FW
Simplfy rules in Simple Advance Authorization Scheme: AEPC
The Apparel Export Promotion Council (AEPC) has urged the government to simplify rules and changes in the Special Advance Authorization Scheme for garment exporters. The Council has recommended the issuance of Special Advance Authorizations to the apparel sector on self-declaration and self-ratification basis. At present, the facility of self-certification and self-ratification is not available to the apparel sector. Hence, apparel exporters have to wait for a longer period for getting SION fixed in the norms committee.
So, for faster clearances of cases, facilities of self-certification and self-ratification must be made available to the apparel sector as well, said A Sakthivel, Chairman, AEPC. He also suggested some changes in the Export Promotion Capital Goods (EPCG) scheme to take care of the growing need of capital investment in the sector. He further emphasized on the need to address the issues of duty disadvantage in the overseas market through free trade agreements.
Isko launches second edition of Light on the Land collection
Isko has launched the second edition of its Light on the Land capsule collection. Designed in partnership Miles Johnson and Isko’s own Italian style and washing research hubs, Creative Room and Iskoteca, the collection features 32 denim pieces made from low-impact materials and responsible finishing techniques, reports Sourcing Journal.
All of the fabrics used in the collection were carefully selected from Isko’s R-Two platform, which uses a mixture of reused cotton and recycled fibers. The reused cotton comes from Isko’s own production loss, which is tracked, traced and has the Content Claim Standard (CCS) certification. The reused cotton is then blended with recycled polyester derived from PET bottles. Fabrics can have the Recycled Claim Standard (RSC) certification or Global Recycled Standard (GRS) certification depending on the percentage of materials contained.
Light on the Land 2.0 also incorporates Cadica’s new and innovative trims made of organic materials, more efficient low-waste pattern cutting and design processes, improved sewing methods, removable rivets for end-of-life and biodegradable thread.
Guess beats expectations in Q3 earnings
The apparel, accessories and footwear retailer Guess beat expectations in its third quarter earnings and more than doubled its profits from the same period a year ago. The company could achieve this due to its tighter inventory and expense controls and more full-priced selling.
The company’s revenues declined in every region. But the 7.6 percent decline in net revenues was most pronounced in the Americas wholesale division, which was down more than 36 percent for the quarter, year-over-year. The Americas retail division was down 26.7 percent during the same timeframe, followed by the Asian region, which was down nearly 25 percent.
However, revenues from European wholesale business increased during the quarter by about $50 million by canceling inventory receipts.
E-commerce was also up during the quarter, 19 percent in the most recent quarter, compared with the second quarter.
By category, essentials, activewear, denim, accessories and footwear outperformed the business as a whole during the quarter. Last month, Guess re-released 68 vintage styles, across denim, T-shirts and jackets, from the Eighties and Nineties.
Guess ended the quarter with $70 million in long-term debt and 1,068 directly operated retail stores throughout the Americas, Europe and Asia.
Children’s Club holds first digital edition
The fashion tradeshow Children’s Club held its first digital edition between September and November. The Brazilian delegation at the event was made up of five brands, which together closed $52,000 in deals during the event, and prospect an additional $172 thousand for the next 12 months.
The show was supported by of Texbrasil and Fashion Label, internationalization programs carried out through partnerships between Apex-Brasil (Brazilian Exports and Investments Promotion Agency), Abit (Brazilian Textile and Clothing Industry Association) and ABEST (Brazilian Fashion Designers Association), respectively.
Texbrasil’s Tip Top, Planet Sea, Dalai and Renata Carlotto, and I Am Just for Little, from Fashion Label Brasil, also made 178 contacts during the event. Renata Carlotto made her debut in this edition, exhibiting her Summer 2021 collection.
The digital show was organized through the NuOrder platform, along with two other tradeshows of the Informa Market group, Coterie, and Project Womens.
Camelo Fashion launches interchangeable sandals in India
Making its debut in the Indian market, Cameleo Fashion has launched interchangeable sandals for women, reports Fashion Network. The brand is banking on its innovation and affordability coupled with sustainable designs to make inroads in the market.
Cameleo Fashion aims to provide its customers with a collection of footwear for the price of a single pair and also allows personalization of products. The footwear will be available with detachable straps, soft soles and fabric uppers a wide range of colors, allowing users to change their footwear on the go.
Cameleo Fashion footwear has been priced from Rs 1500 ($20) onwards and will be sold exclusively from the brand's website.
Copenhagen Fashion Week announces participants’ list for AW21 edition
Copenhagen Fashion Week has announced its list of participating brands in the AW21 edition from February 02-05, 2021. The event will feature new and innovative designers including the ten finalists of Designers' Nest and industry leaders such as Henrik Vibskov, Stine Goya and Ganni, the organisers see a return to schedule of selection of brands including Rotate, House of Dagmar and Wood Wood.
The representation of Nordic fashion figureheads interspersed with a strong international presence from the likes of Rixo presents a positive statement on the value of Copenhagen Fashion Week as curating a united Nordic and international community of leading fashion voices.
Dedicated to supporting emerging talent, Copenhagen Fashion Week is excited to announce its new talent slot that will be committed to showcasing an emerging visionary designer as chosen by the show committee jury each season. For AW21 the slot has been awarded to Louise Lyngh Bjerregaard, whose rising reputation as a key visionary on the creative landscape of Copenhagen has seen her brand look to redefine knitwear and textiles.
BGMEA demands reduction in source tax on export incentives
The Bangladesh Garment Manufacturers and Exporters Association (BGMEA) has demanded reduction in the source tax on cash incentive against export earnings to support the readymade garment sector in maintaining export competitiveness amid the coronavirus outbreak.
Rubana Huq, President, BGMEA, has demanded that the National Board of Revenue should reduce the source tax, also known as tax deduction at source, on cash incentive to 5 per cent from the existing 10 per cent to facilitate the sector which is suffering from the negative impacts of the outbreak.
According to her, receipt of export payments from many shipments had become uncertain for exporters as many international buyers from the United States, China, the United Kingdom and other European countries had been declaring themselves bankrupt since the outbreak began in China.
The impact of the outbreak has been devastating on the country’s RMG sector and consequently many apparel factories have been shut down, she said.
International buyers have become worried amid the fear of a second wave of the infection, deteriorating the situation further, she added.
According to the BGMEA, foreign buyers have stopped payment of already exported products along with a slowing down in orders.
Exporters are also facing problems in releasing money in cash incentives from the Bangladesh Bank due to not receiving export payments from foreign buyers, it said.
RMG exporters are also facing a liquidity crisis and other problems amid the situation. Under the circumstances, it will be difficult for the exporters to maintain competitiveness on the global market if tax is deducted at the rate of 10 per cent on cash incentive, Rubana said.
Social commerce to be the major driver of e-commerce in India
Providing much needed boost to the Indian e-commerce industry, COVID-19 has accelerated the use of technology amongst fashion companies. As an Economic Times reports suggest, companies are adopting new business models to offer customized and interactive shopping experience to customers. One such emerging business model is social commerce which combines the benefits of social media and e-commerce.
A recent survey by PayPal social commerce is projected to become a $100 billion vertical e-commerce by 2025. Growth is being mainly being driven by the use of videos on social media platforms such as Instagram and Snapchat. Regional social networking platforms such as ShareChat and Roposo are also stimulating growth by offering content in vernacular languages. In the last few months, there has been a spurt in homegrown social commerce startups. Big e-commerce players like Flipkart are entering the social commerce space to target consumers in Tier II and Tier III Indian cities.
Indian social commerce market is largely driven by consumers and sellers from smaller cities. Most customers of social commerce players such as Meesho,
Shop 101, Bulbul are based in Tier II and III cities. Another factor driving Indian social commerce is the increasing number direct-to-consumer brands. As per a Unicommerce trends report, the number of brands developing their own websites has grown 65 per cent in 2020. Smaller retailers are also marketing their products on social media platforms such as Facebook, WhatsApp, Instagram, etc.
WhatsApp, AI tops business users in India
A large number of businesses are using messaging apps such as WhatsApp to conduct their business. It is one of the most lucrative platforms for small and medium sellers in India. Around one million sellers use WhatsApp in India for conducting their businesses. Companies are building WhatsApp chatbots for retailers to help them manage a large number of orders.
Artificial Intelligence (AI) has also become a major growth avenue for retailers and brands. They are now experimenting with both marketplace and reseller models with the help of AI & automation. Chatbots are being created to help consumers shop directly on WhatsApp. AI tools like simplified product searches, recommendation systems for consumers are helping brands achieve an elevated level of customer satisfaction.
Collaboration with logistic service providers a key growth factor
Inventory management being an important part of the industry, social commerce players need to collaborate with logistic service providers to ensure maximum reach, timely delivery, and low returns. Over the years, these players have been successful in providing a sales platform for small and medium scale sellers by exploring artificial intelligence/machine learning algorithms. AI solutions have also helped these players manage shipments besides providing them with regular delivery updates.
Social commerce also helps smaller sellers become more efficient by providing them with an integrated view of their inventories and orders. The use of this technology is poised to grow with time with social commerce becoming major driver of e-commerce growth in India.
Automated production, CSR, can help European fashion be more sustainable
European clothing and textile industry is one of the largest polluters in the world, second only to the oil industry. The sector uses around 93 billion cubic/meters of water per annum. Of this, 20 per cent water is wasted. The industry also uses a huge amount of pesticides; 20 per cent of which are used in cotton production.
To curb rising pollution, industry leaders are promoting the “buy less” trend that ensures sustainability in fashion, highlights a study ‘Trends in Apparel’ conducted by Netherland’s Enterprise Agency, CBI. Consumers are being encouraged to use online platforms and apps like eBay and Kleiderkreisel to sell used clothing peer to peer. Also, vintage fashion is being promoted to encourage the use of pre-owned clothing. Brands are also using recycled and eco-friendly materials like low-impact, biodegradable fibres. For instance, H&M has launched ‘Conscious Collection’ made with organic cotton or recycled polyester, it uses 57 per cent recycled or sustainably sourced fibers.
However, brands further need to be aware about new eco-friendly, innovative and sustainable production methods, the study goes on to say. They need to
explore new upcycling and recycling strategies, partner other companies to offer circular economic models and educate partners, business customers and end consumers about the positive impact of sustainable brands.
Introduce a CSR policy
Corporate Social Responsibility (CSR) has become one of the more compelling brand purposes. Brands are being transparent about their practices and the practices of their partners along the supply chain. New initiatives like Fashion Revolution’s Fashion Transparency Index that rate apparel companies based on transparency practices are being introduced.
To gain from this trend, brands need to create corporate social responsibility policy, they need to ensure that their factories are safe places to work by eliminating hazardous and outlawed production processes. They also need to publish a list of their suppliers.
Promote digital transformation
Nowadays, buyers expect suppliers to provide them with digital data and product details. Hence, brands need to have a digital transformation strategy with a clear mission and specific objectives. They need to select the most suitable IT management system and integrate it their day-to-day operations. They should also use enterprise resource planning software and analytics tools to collect both internal and external data like fabric data, production times, pricing, lead times, shipping, ecological footprint and sales to generate insights.
Fashion trends for the elderly
The European Union is the second fastest ageing society in the world. Brands need to study the functional needs and quality expectations of these customers and launch different clothing styles for them. They also need to familiarize themselves with the latest fashion trends on social media by following relevant fashion influencers and leading European apparel players.
Activewear outfits are becoming the new norm of the day. Brands need to offer innovative athleisure pieces to satisfy health and wellness needs. They need to master the use of social media marketing, such as using the right hashtags on Instagram to promote athleisure. They also need to innovate and offer high-quality multipurpose items that fit with various activities.
Accelerate automation
With COVID-19, revenues in the global apparel industry are expected to contract by 30 per cent in 2020. To stem this decline, brands need to shift to e-commerce and accelerate automation in their operations. They can also adopt the message strategy by focusing on messages like ‘Work from-home’, ‘Relax and Recharge’ and ‘Keep Moving.’ They can also employ virtual platforms such as ‘live broadcast fashion shows’ from Armani or Valentino. Another strategy they can adopt is to work closely and support long-term partners by clearly reviewing inventory positions and engage in joint planning. They can also introduce new processes and policies such as safety procedures for handling and delivering online orders.
Cotton 2040 to include US Cotton Trust Protocol in CottonUP guide
The Cotton 2040 coalition aims to include the US Cotton Trust Protocol in Cotton 2040’s CottonUP guide which helps sourcing directors make sustainable decisions.
As per a Textile Focus report, the CottonUP guide seeks to address one of the main barriers for companies looking to start sourcing or increase the amount of sustainable cotton they source: the time and resource required to research and implement the most appropriate sourcing approach for their organisation’s sustainability priorities. The guide highlights the business case and main sourcing options for sustainable cotton, provides guidance on creating a sourcing strategy and on working with suppliers, and shares case studies from companies that have already navigated the complex challenges of sourcing more sustainable cotton.
The guide recognizes the US Cotton Trust Protocol as a sustainable cotton standard alongside BCI, CmiA, Fairtrade, myBMP, Organic and recycled cotton. It helps stakeholders within the cotton sector to navigate the complexity, and better understand the major sustainable cotton standards they could adopt, how they work, and select the best options for their business.












