would increase its apparel order currently $63 million, by 5 to 10 percent this year. Near East Manufacturing, on the other hand, is ready to increase its $100 million order by 10 percent.
Devan Chemicals has launched a technology- Purissimo™ a probiotic-based solution that make textiles free from allergens shed by cats and dogs. The technology is based on probiotic bacteria and therefore, completely natural. First, inactive probiotic bacteria are encapsulated into microcapsules.
These microcapsules are then integrated into textiles. When the fabric is exposed to friction, the microcapsules break open and release the spores. The spores absorb humidity, are then transformed into probiotic bacteria and start to consume the organic matter, which contains the various allergens that cause allergic reactions and asthma. Test results show a significant reduction of 92.8 per cent on the amount of cat hair allergen Fel d1 found in treated samples.
Since many studies have suggested that allergic diseases have increased in frequency, Devan thought it was about time someone came up with a solution. After months of testing, the company came out with a solution for allergies triggered by pets such as cats and dogs.
Tamil Nadu chief minister Edappadi K Palaniswami has taken up major grievances in the textile cluster with the commerce minister Suresh Prabhu. The CM has requested the Union minister to increase the interest subvention from 3 per cent to 5 per cent for the apparel sector. This apart, the exporters’ plea for increasing the duty drawback to remain cost competitive in the global markets was also highlighted.
The exporters in Tirupur cluster are also struggling to get a level playing field in European and American apparel markets due to the preferential trade tariff advantages enjoyed by Bangladesh and few other direct competitor countries. For this, the chief minister has suggested expedition of signing of free trade agreements with European Union, United States of America and United Kingdom.
The US-China trade war has come as a boon to Bangladesh’s textiles and apparels. Garment exporters will get cheaper raw materials as a result of cheaper cotton prices in the international market. Bangladesh is the largest cotton importer with a 18 per cent global share. The country imported around seven million bales in 2017. The volume of imports is expected to increase further this year.
China is the second-largest buyer of US raw cotton. In response to the US measure, China slapped a 25 per cent retaliatory duty on over 100 US goods and commodities, including cotton. Global commodity prices for cotton have been on a downward trend since then. The US is one of the largest cotton producers and imposition of tariffs is expected to decelerate the pace of its raw cotton exports.
If cotton prices fall fabrics prices also fall. Garment exporters hope to get increased orders in the coming days. They are now leaving out many orders due to lower prices being offered by buyers and hope to be able to pick up such orders. India and Pakistan, which produce and consume cotton, will benefit as a result of the war as they may get higher demand for their produce from China.
WWD Magic has entered a partnership with Fashion Go. The alliance will bring about innovation and strategic influence to the dynamic wholesale industry. WWD Magic is a subsidiary of the UBM Fashion Group and the largest showcase of women’s apparel and accessories in the industry.
Fashion Go is an online business-to-business fashion marketplace. It provides one of the fastest growing global e-commerce platforms offering buyers 24/7 access to its vast collection of wholesale fashion and allowing them to shop the latest trends at the best prices.
The pairing of two leaders in their respective industries is expected to bring about the best of both worlds – the sought-after face-to-face engagement and relationship building of the tradeshow experience and the speed and ease of doing business online.
WWD Magic and Fashion Go as a whole will be greater than the sum of its parts. Both WWD Magic and Fashion Go are powerhouses in their own right. Together they hope to be able to fully support the needs of their industry by playing off each other’s strengths. This partnership will give brands and buyers an enhanced experience that merges both digital and B2B events.
A large part of the fashion business has shifted online but brands and buyers are increasingly feeling the need for an experience offline. This partnership will bring an omnichannel experience that has not yet been done in the fashion industry.
