Textile company Spinnova anticipates a downturn in revenues for the year 2024, with operating profits expected to remain in the negative territory.

In the preceding year of 2023, the company experienced a significant decline in profits, dropping by 59 per cent Y-o-Y to €20.9 million, while total investments plummeted by 47 per cent Y-o-Y to €8.96 million.

The latter half of 2023 was particularly challenging, with a 89 per cent decrease in revenue to a mere €1.82 million, coupled with an operating loss of €9.93 million, marking a 34.5 per cent decrease. Total investments by the company also nosedived by 67 per cent to €2.9 million.

By the end of 2023, Spinnova boasted a workforce of 76 employees, adding one member throughout the year. Notably, the company successfully completed the construction of the inaugural factory dedicated to producing wood-based Spinnova fiber, a venture undertaken in collaboration with Woodspin.

During the year, Spinnova underwent significant leadership changes, with Kim Poulsen stepping down as CEO and Tuomas Oijala assuming the role. 

Expressing his perspective on the challenges and opportunities ahead, Oijala emphasised the company's ongoing efforts to escalate production volumes of Spinnova fiber and introduce it into various market applications through collaborative efforts with supply chain partners and brands. He highlighted the significance of prevailing macroeconomic trends, global fiber supply chain limitations, and the imperative for the textile industry to meet sustainability targets as driving forces propelling Spinnova forward.

The Cotton Association of India (CAI) has increased its export projections for the current season to 22 lakh bales, with the potential to reach 25 lakh bales. This uptick in estimates underscores India's growing influence in the global cotton trade, driven by competitive pricing and heightened demand from key markets such as Bangladesh, China, and Vietnam.

During the initial five months of the season, India’s cotton exports matched the entirety of the previous marketing season, totaling 15 lakh bales. The primary destinations for these shipments are Bangladesh, China, and Vietnam.

Indian cotton prices were notably lower by approximately Rs 4,000-5,000 per candy compared to international prices, particularly from December to February, which attracted overseas buyers. Cotton imports amounted to 4 lakh bales, while consumption was estimated at 137.50 lakh bales by the end of February. Projections for stocks with mills and various entities indicate a relatively tight balance sheet.

CAI has revised the cotton production estimates for the ongoing 2023-24 marketing season upwards by approximately 5 per cent to 309.70 lakh bales, although still below the previous season's production of 318.9 lakh bales. 

Adjustments in crop estimates across various states including Rajasthan, Gujarat, Maharashtra, Telangana, and Karnataka have contributed to this increase.

Estimates for cotton consumption for the 2023-24 season has been raised by 6 lakh bales to 317 lakh bales due to increased offtake by domestic mills.

Closing stocks for the season ending September 2024 are forecasted at 20 lakh bales, signaling a very tight balance sheet.

The substantial growth in Indian cotton exports for the 2023-24 season, fueled by competitive pricing and robust demand, represents a significant milestone for the country's textile industry. 

Turkish denim brand Mavi's latest collection pays homage to the iconic '90s era and the laid-back Californian style. The Spring/Summer 2024 collection embodies the natural beauty and relaxed lifestyle of Los Angeles, says Alissa Friedman, Senior Marketing and PR Manager, Mavi.  

Focusing on responsibility in design, the All Blue sustainable collection is meticulously crafted with a deep-seated regard for both people and the planet. The range features various denim styles and wardrobe essentials. Mavi has embraced more recycled and natural fibers and repurposed fabrics for the collection to minimise its ecological footprint, elaborates Friedman.

Committed to elevating its ecological efforts, Mavi has established sustainability targets across four pillars (people, planet, product, and community) as part of its strategic vision. The brand aims to achieve a fully inclusive and responsible value chain by 2030, become a climate-positive entity by 2050, ensure all denim collections consist of sustainable All Blue products by 2030, and drive impactful and measurable social change within communities.

For the S/S '24 season, the brand expands its Recycled Blue collection to include men's styles. Utilising Tencel with Refibra technology, Recycled Blue fabrics breathe new life into pre- and post-consumer cotton textiles by upcycling them. Mavi had introduced this collection for women last year, with men now offered new styles like the Jake slim and Marcus slim straight.

In alignment with utilising the most sustainable materials, Mavi's Well Blue collection incorporates a bamboo and cotton blend, offering a soft hand feel while maintaining the classic denim's lightweight structure. Additionally, another collection utilises recycled linen, a low-impact natural flax fiber that requires no additional irrigation to grow and is biodegradable, providing gentle wear on the skin.

Introducing a natural approach to color, Mavi's new No-Dye Colored Cotton collection features cotton grown using eco-friendly regenerative farming techniques, resulting in fibers that naturally retain color. Available in a sandy hue, this cotton is fashioned into styles like the Paloma wide-leg for women and Jake slim leg for men.

These new sustainable collections blend mindful materials with thoughtful designs, says Friedman. They range from $118 to $168 and are currently available on Mavi's website.

Exporters spanning various sectors have united to appeal for exemption from a recently introduced regulation mandating payment of pending bills to micro and small units within 45 days. 

Approximately 150,000 exporters, encompassing 15 export promotion councils including the influential Federation of Indian Export Organisations, have raised concerns regarding the potential liquidity strain this regulation may impose.

Exporters argue that their payment cycle, with an average lag time of 120 days, clashes with the newly imposed 45-day deadline. They contend that this longer payment duration is necessary for international competitiveness, especially considering that other countries often offer more lenient credit terms. The Reserve Bank of India's allowance of up to nine months to realiSe export proceeds underscores the complexities involved.

Section 43B(h) of the Income Tax Act, slated to take effect on April 1, necessitates payments to UDYAM-registered micro and small entities within the 45-day timeframe, ostensibly to tackle the issue of delayed payments encountered by such units. However, exporters are lobbying for an extension to 120 days and propose that transactions with micro, small, and medium enterprises (MSMEs) be excluded from this provision.

Defined by investment and turnover thresholds, micro and small units are pivotal in the supply chain for many exporters. The new rule would necessitate interest payments in the event of delayed payments to these units, further exacerbating exporters' liquidity challenges. Some exporters even fear losing business and facing returns due to the added financial strain.

Acknowledging the need to enhance liquidity for micro and small companies, exporters advocate for a phased reduction in the payment timeframe. They argue that this would strike a balance between the interests of both exporters and MSMEs. 

Moreover, they stress the importance of exempting export-related transactions from this regulation to maintain competitiveness on the global stage.

In 2023, the total clothing imports by EU member countries declined by 16.22 per cent to €83.19 billion compared to €99.29 billion in 2022.

According to the data from the Statistical Office of the European Union, this downturn in imports can be attributed to a slowdown in apparel retail sales across EU countries, largely influenced by high inflationary trends.

Specifically, garment imports by the EU from China decreased by 21.54 per cent, to €22.73 billion in 2023 compared to €28.98 billion in 2022. Similarly, apparel imports from Bangladesh dropped by 20.65 per cent to €17.39 billion in 2023, from €21.91 billion in the previous year.

In terms of volume, EU’s clothing imports from Bangladesh reached 11.14 billion kg in 2023, slightly surpassing China's exports, which stood at 11.10 billion kg.

Furthermore, apparel imports from Turkey experienced declined by 13.23 per cent, to €9.93 billion in 2023 compared to €11.45 billion in 2022. Imports from India also decreased by 13.12 per cent to €4.04 billion in 2023 while apparel imports from Vietnam fell by 14.68 per cent to €3.78 billion in 2023 compared to €4.43 billion in 2022.

Gucci-owner Kering has forecasted a significant drop of approximately 20 per cent in Gucci's sales for the first quarter, citing a sharper decline than anticipated in the Asia-Pacific region. This setback further widens the gap between the French luxury conglomerate and its primary competitors.

Owned by the billionaire Pinault family, Kering has grappled with staying abreast of competitors like LVMH and Hermes International, particularly as luxury sales cooled off in the past year, notably in China. LVMH's diverse brand portfolio and Hermes's enduringly long waiting lists for coveted handbags have bolstered these companies' resilience.

According to analysts at Vital Knowledge, Gucci has been facing internal challenges for several quarters, but this latest update will amplify concerns regarding consumer spending and the state of China's economy.

Overall, Kering’s comparable sales are anticipated to decline by about 10 per cent i across its portfolio. This includes esteemed labels such as Balenciaga and Saint Laurent.

Gucci's sales declined during the closing months of the previous year as the brand grappled with attracting more affluent shoppers to its high-priced Double G belts and Princetown slippers. A year ago, Sabato De Sarno was appointed as the brand's new designer.

The Cellulose Fibres Conference 2024 held in Cologne on 13-14 March, emerged as a testament to the remarkable strides in the cellulose fibre industry, showcasing innovative projects and scale-ups across various sectors. Hosted against the backdrop of an evolving policy landscape geared towards reducing single-use plastics, the event spotlighted the pivotal role of cellulose fibres in addressing sustainability challenges within the textile industry.

Exploring the innovation landscape

The conference featured 40 international speakers who delved into the latest market trends and highlighted the vast innovation potential of cellulose fibres. Discussions encompassed diverse applications ranging from textiles and hygiene products to construction and packaging. Notably, experts introduced cutting-edge technologies for cellulose-rich raw material recycling and shed light on circular economy practices.

Interactive sessions and networking opportunities

Attendees actively engaged in panel discussions, fueling insightful exchanges and fostering collaboration. The event, attended by 214 participants and 23 exhibitors from 27 countries, provided a dynamic platform for networking and forging new industry connections. Asta Partanen from the nova-Institute, which curated the conference content, expressed satisfaction with the positive feedback received, underlining the event's comprehensive focus and conducive atmosphere.

The highlight of the conference was the presentation of the "Cellulose Fibre Innovation of the Year" Award, an accolade celebrating innovative advancements in sustainable fibre solutions. The award, sponsored by GIG Karasek, showcased exceptional innovations poised to drive the industry towards sustainability.

Innovation Award winners

First - DITF & Vretena (Germany): The straw flexi-dress - Design meets sustainability

The winning innovation, the Straw Flexi-Dress, epitomizes the fusion of design and sustainability. Crafted from HighPerCell filaments derived from unbleached straw pulp, the dress embodies a circular fashion ethos. Its versatile design allows it to be worn in multiple styles, showcasing the potential of cellulose fibres in fashion.

Second - Honext material (Spain): Honext Board FR-B (B-s1, d0) – Flame-retardant Board from upcycled fibre waste

Honext's flame-retardant board, derived from upcycled industrial waste fibres, represents a leap towards sustainable building materials. With its high mechanical performance and fire safety credentials, the product offers a viable alternative for interior applications, underscoring the value of cellulose in fostering a circular economy.

Third - TreeToTextile (Sweden): A new generation of bio-based fibre

TreeToTextile's innovative fibre combines sustainability with performance, offering a compelling alternative to traditional textiles. With a low environmental footprint and biodegradability, this fibre presents a promising solution for reducing reliance on conventional materials like cotton and polyester.

Future outlook and collaboration

Looking ahead, the Cellulose Fibres Conference remains a vital forum for collaboration and innovation within the cellulose fibre ecosystem. With industry support from leading sponsors and partners, including Andritz, Lenzing, and Fashion for Good, the conference serves as a nexus for industry associations, research institutions, and interest groups. Mark your calendars for the next conference on 12-13 March 2025, promising further advancements in sustainable textile solutions.

Expecting mid-single-digit currency-adjusted sales growth, Puma targets revenues ranging from €620 million to €700 million in fiscal 2024. The brand's football innovations, including Future, Ultra and King boots, have garnered significant market share and attracted world-class athletes like Kai Havertz, Jack Grealish, and Xavi Simons.

Moreover, Puma's commitment to sustainability is evident through initiatives such as using recycled or certified materials in 8 out of 10 products since 2023. The brand plans to manufacture all football jerseys from recycled textile waste with RE:FIBRE.

Embodying the values of excellence and athleticism, Puma recently released its annual sales report for 2023, showcasing impressive growth despite industry volatility.

In Q4 2023, Puma’s sales surged by 6.6 per cent, culminating in a full-year growth of the same margin. The company's global revenue soared to approximately €8.6 billion. Notably, Puma achieved a 20 basis point improvement in gross profit margin, reaching 46.3 per cent, attributed to favorable pricing, geographical mix, and channel effects. However, adverse currency fluctuations resulted in over €400 million in lost sales.

The Asia/Pacific and EMEA regions witnessed robust sales growth, whereas the American region faced challenges, particularly due to the extraordinary devaluation of the Argentine peso. Undeterred, Puma refined its strategy in 2023, focusing on brand elevation, product excellence, and enhanced distribution.

Strategically appointing new management teams in the US and China, Puma aimed to bolster long-term growth in these critical markets. Consequently, the company entered 2024 in a stronger position, poised to capitalise on major sporting events such as the Olympic Games, Euro 2024, and the Copa America.

The All Pakistan Textile Mills Association (APTMA) has presented an ambitious plan to Commerce Minister Jam Kamal, aiming to boost the country’s textile exports to $50 billion by 2029. This plan focuses on aligning energy tariffs with regional competitors and making key policy adjustments to rejuvenate the textile sector.

Emphasising the crucial role of export-led growth in sustaining Pakistan’s economy amidst significant external financing needs, APTMA stresses the urgency for immediate action. With the country's annual gross external financing needs projected at over $25 billion for the next five years, export-oriented strategies become paramount for economic sustainability.

APTMA’s policy roadmap revolves around three main pillars: diversification, expansion, and competition. These pillars are supported by a multifaceted approach to harness Pakistan's textile potential fully.

Firstly, the roadmap emphasises incentivising product diversification to broaden the range of exportable goods. This includes rationalising import duties on essential inputs like purified terephthalic acid and polyester staple fiber to enhance competitiveness. Additionally, encouraging investment in manufacturing capacity for man-made fibers (MMF) and promoting higher value-added original brand and design manufacturing are considered crucial.

Secondly, significant investments are proposed for upgrading and modernising manufacturing facilities. APTMA aims to establish 1,000 new garment plants to pivot towards higher value-added production, thereby increasing export capacity and global competitiveness.

Furthermore, APTMA advocates for specialised industrial and export processing zones with modern facilities to attract investment and foster growth and innovation. These zones aim to reduce barriers for new ventures and stimulate export expansion through domestic and foreign investment.

Addressing the energy issue, APTMA stresses the need to align power tariffs with regional norms to boost sectoral competitiveness. Currently, Pakistan's industrial power tariffs are higher than those of regional competitors, making exports less competitive internationally. APTMA proposes solutions such as reducing power tariffs for industrial consumers and enhancing solar net-metering for industrial use.

In a joint letter to the Commerce Minister, APTMA leaders Asif Inam and Shahid Sattar highlighted that achieving this ambitious export target would not only strengthen the textile industry but also drive economic prosperity and job creation.

Renowned for its pioneering work in innovative and sustainable apparel solutions, The Lycra Company is set to participate in various seminars at Performance Days Munich, happening from March 20-21 in Germany. 

Organised by Accelerating Circularity, a proactive non-profit organisation dedicated to advancing textile-to-textile recycling systems, these seminars will delve into the current landscape of polyester recycling from textile waste.

Jean Hegedus, Director - Sustainable Business Development, The Lycra  Company, will participate as a panelist in the Recycled Polyester Database Launch session, scheduled in the Reality Zone each day of the fair. This platform serves as a nexus for polyester recyclers and fabric producers incorporating textile feedstocks into their operations.

Following the presentation, panelists will engage in discussions on the challenges associated with utilising textile waste and strategies to surmount them.

Subsequently, breakout sessions will provide brands and retailers with the opportunity to engage directly with providers for more detailed insights.

The Lycra Company has been at the forefront of developing specialty polyester fibers derived from textile waste. Since 2021, it has offered Coolmax and Thermolite EcoMade fibers crafted entirely from textile waste, boasting virgin-equivalent quality. Available in staple, filament, and insulation forms, these fibers find applications across a diverse range, from performance wear to outdoor garments, socks, and ready-to-wear apparel.

In a bid to promote the adoption of products sourced from textile waste, The Lycra  Company launched the ‘Waste for Good’ campaign last year, with the tagline ‘Don't Waste this Opportunity.’ This campaign champions circularity in the apparel and textile industry, showcasing the potential of Coolmax and Thermolite EcoMade technologies.