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Wednesday, 18 November 2020 14:36

Kelheim Fibers partners with ETP

  

Viscose speciality fibers manufacturer Kelheim Fibers has partnered with the European Technology Platform for the Future of Textiles and Clothing (ETP) in two strategic programs.

The Bavarian firm has signed up to the Bio-Based Fibers and the Circular Economy programs, the aims of which are to bring key players from industry and science together to develop a long-term strategy to actively shape the sustainable realignment of the European textile industry.

According to Kelheim, its membership of the two three-year ETP programs are in recognition of the fundamental changes inside the textile supply chain, particularly against the backdrop of the increasingly important sustainability debate.

Kelheim’s sustainability criteria also includes the full life cycle of its products: when a textile, after its use, can become the raw material for new fibres and new products, that is a huge advantage in terms of sustainability. We want the best possible result – bio-based fibres and circular economy are the way to get there.”

The European Technology Platform for the Future of Textiles and Clothing (ETP) is the largest European network for the promotion of textile research and innovation. It brings together over 200 members from industry, research, higher education, clusters, associations and textile-related sectors.

Kelheim Fibers GmbH is the world’s leading producer of viscose specialty fibers and a key supplier of viscose fibers for the tampon industry. About 90,000 tons of viscose fibers are produced every year at Kelheim in South Germany with applications ranging from fashion, hygiene and medical products to nonwovens and specialty papers.

  

Local apparel manufacturers in Bangladesh have urged the bond authorities to increase the amount of waste permitted while producing garments to 30 per cent from items imported duty free under bonded warehouse benefit.

Currently, manufacturers are allowed to waste 7 to 9 per cent of the required materials while making export-oriented garment items. It is 7 per cent during the dyeing process and 9 per cent in case of processed knitted fabrics.

However, the percentage of waste in making export-oriented garment items has risen as most local manufacturers are entering the high-end market.

A portion of fabrics is wasted for various reasons during manufacturing. For instance, incidents of wasting fabrics and yarn take place when these materials are cut or processed. Scraps are also produced while sewing fabrics. The process of making fancy or high-value added garment items generate more waste compared to the production of basic apparel products.

This is because, in many cases, garment manufacturers and exporters cannot maintain the commerce ministry's fixed 7 per cent and 9 per cent waste allowances in making fancy and high-end garment items.

As a result, the bond office and customs offices sometimes cause delays in releasing goods from ports because of a mismatch in the amount of fabrics imported and its consumption for making finished apparel goods for export under bond licenses.

  

Bangladesh has received $256.5 million from the global Green Climate Fund to promote private sector investment through large scale adoption of energy-efficient technologies in the textile and garment sectors.

The Idcol, as the direct access entity (DAE) of the GCF, received the approval of the funding proposal for the program titled ‘Promoting private sector investment through large scale adoption of energy-saving technologies and equipment for Textile and Readymade Garment sectors of Bangladesh.’

It is the largest approved funding proposal for any DAE of the GCF accredited globally, Under the program, Idcol will get $250 million concessional loan for a tenure of 20 years with a grace period of five years for financing energy-efficient equipment.

Another $6.5 million will come as technical assistance (grant) to develop enabling environment by covering areas such as capacity building, awareness, support in loan disbursal and monitoring and evaluation of the programme parameters. Out of $250 million loan, $100 million will be utilized to finance textile sector energy efficiency projects, while $150 million will be channeled to four local financial institutions for financing energy efficiency projects in the RMG sector.

The total program size will be $423.50 million, including co-financing from Idcol, local financiers and the project sponsors.

  

Nudie Jeans has partnered Supply Network Intelligence Program ¬– Sag Salim to support the cotton farmers in Turkey, reports Sportswear International. Sag Salim is a grievance-program that allows cotton farmers and cotton pickers in the Izmir-Aegean region in Turkey to hand in complaints. These complaints are handled by a third party, consulting firm Precision Solutions Group (PSG) in collaboration with local organizations.

This system enables the brand to create transparency in its supply chain. Through this program, Nudie Jeans plans to gain insights into the risks of non-compliance on the cotton fields. Sag Salim has initially been started in May 2020 by Australian denim brand Outland Denim together with PSG and Turkish denim mill Bossa. Nudie Jeans joined this program in November as part of cotton also comes from Turkey.

Nudie Jeans is considered one of the pioneers of sustainable jeans production. Founded in 2001, the Swedish denim brand launched its first production guide with information about its supply chain in 2013.

To further improve in terms of sustainability Nudie has teamed up with several partner organizations like STICA, RISE, Fair Wear Foundation, and Textile Exchange.

  

In its third quarter ending October 31, Walmart posted a bigger-than-expected increase in same-store sales and beat expectations for profit amid a surge in its online business with higher spending on electronics, sporting goods and groceries. The retailer’s sales at US stores rose 6.4 per cent, excluding fuel. Analysts had estimated these sales to increase by 4.16 per cent. Walmart’s sales from its US market grew by 79 per cent with strong results across all channels which helped boost same-store sales and profit margins.

The surge in demand for essentials seen at the peak of the coronavirus lockdowns has carried into the second half of the year, with consumers relying on its same-day delivery options and store pick-up services to buy everything from groceries to sneakers.

The COVID-19 pandemic has also forced retailers like Walmart to drastically rethink their business strategies for key holiday seasons. Walmart incurred about $600 million in additional COVID-19 expenses that included higher wages for warehouse workers and bonuses for store employees, as well as spending more on cleaning facilities. It’s operating income jumped by 22.5 per cent to $5.79 billion in the third quarter, while Walmart reported adjusted earnings per share of $1.34 that topped expectations for $1.18. Total revenue rose by 5.2 per cent to $134.71 billion, beating estimates for $132.23 billion.

In September, Walmart launched its subscription service Walmart Plus, touted as a rival to Amazon.com's Prime subscription, which includes perks like free shipping and streaming services.

  

The 2020 Dow Jones Sustainability Index (DJSI) has ranked Burberry on the second place in the ‘Textiles, Apparel & Luxury Goods’ sector. The company secured these leading positions within the Product Stewardship and Social Reporting categories.

Burberry has a longstanding commitment to sustainability, with social and environmental programs in place for more than 16 years. Its latest five-year Responsibility Agenda covers all its products, global operations and the communities that sustain the luxury industry.

Two thirds of Burberry products make an environmental or social contribution, with a goal for all products to do so by 2022. These can relate to a broad range of social and environmental programs including, the amount of organic content or recycled natural fibres used in materials, delivery against carbon emissions standards at production facilities or social initiatives such as workers being paid the living wage or supported through wellbeing programmes.

In addition, Burberry targets to procure 100 per cent of cotton more sustainably and source 100 per cent of leather from tanneries with environmental, traceability and social compliance certifications by 2022.

These goals are underpinned by two additional climate goals approved by the Science Based Target initiative (SBTi) for Burberry’s own operations and extended supply chain. The targets covering greenhouse gas emissions from Burberry’s operations (Scopes 1 and 2) are consistent with reductions required to keep warming to 1.5°C, the most ambitious goal of the Paris Agreement.

  

The Rieter Group has signed a license agreement with WW Systems to integrate the Brazilian only software system OptCotton across the world to evenly blend its cotton for spinning process. Unlike other systems, OptCotton eliminates variations in quality between cotton blends that are being prepared for the spinning process. It enables the group to produce standardized quality yarn efficiently in the spinning process. From the arrival of the bales in the warehouse to their use in the blowroom line, ‘OptCotton’ manages the entire blending process with no need for categorization. This results in increased efficiency in storage and logistics as well as machine performance.

By integrating this solution, Rieter has strengthened its digital spinning suite Essential. The suite provides access to bale-related fiber data and raw material information which opens up new possibilities for controlling the spinning mill. In combination with the existing modules Essential Basic, Essential Monitor, Essential Maintain and Essential Predict, IT optimizes the entire spinning process and raises digital intelligence to a new level.

  

At a virtual conference, bureaucrats and industry stalwarts from India and Bangladesh pledged to strive for a 35 per cent share in the global textiles and clothing (T&C) market in the next five years. India currently exports textiles and clothes worth around $39 billion which are forecasted to cross $82 billion by 2021.Similarly, Bangladesh exported textiles and apparels worth $27.95 billion in FY20, compared to the previous fiscal year’s $34.13 billion. The country has adjusted its target for 2020-21 from $50 billion to $33.78 billion due to the present circumstances.

Both countries export $66.95 billion in textiles and clothing together and have to hit at least $350 billion over the next five years together. Rubana Huq, CEO, BGMEA, has urged both countries to ‘go rural, go green.’ While Dr A Sakthivel, Chairman, AEPC has proposed a shared exhibition of Indian and Bangladeshi companies where customers can work together and jointly gain a better valuation and more business.

  

Ethiopian Textile Industry Development Institute (ETIDI) has signed an agreement with Texcoms Textile Solutions (TTS), a Singapore-based consulting firm to upgrade Ethiopia’s textile and apparel manufacturing sector. One of the initiatives in this agreement includes setting up of a ‘Textile Pilot Plant’ in Ethiopia by ETIDI that will have the entire value chain of textile industry which consists of processes such as spinning, weaving and finishing; and the machinery for these processes will also be installed along with various other machines.

TTS will support ETIDI in setting up this plant with technical knowledge so that the operators can run modern machinery efficiently. The scope of work will cover supplying of machinery, installation, commissioning, training, know-how transfer as well as hand holding till the textile set-up becomes operational. Housing all relative technologies, the new textile plant aims to encourage entrepreneurship; demonstration/training and know-how transfer; research & development; and product development.

Ethiopia’s textile and apparel exports have been growing continuously for last five years and the country is emerging as a strong player in global market. The Ethiopian government and the relevant organizations/institutes (such as ETIDI) are offering much needed helping hand to its textile sector.

  

This month, American clothing retailer Tailored Brands will exit from Chapter 11 bankruptcy as the retailer has won the court’s approval to restructure operations. The restructuring plan involves eliminating $686 million of funded debt and turning the ownership to lenders and other creditors.

The retailer had been struggling even before the outbreak of COVID-19. The onset of the pandemic worsened its crisis leading to temporary store closures and declines in Q1 sales.

The retailer’s Q1 revenue fell by over 60 per cent, which eventually led to permanent shutting down of around 500 stores. After it exits from bankruptcy, the retailer will have $ 430 million asset-based loan facility in addition to an exit term loan of $365 million.

It will also have a cash of $75 million from new debt facility to help the retailer in its strategic initiatives. The retailer has launched the new buy online pick up in store initiative to better serve its customers in these tough times. It generated $ 2.881 billion revenues in 2019.