India is charting an ambitious trajectory in the textile sector, targeting a substantial leap in exports to $600 billion by 2047, up from $44 billion in FY22, while concurrently envisioning a domestic market expansion to $1.8 trillion from $110 billion in 2022. 

This bold endeavor, articulated through the Textiles Ministry's Vision 2047, rests on five strategic pillars: research and innovation, infrastructure, trade and investment, marketing and brand promotion, skilling and quality, and sustainability.

Initial deliberations hint at an export landscape dominated by apparel and made-ups, poised to surpass $350 billion, with technical textiles contributing around $85 billion. Domestically, the apparel sector is anticipated to burgeon to $1.2 trillion, while technical textiles could amass around $460 billion in market value.

However, the industry confronts significant hurdles, including sourcing raw materials to meet export targets, necessitating robust investment policies and supply augmentation strategies. Notably, the vision underscores the elevation of domestic brands into global champions and a renewed emphasis on quality enhancement and indigenous manufacturing, particularly in machinery and high-value exports.

Crucially, the roadmap envisions milestones for 2030, foreseeing a domestic market worth $250 billion and exports reaching $100 billion. Moreover, India aspires to carve a niche as a sustainable manufacturing leader, targeting a 30 per cent share of global recycled fibers and pioneering innovations in textiles recycling and waste management.

As India gears up to commemorate its 100th year of Independence in 2047, stakeholders anticipate a comprehensive strategy, spanning short-term initiatives and a long-term vision, to propel the textile sector toward unprecedented growth and global prominence.

To be held from Apr 10-13, 2024 in the Ho Chi Minh City, the Vietnam Saigon Textile & Garment Industry Expo (SaigonTex & SaigonFabric 2024) is anticipated to attract over 1,000 exhibitors.

This year, the event will attract exhibitors from 20 countries and territories including Belgium, China, Germany, Hong Kong (China), India, Italy, Japan, the Republic of Korea, Malaysia, the Netherlands, Pakistan, Portugal, Singapore, and Switzerland. 

These exhibitors will showcase an exhaustive range of products including textile machinery, equipment, spare parts, textile materials, and fabric products, from renowned global brands.

One of the major attractions of this expo will be the launch of the Product Presentation Program (PPP), incorporating static displays and catwalk performances. The program will launch fashion-forward products integrating the latest technologies from both Vietnamese and international exhibitors.

Vietnam Textile and Apparel Association (VITAS) will host a trade exchange at the expo to foster future collaborations between exhibitors and buyers.

The exhibition will also organise a series of seminars offering insights from industry experts on policy implementation, circular economy practices, and the transition towards greener initiatives within the garment and textile sector.

In a recent panel discussion organized by Crisil, titled 'Upstream textiles sector: Threads of promise', industry experts provided insights into the outlook for the cotton yarn and polyester yarn segments of the upstream textiles industry for the fiscal year 2025 (FY25). Crisil anticipates moderate revenue growth of 4-6 per cent year-on-year (YoY) for the cotton yarn segment, attributed to expected improvements in downstream demand, stable yarn prices, and enhanced availability of cotton. Meanwhile, the polyester yarn segment is forecasted to achieve 2-4 per cent YoY growth, despite an export slowdown, thanks to the introduction of a quality control order (QCO) aimed at curbing the influx of cheap polyester yarn into India.

Profitability to witness improvement

Profitability in both segments is expected to see an uptick, with cotton yarn projected to reach 10-10.5 per cent and polyester yarn to achieve 6.5-7.5 per cent margins, respectively. This improvement is attributed to lower raw material prices, which are anticipated to bolster spreads in both sectors.

Moderate capex is expected in the cotton yarn industry for FY25, following a major halt in the previous fiscal year. Conversely, no significant capex plans are on the horizon for the polyester yarn industry as it focuses on ramping up existing capacities. Despite the moderate capex, the credit outlook remains stable across both segments.

The discussion also addressed key risks, including adverse movements between domestic and international cotton prices, volatility in crude oil and raw material prices affecting polyester yarn imports, and the potential increase in the dumping of cheap polyester fabric in Indian markets.

Outlook for cotton yarn industry

The panel highlighted expectations of a decline in cotton production in the upcoming Cotton Season (CS) 2024, which could impact acreage due to recent declines in cotton prices. Despite stable consumption projections, improved cotton-yarn spreads are anticipated, driven by benign raw material prices. Capacity utilization levels are also expected to improve, particularly in downstream industries such as knitwear and home textiles.

Outlook for polyester yarn industry

The polyester yarn industry dynamics were analyzed, with China's dominance in global trade highlighted. The implementation of the QCO, aimed at curbing the dumping of cheap polyester yarn, is expected to benefit Indian manufacturers. Despite challenges such as inventory buildup and the delayed implementation of QCOs, moderate revenue growth is expected in FY25, supported by government regulations and gradual improvements in volumes.

Operating margins for both segments are anticipated to recover gradually, with cotton yarn margins expected to rebound from decadal lows. Limited capex plans are foreseen for both industries, with the cotton yarn sector awaiting major export demand for a potential revival.

Export growth prospects are limited, particularly for polyester yarn, due to challenges such as continued dumping by China and currency devaluations in key export markets. Despite these challenges, credit profiles for both segments are expected to remain stable, backed by deleveraged balance sheets and improved cash accruals.

Working capital outlook

Crisil expects working capital to normalize in the near-medium term for the cotton yarn segment, supported by a regular supply of cotton and lower cotton prices. Conversely, no significant movements are anticipated in working capital requirements for the polyester yarn segment.

In conclusion, while challenges and risks persist, the Crisil panel remains cautiously optimistic about the outlook for the upstream textiles sector, foreseeing steady growth and stable credit profiles in FY25.

A new study by Price Waterhouse Cooper (PwC), titled ‘From Shirts to Shores: Blueprint for Bangladesh RMG Industry’ paints a promising picture for Bangladesh's garment industry, with a focus on man-made fiber (MMF) apparel. Here are the key takeaways:

Rising demand for MMF apparels

The global garment export market is expected to reach $1.121 trillion by 2030, a significant increase from $953 billion in 2022.

PwC says, MMF and MMF-rich garments are projected to capture a whopping 60 per cent of the market share by 2030, up from 50 per cent in 2022. This suggests a growing consumer preference for these textiles. Cotton and cotton-rich garments are expected to hold a 35 per cent share, while other fibers will make up the remaining 5 per cent.

Opportunity for Bangladesh

The report highlights Bangladesh's potential to capitalize on this shift. Currently, Bangladesh has only a small portion of the high-value MMF garment market segments like brassieres and activewear. That is, a 6 per cent share in the $14 billion global brassiere market and a 5.4 per cent share in the activewear segment, both dominated by MMF-based products. Faruque Hassan, President of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) opines, "This study provides valuable insights for our industry. We need to focus on diversifying our product portfolio and building capacity for MMF garments to achieve our target of $100 billion in apparel exports by 2030."

The report showcases China's dominance in the MMF garment space, with $320 billion of the total export value in 2022. This demonstrates the potential rewards for countries that invest in MMF production capabilities.

Table: Projected Global Garment Export Market Share by Fiber Type (2022 vs. 2030)

The report highlights Bangladesh's potential to capitalize on this shift. Currently, China leads the MMF garment export market with a $320 billion share, followed by Vietnam at $41 billion. PwC cites Vietnam's success in MMF garments as a potential model for Bangladesh. Vietnam has invested heavily in MMF production capacity and diversified its product offerings. This strategic approach has allowed them to capture a significant share of the growing MMF market.

Bangladesh has a chance to increase its market share, particularly in high-growth categories like brassieres, technical garments, activewear, swimwear, jackets, suits, and blazers, where MMF dominates at 73 per cent.

Challenges for Bangladesh 

The study acknowledges challenges for Bangladesh, including a limited domestic MMF production capacity and competition from established players.

PwC recommends that Bangladesh focus on:

• Developing a strong domestic MMF supply chain to reduce reliance on imports.

• Investing in innovation and technology to improve product quality and efficiency.

• Upskilling the workforce to handle MMF production effectively.

Sameer Sattar, Partner and Leader, Sustainable Business Services, PwC Bangladesh points out, "By embracing MMF and focusing on innovation, Bangladesh can solidify its position as a global leader in the garment industry." And by implementing these strategies, Bangladesh can position itself as a major player in the global MMF garment market and achieve its ambitious export targets.

The 39th edition of Milano Unica will launch a new special area dedicated to fabrics and accessories for beachwear, lingerie and athleisure- MarediModa. The trade show will feature a few select specialist companies in this dedicated area, allowing visitors to discover the high level of specialisation and creativity of Made-in-Europe fabrics besides giving them a preview of the Summer 2026 collections.

This year, Milano Unica will be held from July 09-11, 2024 at Fiera Milano (Rho). The trade show will provide attendees an exclusive opportunity to make business connections, discover latest trends and innovations, and be inspired by the Fall/Winter 2025-26 collections. The exhibition will surprise visitors with the number of participating companies, manufacturing quality, and product array. It will offer them excellent services to ensure the best and unparalleled experience. 

To supplement the creative offerings of different countries, Milano Unica will also feature separate exhibition areas including the Japan Observatory, Korea Observatory, and the Special Areas: Innovation, Start-Up Textile Connection, MU Vintage, MU Info&Style, MU Trade Press, and MU Designers. 

As a part of its ongoing comprehensive reogranisation of the company’s operations, Hong Kong-based Esprit Holdings has filed for insolvency of its Belgium subsidiary, Esprit Belgie Retail (BEBR). 

A wholly-owned subsidiary primarily involved in retailing apparel and accessories, BEBR filed for the insolvency in a Belgian court, resulting in the closure of all its stores.

The company attributed its decision to various challenges including economic slowdown, significant increases in energy and logistics costs, negative consumer sentiment in Europe, and the burden of high legacy rents. As of December 31, 2022, BEBR reported total assets of HK$88.9 million (US$11.3 million) and total liabilities of HK$80 million (US$10.2 million).

To deal with these challenges, Esprit aims to partner with wholesale and franchise entities besides revitalising its e-commerce initiatives. The company reported a net loss of $300 million for FY23, accompanied by a 16 per cent decrease in revenue. However, it is actively strategising to navigate these challenges and position itself for future growth.

Fashion buyers are actively exploring new sourcing destinations that offer a combination of ethical production, unique materials, and cost-effectiveness. Fashion buyers are increasingly looking beyond traditional sourcing hubs like China and India for their garment needs. This shift is driven by a desire for greater supply chain resilience with ethical production practices.

Emerging markets gain traction

Market is witnessing a rise in interest from buyers for products from countries like Ethiopia, Madagascar, and Nepal. These emerging markets offer potential for ethical production and unique materials. Additionally, trade agreements can make sourcing from these destinations cost-effective.

Central Europe emerges as a "Super Interesting" option

Beyond Asia, Central European nations like Poland are attracting attention from UK buyers seeking geographically closer options. This trend is fueled by ongoing supply chain disruptions and a desire for shorter lead times.

Recycled fabrics gaining momentum

The fashion industry's growing focus on sustainability is reflected in the increasing use of recycled fabrics by suppliers. Exhibitions are seeing a significant rise in exhibitors showcasing recycled materials like cashmere and cotton, indicating a potential shift led by manufacturers themselves.

Buyers seek transparency

With ethical sourcing becoming a priority, buyers are demanding greater transparency from suppliers. This trend is likely to lead to a future where clear labeling of recycled content becomes the norm.

Fashion innovator PlatformE achieves B Corp certification, marking a pivotal moment in its commitment to sustainability and ethical business practices. This certification underscores PlatformE's dedication to leveraging its influence for positive change.

Luís Cabral, Head of Finance and People, emphasizes the transformative power of strategic product development, shaping the fashion landscape while promoting environmental consciousness.

As a Certified B Corporation, PlatformE joins a global cohort of companies dedicated to societal and environmental well-being, prioritizing people and planet alongside profit. 

PlatformE pledges to inspire others in the fashion and technology sectors to embrace sustainability and social impact, fostering collaboration and innovation.

Looking ahead, PlatformE reaffirms its leadership in fashion innovation, aiming to revolutionize production and consumption practices while upholding the highest standards of environmental stewardship and corporate transparency. 

This milestone highlights the fashion industry's growing recognition of the importance of responsible business practices in shaping a more equitable and sustainable future.

Kraig Biocraft Laboratories, Inc. has entered an agreement with the Vietnam Sericulture Association (VSA), marking a significant leap forward for the company's production ambitions. The agreement, disclosed today, unveils Kraig Labs' production plans for the next twenty-four months to the VSA, fostering a collaborative effort aimed at meeting production targets.

Central to the agreement is the VSA's commitment to aid Kraig Labs in securing formal intellectual property registration of its BAM-1 hybrid silkworm strain in Vietnam, reinforcing the partnership established in the Memorandum of Understanding earlier this year.

"This agreement signifies years of concerted efforts with various agencies to showcase our technology and its potential," stated Kim K. Thompson, Founder and CEO of Kraig Biocraft Laboratories. Thompson emphasized the strategic significance of the partnership with the VSA in advancing production goals and strengthening the company's foothold in Southeast Asia.

Le Quang Tu, President of the Vietnamese Sericulture Association, expressed optimism about the collaboration, citing Kraig's technology as a potential game-changer for the industry.

With CEO Kim K. Thompson on-site in Vietnam to oversee operations, Kraig Labs anticipates forthcoming updates on its accelerating progress in the weeks ahead. This landmark agreement underscores the company's commitment to innovation and strategic partnerships in revolutionizing the sericulture industry.

Alchemie Technology, a trailblazer in clean digital textile dyeing based in Cambridge, unveils its inaugural in-market production and demonstration facility in Nantou, Taiwan, solely dedicated to woven polyester. The launch of Alchemie’s Endeavour low carbon digital textile dyeing process sets a new benchmark, challenging conventional practices in the industry.

This technology heralds significant sustainability advantages over traditional methods. The transition from wet dyeing to dry processing slashes carbon emissions by up to 85 per cent and reduces wastewater by an impressive 95 per cent. Amid mounting concerns over the environmental impact of textile dyeing, Alchemie's innovation represents a pivotal shift towards eco-friendly practices.

The global textile industry stands as a major contributor to carbon emissions, with projections indicating a potential surge to 2.5 gigatons by 2050. Alchemie's initiative aligns with the imperative to achieve net-zero emissions by 2050 to avert catastrophic climate change. Additionally, as a leading contributor to industrial wastewater discharge, the textile sector underscores the urgency for sustainable solutions.

The inauguration of Alchemie's facility in Taiwan marks a crucial milestone in its 2024 roadmap, focusing initially on polyester woven fabrics with plans for expansion into other materials. Alan Hudd, Founder and CEO of Alchemie Technology, emphasizes the pressing need for action within the fashion industry, which accounts for a staggering 3 per cent of global emissions.

At the heart of Alchemie’s innovation lies its patented digitally controlled piezoelectric nozzle, ensuring unparalleled precision and efficiency. This technology not only enhances business prospects but also delivers tangible environmental benefits, fostering partnerships with industry leaders committed to sustainability. Alchemie's endeavor marks a significant leap towards a greener future in textile production.