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Egypt’s RMG factories cut production by 50%
Due to a projected decline in demand for the fall season, several local ready-made garment factories in Egypt have reduced their production by 50 percent, while other factories have halted production altogether.
According to Mohammed Abdel Salem, CEO, Egypt’s Ready-made Garments Chamber, demand for clothing is not expected to exceed half of the normal rate this fall, amid expectations that a “second wave” of coronavirus will force the country into another lockdown, keeping people home and killing in-person shopping.
Several manufacturers suffered a major loss after a countrywide lockdown was mandated in mid-March to combat the spread of the virus. The lockdown led to a drastic decline in demand for ready-made clothes.
A massive overstock of summer clothing sat for months in the factories, according to Salam. The factories failed to distribute their production in both local and foreign markets. Factories have hardly sold 30 percent of their summer season stock over the past three months.
Many Egyptians turned to online shopping amid the pandemic, with the country’s e-commerce sector already steadily rising pre-pandemic.
Eastman launches sustainable cellulosic fiber Naia Renew
As per Sportswear International, Eastman, the producer of sustainably sourced Naia cellulosic fiber, has launched its new Naia Renew portfolio. The new cellulosic fiber is sourced from 60 per cent wood pulp and 40 per cent recycled waste plastics. It is traceable with certified biodegradability as it uses hard-to-recycle materials that would otherwise be destined for landfills.
The filament features a silky hand, rich luster and fluid drape and is used to create fashionable womenswear garments. The fiber is inherently soft and quick drying, with reduced pilling properties, and can also be used for everyday casualwear.
Naia Renew is produced with a low carbon footprint in a closed-loop process as solvents are recycled back into the system for reuse. The fiber is made from wood pulp sourced from certified forests, and the recycled plastics feedstock is generated via Eastman’s patented carbon renewal technology (CRT). CRT is an integrated, molecular recycling technology that breaks down waste plastics, such as postconsumer carpet fiber and plastic packaging materials, into basic molecular building blocks for the manufacture of new products.
AWWG embarks on transformation strategy
All We Wear Group (AWWG), formerly known as Pepe Jeans, is pushing ahead with its “Re:set” transformation strategy with plans to close about 50 stores worldwide and some international offices. The retailer, which has about 500 stores worldwide, will seek rent reductions on a number of locations. The move is expected to result in the closure of about 10 per cent of stores in locations including the United States, Japan, Mexico, India and Europe.
The company also plans to integrate its marketing and e-commerce teams to streamline operations and bring resources under one roof in Madrid and Barcelona. As a result, the Hong Kong headquarters have now closed, replaced by “a new outsourcing model” and the business has ceased trading in the United States,
The group owns fashion brands including Pepe Jeans, Hackett London and Façonnable, as well as licenses for Tommy Hilfiger and Calvin Klein in Spain. According to the statement, online sales at the group have doubled over the past six months and its stable of brands is “gaining momentum” with consumers. The restructuring is part of a full business overhaul following a rebrand and the unveiling of a new corporate identity in July.
AAFA approves signing of CBTPA
Steve Lamar, President and CEO, American Apparel & Footwear Association (AAFA) welcomed the signing of the extension of the Caribbean Basin Economic Recovery Act (CBTPA) by President Trump this weekend. The bill extends the act to September 30, 2030.
According to Lamar, The CBTPA supports trade with Haiti and supports thousands of American and Haitian jobs in the textile and apparel sector. By extending the program for 10 years, the Trump administration has provided the industry with certainty to promote growth in the region and secure these jobs.
CBTPA supports 30 percent of Haitian exports to the U.S., and has strong support in the apparel industry. AAFA has been calling for the extension of the program for some time, including letters to Congress in April and U.S. Trade Representative Robert Lighthizer in August, while more recently calling on the Senate to pass and the President to sign the bill.
India to produce 360 lakh bales of cotton in FY2020-21
According to Ravi Capoor, Textile Secretary, the total area under cotton cultivation in fiscal 2020-21 is estimated to be 133 lakh and total production is expected to be 360 lakh bales. In fiscal 2019-20, the area under cotton cultivation was 133.74 lakh hectares and cotton production was 357 lakh bales.
In 2019-20, the Cotton Corporation of India witnessed an unprecedented procurement in its history—105.14 lakh bales in 12 states valued at ₹28,500 crore. From April 2020 to September 2020, CCI procured 20.71 lakh bales valued at ₹5615 crore. The corporation is fully geared up for for smooth conduct of minimum support price (MSP) operations. It has opened 430 procurement centers in 135 district of 12 cotton growing states. It will undertake MSP operations till last arrivals of all fair average quality (FAQ) grade kapas (raw cotton) from farmers without quantity restrictions.
Till October 6, 3.12 lakh bales of kapas had arrived in the market. Therefore, CCI could procure 2,311 bales in Haryana, Punjab and Rajasthan as against nil procurement in the corresponding period of last year. The value of MSP procurement is expected to be ₹35,000 crore.
Sri Lankan Chamber hails its apparel sector
The Sri Lankan National Chamber of Exporters has appreciated its apparel sector for contributing 44 per cent to Sri Lanka’s exports revenue and providing employment opportunities to a large labor force in rural and urban areas of the country.
According to the Chamber, the sector’s direct and indirect employment has contributed to uplifting living standards, conforming to globally renowned ethical and good manufacturing practices (GMP). This has earned it the sobriquet ‘Garments without Guilt’ while catering to many internationally reputed brands.
The enterprises export their products to discerning markets led by the US, EU and the Far East. With the COVID-19 pandemic, both large and SME exporters adapted their product portfolios to match a wide range of special protective apparels that were urgently needed by consumers. This earned them confidence and reputation among buyers for being able to change-up production during challenging times.
The COVID-19 preventive measures taken by Sri Lanka helped minimize the effects caused by the pandemic. Effective polymerase chain reaction (PCR) testing and contact-tracing mechanisms have supported the dedicated medical personnel, healthcare workers, and the Tri-Forces to manage the pandemic efficiently. It is commendable to note the leadership provided by the President and his dedicated team of officials to keep our country safe in the best possible manner.
Brazilian brand presence at Curve Connect
Held between September 13-25, 2020 Intimate fashion tradeshow Curve’s new digital edition Curve Connect was attended by Brazalian brands like Daniela Tombini and Mari M.
The companies closed deals worth $17.5 thousand during the event. The brands participated in Curve Connect with the support of Texbrasil (Brazilian Textile and Fashion Industry Internationalization Program) – the result of a partnership between Abit (Brazilian Textile and Apparel Industry Association) and Apex-Brasil (Brazilian Export and Investment Promotion Agency).
This was the first edition of the Daniela Tombini at the tradeshow. According to Edurado Tombino, Operations Director, the digital edition helped the brand to add the best in technology and bring business and people together. The brand was able to get initial orders from other countries, like Canada. It is also working with a few interested American customers.
Fashion brands play down Saudi ban on Turkish products
A de facto Saudi ban on Turkish goods has hit global fashion brands in the latest sign of the escalating rivalry between the regional powers. However, Mango, which has almost 50 stores in Saudi Arabia, has played down the impact of the restrictions. According to the brand, this does not represent a big problem as the production is diversified and flexible, and it is confident of continuing with business under normal circumstances in Saudi Arabia.
Sweden’s H&M opined it was too early to comment on the most recently communicated trade restrictions and its significance for our business. Britain’s Marks and Spencer and Spain’s Inditex, which also source some of their products from Turkey and have stores in Saudi Arabia, declined to comment.
Boohoo, a UK-based online retailer that seeks to expand in the Middle East, is working to establish whether its Turkish-made garments would be affected, Saudi Arabia recently banned all imports for made in Turkey products. Turkish products have faced long delays at Saudi customs over the past month. The problems have been viewed by businesses as an attempt by Riyadh and its close ally the United Arab Emirates to punish Ankara for what they deem to be its destabilizing interventions in the Arab world.
Average monthly rentals in Delhi’s upscale retail locations decline by 14%
According to Cushman & Wakefield, the average monthly rentals in Delhi's upscale retail locations of Khan market, South Extension and Connaught Place declined by 14 per cent year-on-year during the July-September period.
According to the data, rentals in malls were stable during the period. At present, malls in South Delhi commands per sq ft monthly rentals of Rs 600, West Delhi Rs 325, Gurugram Rs 350, Noida Rs 250, Greater Noida Rs 125 and Ghaziabad Rs 200.
The consultant noted that key high streets across most cities had become strong F&B (food and beverage) destinations along with other retailer categories across apparel and accessories segments. With most retail businesses being start-ups, they faced working capital challenges and found real estate costs as a big burden.
The consultant said that exits across retail segments were seen and it created new vacancy in the high street locations. With most retailers shelving their expansion plans for the next 6-12 months, new demand was also quite limited.
In such an unprecedented situation, landlords in high streets had to offer lower rents to new space enquiries as active retailers were negotiating hard, Sharma said. In some cases, landlords offered to reduce rents for a short time period or gave rent abatement support. Revenue sharing arrangements as suggested by retailers were also supported by landlords to ensure that retailers stay afloat.
Bangladesh raw cotton production to 20 lakh bales by 2041: CDB
At a recent webinar, Cotton Development Board (CDB), an autonomous body and responsible for the cotton industry of Bangladesh, announced plans to enhance the production of raw cotton to 20 lakh bales by 2041from the current annual production of 1.71 lakh bales.
CPB plans to achieve this target by improving cotton production acreage up to two lakh hectares which is now only 44,000 hectares and raising per hectare production up to 10 bales instead of 6.15 bales, annually imports some 71 lakh bales cotton from abroad at a cost of over Taka 30,000 crore.
The webinar was attended by dignitaries like Kai Hughes, Executive Director, International Cotton Advisory Committee (ICAC); Robert D Simpson, FAO Representative, Bangladesh; SM Bakhtiar, Executive Chairman, Bangladesh Agricultural Research Council (BARC), Al Sayeed Negom, Professor, Cotton Research Institute in Egypt and Keshob Kanti, Head-Information, ICAC.
The CDB, which was first formed by Father of the Nation Bangabandhu Sheikh Mujibur Rahman on December 14 in 1972, is working to enhance cotton cultivation on agro-forest land, saline, char and hilly areas across the country.












