Bangladesh’s woven shirt exports over the last couple of years are no longer what they used to be.

Bangladesh started its journey as a garment exporting nation in 1978 with the shipment of a few thousand formal shirts to a French buyer. In the apparel export basket, the shirts continued to maintain dominance for many years.

However, a sudden rise of other knit items outshined shirts because of easy access to associated raw materials.For instance, local spinners can currently supply 90 per cent of the raw materials required by the knitwear sector as state-of-the-art spinning mills are capable of ensuring fast delivery of the raw materials.

On the other hand, local weavers can only supply 40 per cent of the raw materials required by woven shirt manufacturers as investments expected in woven fabrics is yet to come about.As a result, woven shirt makers have to import fabrics from other countries, mainly China, which takes a lot of time and the long lead time is a major cause for concern for the garment business.

Moreover, over the last decade a massive change has taken place in global fashion because of shifts in consumer behaviour and climate change. Previously, officegoers used to wear formal woven shirts but now a majority prefer casual dresses.As a result, globally the consumption of woven shirts has fallen significantly.

From January 2022 to August 2022 Bangladesh’s denim exports to the United States rose by 46 per cent compared to the same period of 2021.In 2021, Bangladesh became the top denim exporter to the US for the second consecutive year and currently holds a 22 per cent share in the US denim market.

Bangladesh’s garment exports to the United States of America increased by 34 per cent in September 2022.

One reason for this is shifting of orders from China to other manufacturing countries and another is increasing demand for knitwear products. Buyers from the US are shifting their orders from China in large volumes to Bangladesh apart from countries like India and Vietnam.

Bangladesh’s denim is the biggest brand in the US market and US buyers consider it an elite product of high quality.Bangladesh is maintaining its growth in exporting denim apparel to the US as the top supplier, despite the slowdown in the US due to falling consumer demand caused by global economic challenges.

Bangladesh is doing well due to efficiency, strong backward linkage, quality products and many more reasons. However, overall Bangladesh’s garment exports are falling. Among the reasons are the war-related crisis, the global economic turmoil, and a record inflation affecting retail businesses.

Businesses are making bold promises on climate change, but progress has been limited. So says Remake World which has assessed dozens of the world’s leading fashion brands on progress in sustainability issues.

Only three companies meet all four of Remake’s climate criteria. These are disclosure of full emissions, short-term 1.5℃ pathway-aligned Science Based Targets, ambitious long-term net-zero targets and a reduction in their total greenhouse gas emissions.

A third of the assessed companies are reducing their packaging waste and 20 per cent now offer upcycling or repair services. Despite a rise in resale platforms and some repair initiatives there has not been a transition away from linear production. Companies are co-opting customer interest in circularity to greenwash.

While no company can show an overall reduction in production, some companies have reduced their use of virgin plastics like polyester. There is a continued lack of progress on living wages in supply chains, although some retailers are at least attempting to tackle this issue. Four companies have published some progress towards a living wage in their supply chains in addition to disclosing the methodology they use to quantify a living wage. Five companies have published partial information indicating that some of their direct employees, such as corporate employees or retail workers, earn a living wage.

Gujarat’s industrial clusters are losing order volumes and revenues to falling demand. As orders dwindle, operating margins are shrinking.A trifecta of headwinds — high domestic cotton prices, dwindling exports and grossly underutilized capacities — has eroded the profitability of cotton yarn makers. Yarn makers’ operating margins declined to 12 per cent or 14 per cent in the last fiscal compared to their decadal high of 20 per cent.

Spinning units face losses

Spinning units in Gujarat have 50 lakh spindles of installed capacity. But capacity utilization has dropped to about 50 per cent at most spinning units. Spinners are unable to command better prices as industrial demand from Europe and Bangladesh has been hit due to the war situation and energy crisis. Moreover, with the price of foreign cotton lower than that of Indian cotton, yarn makers are operating at a net loss.

Falling demand from Europe

Textile giants in Gujarat have been losing export revenue since the second quarter as demand from Europe has shrunk and inventories remain piled up. Several textile processors are yet to resume factory operations after the Diwali break. The export business isn’t doing as well, especially the European and North American markets. This has hurt capacity utilization in the textile industry.

Cotton prices

Exporters have been badly affected overall because of high cotton prices. Global cotton prices fell by 17 per cent between April and August this year in anticipation of higher output, while domestic prices rose by two per cent because of limited supply. Expensive domestic cotton has eroded India’s competitiveness, leading to a loss of export market share to China and Bangladesh.

Demand for dyes declines

When dyes and intermediates manufacturers in Gujarat had barely begun inching out of the effect of Covid, the Russia Ukraine war has hurt their growth. With exports of dyes and intermediates down by 50 per cent, manufacturers have seen a major fall in revenue. High inflation, rising energy costs and high interest rates have derailed industrial production in many parts of Europe. With consumer spending and textile demand down, the demand for dyes has declined.

The US Cotton Trust Protocol established in 2020, has become the international benchmark for the sustainable farming of cotton worldwide in two years. Its commitment, transparency, meticulous data capture and aggregation that leads to annual reports has won over more than 40 global brands as members, such as: Levi Strauss & Co., Ralph Lauren, Gap Inc., Old Navy, Gap, Banana Republic and Athleta, and UK retailers Next Plc. and Tesco. Besides these reputable brands over it has over 900 mills and manufacturer members from 30 countries across the world like Pakistan, Bangladesh, Cambodia, Colombia, Dominican Republic, Ecuador, Egypt, El Salvador, Guatemala, Haiti, Honduras India, Indonesia, Kenya, Mexico, among others. The aim of this forum is to provide information on six key sustainability metrics for the cotton farming sector: efficiency of water and energy usage, soil conservation, soil carbon and land use and finally, greenhouse gas emissions.

Second annual report marks success

US Cotton Trust Protocol’s second annual report has been released showcasing the results for August 1, 2021 to July 31, 2022. The latest report highlights show an encouraging way forward as grower members have been successful in implementation across the six key sustainable metrics. Almost 70 per cent of grower members reported positive soil conservation index – soil conservation index measures soil erosion and helps small farmers manage their properties better. It was reported that soil loss was reduced by 78 per cent and greenhouse gas emissions were cut down by 21 per cent. Water usage was down 14 per cent, energy usage was reduced 25 per cent and land use efficiency up 13 per cent. All 17 states in the US that produce cotton are now enrolled in the programme and in the pilot year, cotton production doubled to 1.1 million acres.

The success story for 2021-22 also included the approval of The US Cotton Trust Protocol as a standard for sustainable cotton by Siegelklarheit, an initiative of the German Federal Government and it has seen more members joining the forum across the supply chain. According to Gary Adams, President, U.S. Cotton Trust Protocol, this is the only system that provides quantifiable, verifiable goals and measurement and drives continuous improvement in six key sustainability metrics - land use, soil carbon, water management, soil loss, greenhouse gas emissions, and energy efficiency. It is also the world’s first sustainable cotton fiber to offer its members article-level supply chain transparency through the Protocol Consumption Management Solution. The Trust’s value proposition As the global consumer, particularly younger consumer in developed and developing nations are questioning the modus operandi of the fashion industry and its sustainability commitments, the US Cotton Trust Protocol is a legitimate label brands and retailers can be proud to wear. Having access to the data that measures the progress made by different cotton manufacturers with respect to their commitment towards sustainability, these brands and retailers can then make informed purchase decisions that subsequently translate to their commitment to their customer base. India too has a good representation in the US Cotton Trust Protocol programme in terms of mills and manufacturers. Today, most Indian cotton manufacturers are adapting the Voluntary Sustainable Standards to ensure global protocols are adhered to.

The world spent two years in lockdown, with varying intensities based on local laws and work from home became the norm. Indeed, professionals are finding it hard to break in 2022. Is it any wonder then that sleepwear and loungewear the preferred garments for spending time at home has turned to comfortable clothing at work as well? In a study, Technavio, a leading global market research company has stated the global category classified as sleepwear and loungewear is experiencing growth momentum since 2022 with CAGR of 10.21 per cent. The categories’ market share is predicted to reach $29,398.4 million in the next five years with the market growth at a 9.66 per cent year on year. The report was compiled after researching consumers in APAC, Europe, North America, South America, and the Middle East and Africa.

What’s driving growth

Demand for comfort is shaping into a major trend, particularly as the world of apparel grows more inclusive with greater demand for plus-size clothing. For the past few years, this segment of consumers have not only become vocal but are also being acknowledged by fashion brands that are now showcasing their product line of sleepwear and loungewear with plus-size models.

Additionally, the study found women in the US and Europe have reorganized their wardrobe priorities as 78 per cent of those interviewed chose being comfortable as their number one reason for buying loungewear and sleepwear. The new trend as per 74 per cent respondents is more informal and laid-back dressing not only at home but also whilst going out. Interestingly, whilst 61 per cent of female respondents chose to buy comfortable casual wear, another 44 per cent are decreasing formal wear in their closets.

Comfort, sustainability in focus

The versatility of loungewear is seen as the perfect fit for home to outside crossover. Fabric plays an important role as the stress is on comfort and here lies an opportunity for the entry of sustainable and bio-degradable fabric that can balance comfort as well as the consumers’ growing environmental awareness. This trend is creating a whole new avenue of opportunities for the sleepwear and loungewear category as the study revealed a satisfaction gap between what consumers want, i.e. comfort, fit, quality, drape and durability and what is currently on offer. Many brands are now on an overdrive to close this gap with creative designs and innovative fabric solutions. However, established brands investing in developing designs and fabric options are finding counterfeit market a challenge as their items are being copied, flooding markets with low-cost products and fake labels that are of low-quality damaging their brand image and equity.

APAC the leaders

APAC as a large region has not yet felt the tremors of Western economic crisis so far. As these countries open, return to normalcy, jobs and economic growth are on the upsurge, leading to more disposable incomes and a changed outlook towards formal wear. International brands have responded quickly and introduced their lines of loungewear that is increasingly driving demand for more variety. The report sites this region to be the fastest growing market and will contribute to 30 per cent of the global growth.

Offline retail the frontrunner

In terms of retail channels, it seems offline channels due to their sheer physical presence is currently and will outperform online for the next few years. Branded stores, multi-brand stores, fashion and apparel stores, hypermarkets, supermarkets, convenience stores, clubhouse stores, and department stores with their renewed pricing strategies are encouraging shopping and on spot purchases. The presence of such physical distribution channels has a flipside as well which established brands are dealing with – in South Asian an d South East Asian countries as well as China, counterfeit products are breakers on the road to success.

The European Union (EU) is now in a challenging phase. The energy crisis is eroding household purchasing power and weighing on production. Economic sentiment has markedly fallen.Growth is set to significantly contract at the turn of the year.

Amid elevated uncertainty, high energy price pressures, erosion of household purchasing power, a weaker external environment and tighter financing conditions are expected to tip the EU, the euro area and most member states into recession in the last quarter of the year. The EU is among the most exposed advanced economies, due to its geographical proximity to the Ukraine-Russia war and heavy reliance on gas imports from Russia. However as inflation keeps cutting into households' disposable incomes, the contraction of economic activity is set to continue in the first quarter of 2023.

Growth is expected to return to Europe only in spring, as inflation gradually relaxes its grip on the economy. With powerful headwinds still holding back demand, economic activity is set to be subdued, with GDP growth reaching 0.3 per cent in 2023 as a whole in both the EU and the euro area.By 2024, economic growth is forecast to progressively regain traction, averaging 1.6 per cent in the EU and 1.5 per cent in the euro area.

Turkey’s retail sales volume rose by nine per cent in September 2022. In the same month, non-food (except automotive fuel) sales increased by 13 per cent, automotive fuel sales decreased by three per cent and those of textile, apparel and footwear rose by two per cent compared to September 2021.

Retail sales volume increased by one per cent in September 2022 compared with August 2022. In the same month, non-food (except automotive fuel) sales increased by two per cent, automotive fuel sales increased by one per cent and those of textile, apparel and footwear did not rise at all.

Retail turnover increased by 130 per cent in September 2022, while its rise was five per cent month on month. The retail turnover of the textile, apparel and footwear sector rose by 127 per cent year on year in September while its rise was six per cent month on month.

From January 2022 to September 2022 Turkey’s apparel exports increased by ten per cent.Earnings from exports of knitted and crocheted clothing and accessories grew by seven per cent during the same months of the previous year. Earnings from exports of non-knitted apparel and accessories grew by 14per cent compared to the same period of the previous year.

The plus size clothing market is growing at five per cent a year. With the greatest obese population, and the most money spent on plus size clothing, the United States leads the market. The Asia-Pacific region is forecast to grow at the highest rate. Europe is expected to develop rapidly in the global plus size clothing industry.

The market for plus size apparel has been boosted by a number of factors, including celebrity endorsements and a positive public impression of persons who are plus sizes.

The male category leads the market. The casual wear category dominates the plus size clothing marketdue to increased acceptance and acceptability of casual wear among consumers for social occasions. The mid-priced segment dominates the plus size clothing market. In response to the rising demand for plus size clothing, retailers are focusing on launching plus size apparel in order to attract more customers.

The market share for plus size clothes is increasing as obesity and overweight problems become more prevalent. The market share for plus-size clothes suffered as a result of the Civid outbreak. Due to a labour shortage, production problems like fabric shortages and order cancellations, lower exports, and a decrease in consumer spending on non-essential items, plus size clothing sales have decreased.

Savio’s new Proxima Smartconer is a high-tech winding machine. It is capable of perfectly adapting to the demands of connectivity, Industry 4.0 and Industrial Internet of Things.

Spinners will get a machine featuring high-tech capabilities, thanks to a design with a strong focus on the main benefits for customer’s competitive advantage: high productivity, low energy consumption, premium yarn quality, automation, and data connectivity.

Proxima Smartconer has been designed with the foremost attention to customers’ needs in the optimal utilization of a winding machine. The machine offers high productivity thanks to the new Smart Booster, a shorter bobbin change cycle and a faster splicing cycle. Energy consumption is low through the use of the latest and most efficient self-regulating independent motors and frequency inverters. It has easy use and settings thanks to the new Human Machine Interface. Bobbin flow is efficient in the automated models.

Smartconer means a winder with many smart functions, making for a more connected, increasingly efficient, and flexible machine. Smart monitoring of the winding process is possible thanks to the Industrial Internet of Things digital solutions.

Savio, based in Italy, began as a workshop for the production of textile components and is today the leader in the yarn finishing machine sector. It operates worldwide in the manufacturing and marketing of automatic winders, heat-setting winders and two-for-one twisters with factories in Italy, China and India.