FW
UAE apparel sales up four per cent
In 2018 the value of apparel sales in the UAE grew 4.8 per cent. The UAE has positioned itself as a world-class retail hub, which continues to attract retailers and consumers from around the world.
Men’s wear is the top-performing category with the segment accounting for 53 per cent of the market value last year , followed by women’s wear with 34 per cent and children’s apparel with seven per cent.
The outlook for UAE apparel sales is expected to improve over the next five years as economic conditions become more favorable and consumer confidence strengthens. Despite the dominance of store-based retail sales, online retail sales are witnessing strong growth as many well-established brands explore omni-channel retail, either through third parties, their own digital storefronts, or both. This trend is expected to put pressure on prices as the industry becomes more competitive with traditional retailers expected to offer more deals to capitalise on consumer demand. Menswear is expected to register a compound annual growth rate (CAGR) of about 3.8 per cent between 2019 and 2023. Women’s wear is expected to see a CAGR of 4.9 per cent in sales over the same period. The children’s apparel segment is expected to register a CAGR of 3.7 per cent.
Telangana acts against child labor in cotton farms
Telangana will map its cotton farms and spinning mills as part of an effort to weed out child labor and slavery from fields and factories. Children are hired for seed production as their small hands are useful in cross pollination to produce hybrid seeds. Two children do the work of three adults but are paid less. Six of the ten cotton growing districts of Telangana will initially be mapped for labor violations under the project. It will also look at gender discrimination in salaries for agriculture workers and whether they have collective bargaining rights.
This is for the first time in India that an integrated approach to identify both child and bonded labor is being undertaken. India, the world’s second largest cotton producer after China, has child and forced labor in both cotton seed production as well as cotton growing. A 2014 study found that 2,00,000 children under 14 were working on cotton seed farms, double the number since 2010. However, the cotton supply chain is the hardest to track as the journey from field to retailers involves many stages - such as seed production, cotton growing, gins to separate seeds and fiber, spinning mills and garment factories.
SupplyCompass partners supply chains
SupplyCompass provides an efficient and sustainable solution for global supply chains. This design-to-delivery sourcing platform, based in the UK, combines its strong supply chain partnerships with its cloud-based platform technology and team of production experts to make sustainable sourcing and ongoing manufacturing management easy, fast and efficient.
Since current sourcing methods are offline, inefficient and fragmented, SupplyCompass sees the key to success lying in rethinking existing sourcing methods, with better collaboration, innovation and technology at the core. It believes technology is needed for global supply chains to progress and become faster, more efficient and more sustainable. Its vision is to become the leading sourcing software for the pioneering fashion and interiors businesses of the future. The company has received funding and is on a mission to transform global supply chains into faster, more efficient and more sustainable outfits. The funds will enable SupplyCompass to develop its technology and expand its curated marketplace of best-in-class international manufacturers. Particular emphasis will be placed on the earlier stages of the sourcing process where greater opportunities lie for establishing sustainable practices, including manufacturer matching, design development and sampling.
SupplyCompass operates on a three-stage approach: Intuitive product development, trusted manufacturer selection and streamlined production management.
Strong growth seen for global textile industry
The global textile industry is expected to grow in terms of revenue in the coming years. The increase in manufacturing of protective equipment for workers is encouraging use of fiber products like nylon. In addition, innovative technologies for the development of upholstery products obtained from coated fabrics are estimated to increase the market size. Floor furnishings, healthcare and medicinal products and home furnishing products are the trending segments in the market. On the basis of product, the textile market is divided into polyester, natural fibers, nylon and more. Based on raw materials, the market is divided into chemical, silk, wool, cotton and more. Considering application, the market is divided into technical, household, clothing and fashion and much more. North America is the region projected to experience the maximum growth in the coming years.
Factors that substantially affect the textile chemical industry involve the apparel industry. Manufacturing clothing and apparel involves the use of textile chemicals. Growth of the textile market will mean the rapid growth of the textile chemical market because of the increase in demand for fabric coatings, pre-treatment of textiles and dyeing.
Sourcing from Africa poses challenges
Sub Saharan Africa is widely regarded as a growing apparel-sourcing destination but the region faces serious challenges. Apparel has become one of the top exports for many sub Saharan African countries under the African Growth and Opportunity Act (AGOA). This is a trade preference program devised by the US in 2000 to help developing African countries grow their economy through expanded exports to the United States. It allows these countries duty-free apparel exports to the US. However most sub Saharan African countries still have no capacity in producing capital and technology-intensive textile products.
Theoretically, as a country’s economy advances, it should gradually be producing and exporting more capital and technology-intensive textiles versus labor-intensive apparel products. Ideally, as an economy becomes more sophisticated, textiles and apparel should account for a declining share in a country’s total merchandise exports. However, in some sub Saharan African countries textiles and apparel account for over 80 per cent of their total merchandise exports. In fact these countries import more apparel than they export, a phenomenon rarely seen among developing countries in a similar stage of economic development.
Lesotho, Kenya, and Mauritius are the top three largest apparel exporters in sub Saharan Africa. Over 96 per cent of their exports go to the United States and the EU.
Sri Lanka to host Responsible Fashion Summit
Responsible Fashion Summit will take place in Sri Lanka, August 8, 2019. This is a platform aimed at driving sustainable practices and accountability in the fashion industry and showcasing Sri Lanka as an apparel sourcing destination which has made considerable progress in creating a supply chain that is responsible and accountable. Responsible Fashion Summit is a knowledge sharing platform which brings together thought leaders, creatives, and thinkers from Sri Lanka and around the world to discuss ideas which can be implemented to create real solutions for a sustainable fashion and apparel industry. This edition of RFS will focus on oceans and plastics.
Apparel exports from Sri Lanka grew 6.38 per cent in May 2019. From January to May apparel exports grew 8.7 per cent against the same period last year. This has been the highest growth rate recorded in the past five years. Sri Lanka’s apparel exports have made a significant impact on American, European and other major export markets around the globe. The country’s target is to reach $ 8 billion in exports by 2025. About 57 per cent of Sri Lanka’s total exports go to the US and the EU. Apparels are Sri Lanka’s biggest exports to the EU.
Coimbatore to host Texfair in August
Texfair will be held in Coimbatore, August 9 to 12, 2019. This is a textile machinery, accessories and spares exhibition. As many as 250 exhibitors from across India and also from Europe, Japan and China will attend the event, which will have 320 stalls. About 70 per cent of the exhibitors will be from Coimbatore. The fair will also feature a farm to finish expo, where cotton, manmade fiber and blends will be exhibited along with garments made from them.
There is a global slump in the textile sector. About 20 per cent of the facility in mills across India are remaining idle. Due to the US import sanctions on Chinese garments, there is a slump in exports from China. This in turn has led to a fall in yarn exports to China from India. In the last quarter, there has been an almost 50 per cent fall in exports to China. The Indian domestic market has also been suffering because of this as domestic prices have come down.
In such a situation, a textile machinery fair is expected to benefit all stakeholders. As it is not feasible for mills to invest in new machinery in this situation, and as mills are looking to improve quality and productivity, there would be a bigger demand for spares for maintenance and auxiliary equipment to improve quality.
India’s apparel market may grow by ten per cent
India’s apparel market is projected to grow by ten per cent to 12 per cent this year, says Ratings agency CARE. Operating margins of spinners will continue to remain under pressure in the short to medium term as the increase in cotton and blended yarn prices will be lower than the increase in cotton and manmade fiber prices amid weak demand in the country. Also, on the back of slower movement in yarn demand, the utilisation rates of the domestic spinners is expected to be lower, which will put further pressure on margins.
Going forward, with crude oil prices expected to moderate this year on the back of ever increasing US oil production and the overall weak world economy on back of the ongoing trade wars, substitute manmade fiber prices are likely to be competitive in the domestic as well as international markets. Hence, demand for cotton yarn is expected to improve only marginally during the upcoming season.
Cotton prices in the domestic market are expected to marginally pick up from the current levels and remain firm in the wake of strong exports along with tight supply in the domestic market and increased minimum support price. Going forward, cotton prices are likely to register a growth of about six per cent to eight per cent.
China to host global footwear event in August
Global Footwear Sustainability Summit will be held in China, August 29 to 31, 2019. The event works closely with all parties involved in shoe manufacturing, textiles, brands and other industrial ecosystems from the global footwear industry. It will attract over 300 participants from global footwear brand companies as well as senior executives from sourcing, CSR and supply chain management. Over a period of eight years, it has become one of the most influential footwear industry events worldwide. There will be discussions on the 5G era, building integrated solutions to accelerate footwear supply chain intelligence and speed to market, operational excellence in risk management of factories and workers, the role of digital transformation in accelerating footwear sustainability in manufacturing and retailing, the role of digitalization in value added for footwear and a fast and responsible supply chain that can build a closed loop connecting demand and supply in a digital consumption environment.
Since CSR is becoming a hot topic, the summit will also share practical cases and experiences of sustainable development, including technological innovation, material innovation, employee production safety and environmental protection. This is now a turning point for the development of China’s footwear industry, transforming from processing plants to building high-end brands.
Accord bars 400 Bangladeshi factories due to non-compliance
At least 400 factories that were to slow to comply with the new safety rules of the international Accord are no longer allowed to accept orders from the Western brands that are members of the Accord. The Accord on Fire and Building Safety in Bangladesh was set up by European fashion brands to improve factory safety in Bangladesh after a garment factory complex collapsed in 2013 killing more than 1,100 people.
The five-year pact was originally due to expire in May 2018 but the transition period has been extended. The pact’s factory oversight team will then hand over to a government body set up for that purpose. Nearly 200 out of 1,600 garment factories in Bangladesh have met the requirements of an international accord on worker safety.












