Jeanologia’s turnover increased by 55 per cent in 2021 compared to that in 2020. As a result of its improved performance, the company repaid the funding sought in fiscal year 2020 and restored the equity balance of its Italian subsidiary, which had generated losses during the pandemic.

In 2021, the company committed to strengthening its Eco line and presented new solutions for reducing water consumption in garment dyeing as well as a new model for on-demand production and a tool for measuring sustainability in denim.These results have brought Jeanologia close to pre-pandemic levels, albeit still short of them as the health crisis had a major impact on production volumes and the company’s financial statements.

Founded in 1993, Jeanologia specialises in laser and sustainable technologies for textile finishing and employs 250 people across its ten subsidiaries. Exports of its machines and services account for 90 per cent of its turnover and 35 per cent of the 5,000 million jeans manufactured each year in the world employ its technologies. Jeanologia has developed an innovation laboratory to transform physical stores into digital and sustainable experience centers for consumers.The company has worked together with top brands and retailers in a new in-store model focused on eco-efficiency, personalization, and digitalization.

Dice Sports and Casual Wear has streamlined its production lines by using Coats Digital’s GSDCost solution.

This has enabled Dice Sports to achieve a 16 per cent efficiency increase on its production lines and reduce its core style Standard-Minute-Values (SMVs) by 11 per cent. Dice adopted GSDCost at the beginning of 2022 to help it overcome a series of costing, planning and manufacturing inefficiencies.

The company found that capacity planning and subsequent order cost quotations were not founded on accurate data but were instead based on historically recorded experiences via Excel spreadsheets and emails. Without a standardised benchmark to record accurate SMVs on the production floor, Dice, consequently, had no way of ascertaining whether its plan/cost targets reflected the reality of its manufacturing processes.The lack of a standardised method across all its manufacturing units consequently resulted in lower productivity which negatively impacted both ODTP targets and overall profitability.

Dice Sports and Casual Wear is an Egyptian knitted garment manufacturer. Coats Digital is the software business of Coats, the world’s leading industrial thread company and a trusted industry player. GSDCost is the international standard for establishing and optimising accurate method-time-cost benchmarks for sustainable garment cost optimisation and manufacturing excellence.

Egyptian Cotton Hub (ECH) has joined ITMF as corporate member. The ITMF and all ITMF members can benefit from ECH’s unique expertise and experience both in Egypt and the region as well as around the world.

ECH is a subsidiary company of the Cotton and Textile Industries Holding Company (CTIHC). These factories have been merged into nine companies located across Egypt. ECH is the marketing and sales arm of CTIHC. The company manufactures a wide range of products covering everything from yarns to finished garments including medical cotton. Furthermore, it also owns two different brands, Nit and Mehalla, to serve a wide range of customers with a variety of products.Egypt’s first public sector factories and companies were established in the 1920s. This then grew to a total of 33 factories. Each factory has a rich history and a deep heritage, with more than a century of textile experience.ITMF founded in 1904 is the international forum of the global textile value chain from fiber to finished products. Its members are from textile and apparel-producing countries representing approximately 90 per cent of global production.ECH looks forward to being an active partner of ITMF since ITMF produces a wide range of informative publications, statistics, and surveys that help companies to better navigate through the ups and downs.

Inditex plans to sell its stores in Russia to the UAE-based Daher Group.

The terms of the deal will allow a substantial number of jobs to be preserved as the transaction includes the transfer of most store lease contracts. Inditex closed its over 500 stores in Russia in March following the invasion of Ukraine and subsequent western sanctions.

The Lebanese Daher family runs the Beirut-headquartered retail company Azadea, which has had a partnership with Zara in the Middle East since 1998 and works with other major global brands.The Kremlin considers the United Arab Emirates and a number of other Gulf and Asian nations as friendly countries whose companies are encouraged to do business in Russia. Inditex added that the 216 million euro provision for Russia and Ukraine made in the first half of 2022 substantially covers the impact of the group's cessation of activity in the Russian Federation.

Days after the war began, Inditex decided to close its 502 shops in Russia, its second largest market after Spain, with more than 9,000 employees, and to suspend online sales in the country as a result of the Russian invasion of Ukraine. Of the 502 stores, 86 were Zara shops.Russia accounts for around eight per cent of the group's global net operating income.

For the second quarter Century Textiles and Industries had a 59 percent rise in consolidated net profit.

Building upon the momentum initiated in the previous quarter, the company performed even better in this quarter, especially due to increased market demand during the festive season, favourable impact of the single-use plastic ban as well as several cost-reduction initiatives implemented across its production facilities.

Founded in 1897, Century Textiles, a part of Aditya Birla, specialises in textiles including cotton textiles, yarn, denim, and viscose filament rayon yarn.The manufacturing businesses, in particular, witnessed a strong turnaround on the back of continuous drive towards product innovation, customer centricity and better financial management. The textile business saw a strong demand in the bed linen segment. The business is expected to accelerate between August to December this year, in both the domestic as well as the export markets.

The pulp and paper business performed well in the quarter due to a strong demand from the tissue and board segments. The real estate business posted a significant jump in collections along with a steady leasing income.

Adidas’ operating profit fell 28 per cent in the second quarter.

The German-based apparel brand has trimmed its yearly profit outlook for the second time in three months, citing a deterioration of traffic trends in Greater China as well as a significant inventory build-up linked to lower consumer demand in Western markets as of September.Adidas, the world’s second-largest sports apparel manufacturer after Nike, is battling a unique series of challenges.

The company’s shares are down 65 per cent since January.Against a challenging macroeconomic market backdrop, the company is diligently focusing on all factors it can to maintain its growth momentum in western markets and to accelerate growth in Asia-Pacific. Now, for the third quarter, Adidas is reporting a preliminary four per cent rise in revenue. However, net income for the quarter is expected to drop 63 per cent from the same period a year ago.Adidas is finding itself saddled with excess inventory stemming from last year’s supply chain snags and foresees higher promotional activity during the remainder of the year to free up space for new merchandise. It is currently offering up to 65 per cent off on thousands of shoe and clothing styles.

The athletic footwear market as a whole is in a tough spot from shifting consumer preferences, softening demand and higher costs.

Second only to China, Bangladesh carved out an awe-inspiring success story in the global RMG supply. Exports worth $42 billion last year contributed 83 per cent to its total export volume. Whilst the RMG sector continues its growth, the two-year long pandemic and drop in demand for RMG imports from the West thereafter created an economic crisis for the nation. The Bangladesh Garment Manufacturers and Exporters Association (BGMEA) have targeted the $100 billion mark of export by 2030. After the hit it took in the last two years, Bangladesh is keen to diversify its RMG portfolio.

Technical textiles the way forward

This is where technical textiles present an opportunity. Futuristic technical textiles used in planes, cars, and firefighters’ uniforms and protective clothes are not what comes to mind in the RMG sector but this category represents a huge potential for Bangladesh’s diversification plan. Textile technology has become increasingly commercially viable and is experiencing rapid increase in demand. Garments made of technical textiles can offer many qualities which traditional garments cannot; they can be antibacterial, insect repellent, flame retardant, odorless and much more, allowing the wearer to reduce risks and bodily harm.

Manufacturers of technical textiles use both natural and manmade raw materials. Manmade materials, which currently account for 40 per cent of total fiber consumption across the entire textile industry, include items like viscose, nylon, acrylic and polypropylene. The global market for technical textile is projected to reach $208.5 billion by 2024 from $178.92 billion in 2020. The market is expected to reach $298.1 billion by 2030. Europe represents the largest regional market for technical textiles, accounting for an estimated 28.8 per cent share of the global total.

Asia Pacific lead market

Asia Pacific dominated the technical textile market with a share of 45.9 per cent in 2019. China is the largest exporter of technical textile products with 24 per cent share; followed by the US, Germany and Republic of Korea with 10 per cent, 9 per cent and 4 per cent share respectively.

Within the Asia Pacific region, China and India are two leading countries in the technical textile sector. India is the world second largest polyester producer and its market size is $19 billion. India has set up a scheme within an average growth rate of 15-20 per cent to increase their domestic market size of technical textiles to $40-50 billion at 2024; through market development, technological development, international technical collaborations, marketing and investment promotion.

Bangladesh has its work cut out as they venture into the technical textile segment. In 2010, the Bangladeshi technical textiles consumption market value was worth $281.1 million and production value was $252.2 million. Whilst the pandemic may have been doom and gloom for Bangladesh’s RMG sector, the silver lining came in the form of technical textiles as demand for gloves, mask, PPE kits, etc, grew. During this production process, Bangladesh realised it lacks the infrastructure, research facilities and skilled labor to compete significantly in the global market. The government of Bangladesh has launched various conduct schemes and policies for technical textile manufacturers to make them globally competitive.

Worldwide, the value of the apparel market was worth nearly $527.1 billion in 2020, with a decline in CAGR by 0.6 per cent since 2015. Of course, it was expected as the Covid-19 pandemic had created a socio-economic upheaval that included disruption of supply chains, loss of consumer intent and an unpredictable future. However, 2022 is an indication that the sector is slowly coming back in to the game. Recovery and growth are forecasted to reach $842.7 billion by 2025 and $1,138.8 billion by 2030.

The US to be key growth driver

Forecast has it that the US will be the largest textile market for the North Americas as it continues to be the largest producer of cotton, largest exporter of raw cotton and the largest importer of raw textiles. The fashion sector in the US will contribute significantly as fast fashion with its online channel approach is also experiencing rapid growth. The emerging popularity of smart textiles will also play an important role and this particular niche segment will continue using optical fibers, metals, and various conductive polymers to interact with the environment.

Major companies are responding to increasing awareness and demand for sustainability by restructuring business models and investing in manufacturing practices that target sustainable products. For instance, DuPont’s plant-based pretend fur for performance fashion attire and Eastman’s usage of discarded carpet into new material is anticipated to open new growth avenues over the forecasted time-frame. The pandemic had acted as a restraint to the world market. International trade restrictions because of breakdown of supply chain and decline in textile product consumption amid the pandemic had a negative market impact. However, the market is anticipated to witness a powerful recovery throughout the forecasted time-frame because of government support and increasing public awareness concerning effective precautionary measures.

Cotton will remain number one

Cotton continues its pole position and accounting for nearly 40 per cent share of the world textile revenue in 2021. Cotton being the world’s most significant fiber is attributed because of its superior property like high strength, absorption, and color retention. China, India, and the US are the main producers of cotton and cotton-based merchandise within the world. Chemical-based textiles also play a vital role within the entire textile producing sector. Chemicals are definitely harmful for the environment but will continue to be used as mercerizing agents, neutralizers, leveling agents, binders, thickeners, and stain-removers within the textile trade. The reason is clear – substitutes that are as efficient are still under development. Wool-based textile accounted for 13.3 per cent of the market in terms of revenue in 2021. Wool primarily composed of H, carbon, sulfur, and gas, is extensively used to manufacture insulation merchandise like winter wears, blankets, carpeting, upholstery, and others. Alternative raw materials employed in the manufacturing of textiles are silk, minerals like glass fibers and asbestos, and other man-made material. Silk finds intensive use within the production of garments, surgical suture, parachutes, silk comforter, and numerous others having high strength and physical property is anticipated to drive the section growth over the forecast time-frame.

As the forecast shows a streak of positive growth, the manufacturing sector is bounding back with confidence.

The Indian textile and apparel sector’s export turnover from April to July 2022 was $12.89 billion. The data released by the Confederation of Indian Textile Industry (CITI) recently indicates this sector could face numerous challenges in future. Textile export sector took the biggest hit with a downgrade of 24.15 per cent whilst apparel exports was only 0.6 per cent. The total cumulative decline during July 22, according to CITI, stood at 15 per cent. Overall, apparel export sector stood in a far better position than the textile export sector.

However, Apparel Export Promotion Council (APEC) chairman Narendra Goenka is optimistic, as he believes the economic crisis faced by Sri Lanka, energy crisis in Bangladesh and floods in Pakistan leave an open area for India, which continues to have its raw material intact and can therefore, make up for losses by the end of the fiscal year. T Rajkumar, Chairman of CITI points out although the recession in developed nations slowed down demand for textile products, production disruptions in competing nations would allow India to gain ground. Textile is significant part of India’s merchandise exports worth $313 billion as it contributes 11 per cent and is also an important employer of skilled labor.

Falling currencies cause grief to Indian exports

Whilst the Indian currency is impacted by growing strength of the US dollar, the currencies of India’s competing nations such as Sri Lanka, Pakistan, Bangladesh and Vietnam, have experienced greater weakening compared to India rupee. This leaves India in a situation where it can’t compete cost-wise and is seeing itself being out priced in the global market. The cost of labor in India is no longer competitive either as these four countries have experienced high rates of unemployment suddenly find a huge workforce at extremely low rates. These are external factors that India has no control over and there is nothing it can do about it except seek alternatives to soften the blow.

Will Indian government’s support help?

Realizing the importance of keeping the textile and apparel export sector in good health, the government has stepped up its support but the question remains that will it be enough? The Union Budget of 2021-22 did include the establishment of textile parks which will provide a seamless operation from sourcing of raw material to end product which in turn will lower cost of manufacturing. The sector has also been included for allocations under the Production Linked Incentives (PLI) scheme. This scheme is designed to boost production in the manufacturing sector and attract not only domestic but foreign investments to strengthen it. However, CRISIL Research indicates textile parks and PLI may work out in the future but there is a lot more that needs to be addressed to arrest the decline of the textile and apparel exports sector.

The lack FTAs is also compounding the situation as India’s competitors enjoy a clutch of such deals as under-developed nations. At the moment, the Indian government is looking at two important FTAs with the UK and Australia, which when finalized, should ease the situation a bit but more is required. On July 1, 2022, India and the European Union went back to revive a nine-year-old negotiation towards and FTA that can be a game changer for the former.

The introduction of the Remission of Duties and Taxes on Export Products (RoDTEP) scheme targets the reduction of tax burden of exporting entities. The scheme has also been supported by additional structural reforms that should revive the textile value chain. Whilst the Indian government is trying its best to support the sector with restructures, reforms and incentives, they are not expected to have any significant impact for the next three to four years and the debate at this hour is will it be too little, too late?

Vietnam's yarn imports moved up by 23 per cent year-on-year but declined by one per cent month-on-month and its exports dropped by 20 per cent year-on-year and seven per cent month-on-month.

In terms of countries, the main origins of yarn imports in September 2022 were China, Taiwan and Thailand. By country, yarn exports to China, South Korea and the US accounted for 47 per cent, nine per cent and four per cent respectively.Vietnam's textiles and apparel exports increased by 19 per cent year-on-year but dropped by 31 per cent month-on-month.

Vietnam’s cotton imports in September were down 11 per cent over the same period last year yet up five per cent from the previous month. Australia was the main source of Vietnam’s cotton imports in September, accounting for 53 per cent of total imports. Imports from US and Brazil accounted for 33 per cent and two per cent respectively.

Based on export value, Vietnam’s textiles and apparel exports in September dropped significantly compared with that in August, yet were still higher than that of last year.In September, Vietnam's textile and apparel exports declined significantly month-on-month and the exports value was well below the highest level of 2022, yet still showed positive growth from the same period of last year.