Migrant workers at Tirupur, India are out of a job. Several units in this textile city of Tamil Nadu have shut down as a protest demanding an increase in yarn prices.The city which was once buzzing with activities is now in lockdown mode.

There are around 6200 dyeing, knitting, stitching, and garment printing units in and around Tirupur. There are around 12,000 migrant workers especially from Orissa who are employed in various industries including the textile industries in the district. Tirupur’s apparel exports fell 21 per cent in October 2022 from October 2021. Of this, knitwear exports, which Tirupur is known for, fell almost 40 per cent. And this was the third straight month knitwear exports contracted. Average capacity utilisation at garment exporting units in Tirupur is 30 per cent now.

The US, EU and the UK account for 85 per cent of shipments from Tirupur. With high inflation in these economies, clothing is not a priority for consumers now. Further, with buyers saddled with huge stocks, they are postponing delivery. This has resulted in stocks piling up at the producers’ end. So Tirupur has a huge inventory of finished goods as brands are asking for deferred shipments. With buyers in the EU and the US holding high inventory, and expectations of better sales during the Thanksgiving holidays and Christmas, exporters are expecting orders to revive only by January.

Pakistan’s textile exports dropped 18 percent in November 2022 compared to the corresponding month last year. The July to November period of fiscal year 2023 witnessed a five percent reduction in textile exports against the same period in fiscal year 2022.

Exports of products like cotton cloth, knitwear, bedwear and towels decreased while readymade garments maintained the 2022 level. However, exports were up four percent over November 2021’s level. Cotton cloth exports dropped by 25 percent in November when compared with the same month last year. The decrease stood at nine percent over the previous month’s exports. However, knitwear exports were up two percent, bedwear two percent, towels 16 percent and readymade garments 18 percent when compared with October.But knitwear exports declined 12 percent over the corresponding month of last year followed by bedwear 29 percent and towels 12 percent in comparison with November 2022. Exports of readymade garments were the same as recorded in November 2021.

The textile sector is Pakistan’s top exporter with an over 60 percent share in the country’s total exports. In fiscal year 2022, total textile exports were at a record high after an increase of over 25 percent when compared with fiscal year 2021.

LVMH plans a new factory in Italy producing Louis Vuitton bags and other leather accessories. The workshop will be the largest in Italy entirely dedicated to making these products for Louis Vuitton.

LVMH is the world’s largest luxury goods group. For the first nine months of 2022, revenues of LVMH were up 28 per cent compared to the same period of 2021.

Europe, the United States and Japan benefitted from the solid demand of local customers and the recovery in international travel. Asia (including China) saw a lower level of growth over the first nine months of 2022, though growth in the latest quarter accelerated there due to the partial easing of health restrictions. The wines and spirits business recorded a revenue growth of 23 per cent. Growth was particularly strong in Europe, the United States and Japan. The fashion and leather goods business recorded revenue growth of 31 per cent. Many new products were unveiled, in leather goods as well as in watches. With a revenue growth of 19 per cent, the perfumes and cosmetics business maintained its highly selective distribution strategy. The watches andjewelry business group recorded revenue growth of 23 per cent. In selective retailing, revenue growth was 30 per cent in the first nine months of 2022.

Crystal Denim plans to bring digital twins of its speciality denim fabrics to users of the VStitcher 3D design platform via a new partnership with Browzwear. The integration will give designers and manufacturers of denim garments greater ability to visualise designs in realistic 3D, which enables quick and easy creative exploration. The true-to-life digital garments also allow greater collaboration through product development while their accuracy supports faster, more confident decision-making.

subsidiary of the Hong Kong-based Crystal, a global manufacturer which delivered 410 million pieces of apparel to some of the world’s top brands in 2021, Crystal Denim has been working with Browzwear since 2008. By 2019, the denim division had converted to 100 per cent digital workflows for co-creation projects with customers and reduced sample production by over 75 per cent during the initial development stage, significantly reducing turnaround times, the consumption of materials and energy and water consumption.

Browzwear has been an important partner to Crystal Denim as both strive for a net-zero emission future, not only for their companies but for the industry overall. In an industry as challenging as fashion, Crystal Denim’s willingness to share tools and technologies with others has conveyed a competitive edge.

The estimated cotton production currently in India is 341.91 lakh bales. The estimated consumption is 311 lakh bales.

The performance of Indian cotton spinners moderated in the second quarter due to inflationary pressures and uncompetitive prices. However, absolute profits are projected to remain healthy, supported by a higher scale of operations.

For the first half of the financial year, inventory levels for most players have come down with the cotton stocks from the previous harvest season getting extinguished and sharp volatility in cotton prices affecting the buying power of spinners.And with higher raw material prices exerting cost pressures, operating margins remained flat.

In the second quarter revenue and margins dipped for Indian spinners amidst macro headwinds, while for the apparel segment revenue and margins remained flat, with recessionary conditions in key markets. Most players faced a decline in inventory levels in the second quarter after cotton stocks from the previous harvest season started to reduce and cotton prices saw a sharp volatility, resulting in players becoming cautious on buying. A recessionary environment in key export markets affected discretionary consumer spending leading to lower export sales. For the first half of the fiscal year, inventory levels for most players had reduced. This was in line with large retailers who focused on reducing inventory due to a weak demand scenario and recessionary pressures in key exporting regions.

India’s apparel exports in November 2022 rose by 11 per cent. Exports of readymade garments from India witnessed a rough patch in the past few months since most of the traditional markets such as the UK, the EU and the US have been witnessing recession and global headwinds, leading to falling demand in these countries.Inflation and rising costs of raw material and freight, aggravated by the Russia-Ukraine war, added to the burden of exporters.

However, after a few months of slipping, readymade garment exports have again turned positive signaling the resilience of the industry to adjust to the prevailing challenges. Exporters have flagged certain issues such as the production-linked incentive scheme for apparel, extension of ATUFS (Amended Technology Upgradation Fund Scheme), RoSCTL (Rebate of State and Central Levies and Taxes) disbursements through bank transfer, and one time relaxation on account of bankruptcy / insolvency / discounting / cancellation of export orders.

India’s readymade garment exports may see a compound annual growth rate of 12 per cent by 2027.This will help India achieve an ambitious textile export target of $100 billion by 2030.With a level-playing field due to trade agreements, India’s share in the UAE and Australian markets could rise and the free trade agreement with the UK likely to be completed in 2023 will be a game changer.

Color Digital has joined ITMF as corporate member. Being a part of ITMF can help Color Digital meet and connect with industry players from around the globe, understand the needs of the industry and the value of new technologies and to be part of the discussions about industry trends and initiatives.

Based in Germany, ColorDigital is the company behind DMIx, which is an ecosystem combining industrial manufacturing processes and digital product development workflows and which provides an end-to-end solution for brands and suppliers in the textile, fashion, and lifestyle industry. Based on the DMIx digital twin standard the system enables the exchange of all relevant data for color and material development, 3D virtualization and the real time exchange of product master data between stakeholders and relevant software solutions. DMIx and its multiple modules enable qualitative efficiency in collaboration between all tier stages of the supply chain leading to highly efficient processes and a sustainable way of working – reducing unnecessary physical sampling while saving time and cost.

Founded in 1904, ITMF (International Textile Manufacturers Federation) is the international forum of the global textile value chain for producers of fiber to finished products. Its members are from textile and apparel-producing countries representing approximately 90 per cent of global production.In addition, ITMF offers its members information that helps better understand the dynamics of the industry.

The levy of import duty on cotton has led to a distortion in Indian cotton prices.

The trade and industry finds it difficult to import the raw material and has asked for the removal of the import duty which is seen as necessary to create a stable price environment and to compete internationally. Since the industry has to compete with other textile producing nations it is losing orders because of the difference in prices.

In such a scenario, the industry says it is difficult for to bear the distortion in prices created by the 11 per cent import duty. Since Indian cotton prices are higher than world cotton prices by about 15 per cent availability of cotton for the domestic textile industry has been severely impacted. At present, the Indian textile industry functions at only 50 per cent to 60 per cent capacity due to high raw material prices and the lack of a level playing field.

Import duty removal is expected to play a crucial role in determining the competitiveness of the value chain in immediate future order bookings for apparel exports. This is one of the primary reasons for the decrease in the export of cotton yarn, cotton, and cotton fabric.

China has become the biggest FDI source for Bangladesh.

Trade volume between the two countries increased by 58 per cent in 2021. China has been the largest trading partner of Bangladesh for the past 12 consecutive years.

China ranks top among foreign investors with 104 investors at eight export-processing zones in Bangladesh.Chinese companies have created 1,29,000 jobs in export processing zones.

Vietnam’s garment exports will rise by nine per cent this year. The US is the biggest importer of Vietnamese garments and textiles, followed by South Korea and Japan and China.

Vietnamese garment and textile manufacturers saw declining orders in the second half of this year due to weakening global consumption and rising inflation. The falling orders and low price situation, however, will likely continue until the first or second quarter next year.

Vietnam’s earnings from exporting textiles and garments in the first 11 months of 2022 were up 18 percent from the same period last year. In November 2022 alone, however, Vietnam’s textile and garment export earnings decreased eight percent year on year. Inflation, currency devaluation and decrease in purchasing power of major countries are among the risks for Vietnam’s textile and garment sector. These factors have forced Vietnamese textile and garment enterprises to seek and diversify export markets.

Despite difficulties, many businesses are still growing in production. The country’s textile and garment industry is hopeful of meeting its export targets this year. In 2021, Vietnam’s export turnover from textile and garment products was up nine percent from 2020. Vietnam’s textile and garment exports rose by 21 per cent during January 2022 to October 2022.