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Chinas exports sector brings back Western apparel buyers

 

China seems to be coming back with a bang as the country’s apparel companies have made a good economic start this year with encouraging recovery. For the first time post-pandemic, demand from apparel retailers based in the US and EU sourcing from Bangladesh is now lesser with far higher sourcing from China. US-based apparel buyers are now scaling back sourcing from Bangladesh in certain segments and re-directing it to China and other South Asian countries. As per a QIMA report, a leading global testing, inspection, certification and compliance company, Bangladesh share fell 10 per cent year-on-year between January and September while China’s went up 14 per cent. 

The prosperity index of China’s cotton textile industry is flourishing again and touched 50.5 in August 2023, up 1.5 from in July. Month-on-month growth in August showed, raw material purchasing index was 52.2, up 3.6 over July and the raw material inventory index was 49.6, which is up 0.8 month-on-month with a general production index was 50.1 currently.  China’s cotton industry prosperity index is calculated based on numerous indicators from around 500 core cotton textile companies. If the figure is 50 or above it reflects an increase and below that it’s an indication of a dip.

Operating incomes of Chinese companies rise 

A recent report by the China-based Zhejiang Huarui Information Consulting Company (CCF) a leading consulting company in chemical fiber and textile industry of 12 major listed apparel companies in China has shown that most have made a positive start this year and are slowly heading towards an economic restart and industry recovery. HLA as the core fast fashion brand under Heilan Group based in Jiangsu Province had the highest operating income in January-September 2023 of around 15.57 billion yuan which was a Y-O-Y- increase of around 13.85 per cent. Other apparel companies such as Semir and Youngor held the second and third highest positions with operating incomes of 8.9 billion yuan and 7.46 billion yuan respectively which was a Y-O-Y decrease of 0.5 per cent and 41.85 per cent. 

At the other end of the scale were GRN and Meters/bonwe which ranked last with around 1.07 billion yuan and 837 million yuan respectively which was a Y-o-Y increase of 8.6 per cent and a decrease of 13.5 per cent.

Most of the 12 listed apparel companies in the CCF report have shown good operational development in the first three quarters of this year although the decline in operating income of the 12 companies in Jan-Sep was a bit higher than the first half of the year. Indeed the worst of the pandemic years may just be over, it is still too early for Chinese apparel exporters to be elated in an uncertain economy.

Bangladesh needs to diversify to compete

As Western consumers tighten their purse strings due to inflation and fears of economic downturn, brands and retailers are once again focusing on China as a sourcing and supplier destination due to its well-established manufacturing infrastructure. Bangladesh is simply losing out in this process. The need of the hour for Bangladesh is to branch out into manmade textiles instead of being heavily cotton-oriented.

As per Bangladesh’s Export Promotion Bureau the country’s garment exports in October saw about 14 per cent YoY decline to reach $3.16 billion, the monthly lowest since August 2021 when the segment earned around $2.73 billion. Bangladesh currently holds a 34.7 per cent share in the EU's cotton garment imports, whereas the share for non-cotton garments is 12 per cent. This issue needs to be addressed seriously. Along with readymade textiles, export of footwear, leather, and home textiles, if handled right, could be a turning point for the recovery of Bangladesh’s apparel segment.

 

 

In response to the escalating demand for eco-friendly materials and heightened transparency in product ingredients, VEOCEL, Lenzing Group's premier nonwovens brand, showcased its LENZING Lyocell Dry fiber at Hygienix 2023. 

A standout feature of this fiber is its classification as non-plastic according to EU SUPD standards, aligning with the industry and consumer preference for plastic-free solutions. The absorbent hygiene product sector, traditionally reliant on fossil-based materials, is undergoing a transformation due to evolving consumer preferences, environmental concerns, and technological advancements.

LENZING Lyocell Dry fiber, while prioritizing environmental sustainability, delivers exceptional dryness and comfort, positioning itself as the ideal choice for absorbent hygiene applications. 

This innovative solution was prominently featured at Hygienix, where VEOCEL emphasized its strategic focus on showcasing the fiber's unique capabilities. Noteworthy attributes include high-performance liquid management, comfort, and a plastic-free approach.

Monique Buch, Executive Vice President Nonwovens at Lenzing AG, highlighted a noticeable industry shift away from fossil-based materials at the Hygienix tradeshow. The increasing emphasis on plastic-free products aligns with both industry and consumer interests, positioning LENZING Lyocell Dry fibers as an environmentally friendly alternative. 

The EU SUPD's efforts to raise awareness about plastic pollution further support the adoption of plastic-free alternatives. The wood-based VEOCEL lyocell fibers with Dry technology, being biodegradable and produced in a closed-loop process with low water consumption, contribute to a sustainable future for personal care and hygiene products.

 

 

In a groundbreaking move towards sustainable apparel, NILIT, a global leader in Nylon 6.6 products, emphasizes the pivotal role of partnerships in reshaping the traditional global supply chain. 

Michelle Lea, NILIT’s VP of global marketing, stresses the integral nature of collaboration to address the fashion industry’s environmental impact. Over the past two years, NILIT has introduced innovative SENSIL technologies, garnering acclaim through award-winning collaborations with mills, brands, and retailers.

NILIT's recent recognition includes three ISPO Textrends Awards for Fall/Winter 25/26. Noteworthy collaborations involve biodegradable SENSIL BioCare in Pontetorto’s Second Layer Top 10 fabric, SENSIL ByNature in Cifra’s Street Sports Selection fabric, and SENSIL BioCare in Eusebio’s Base Layer Selection fabric. 

The company proudly showcases its partnership with Jack Wolfskin at ISPO Munich, unveiling the Pioneers Collection that seamlessly blends sustainable SENSIL Nylon 6.6 technology with minimalist design for urban and outdoor apparel.

NILIT invites industry stakeholders to a panel discussion on November 29 at the Sustainability Hub stage, addressing the reduction of fossil resource dependency in apparel through the biomass balance approach. 

SENSIL stands out as the industry's largest portfolio of sustainable premium Nylon 6.6 products, with NILIT actively promoting sustainability across the entire supply chain, from manufacturing processes to end products.

 

 

Arvis LLC, a leading textile firm in Tajikistan, has joined the International Textile Manufacturers Federation (ITMF), marking a strategic move to enhance its global presence. 

Christian Schindler, ITMF's Director General, highlighted that Arvis's membership positions it as a vital contributor to a global forum spanning fiber production to garment manufacturing. 

While Tajikistan's textile focus is presently on cotton products within the CIS countries, ITMF offers Arvis a broader perspective, exposing them to diverse fibers and international markets. 

Vali Samiev, Arvis LLC's General Director, emphasized the primary goal of staying informed and engaged in ITMF activities. He sees this affiliation as crucial for an internationally oriented company, providing insights into the global textile industry and fostering non-competitive collaborations with companies worldwide.

Arvis LLC's strategic move signifies a commitment to navigating the complexities of the international textile landscape.

 

 

YKK Corporation has unveiled its "This is YKK 2023" report, providing a comprehensive overview of the company's management and business pursuits in line with the Cycle of Goodness corporate philosophy. 

Emphasizing sustainability, the report, accessible on YKK's website, details progress in addressing key themes: climate change, material resources, water resources, chemical management, and respect for people. 

Aligned with the YKK Sustainability Vision 2050, aiming for carbon neutrality by 2050, the report highlights a 46.9% reduction in Scope 1 and 2 GHG emissions, a 20.9% reduction in Scope 3 GHG emissions, and expanded renewable energy usage across 31 locations globally.

YKK's commitment to sustainability extends to material resources, with 26% of textiles in fastening products incorporating recycled and sustainable materials. The report also outlines achievements in water resource reduction, chemical management, and respect for people, including the implementation of self-checks and audits based on YKK Global Criteria of Compliance.

Hiroaki Otani, President of YKK Corporation, states, “The Cycle of Goodness places sustainability at the center of our management approach, with the primary objective of meeting the needs of our customers and local communities.” 

With a focus on shared prosperity, YKK aims to contribute to societal well-being while fulfilling customer and community needs, reinforcing its commitment to building a sustainable society.

 

 

In a groundbreaking move, the VIEW Premium Selection Spring/Summer 25 is set to unveil its summer collections for the first time at the cutting-edge Dampfdom, nestled within Motorworld Munich. 

Evolving into the Preview Textile Show, VIEW stands as a pivotal and exclusive sourcing hub, orchestrating an avant-garde display of over 250 collections for the upcoming season. Positioned at the heart of Europe, the event establishes new standards with its concentrated and efficient presentation.

Managed by Sebastian Klinder, Munich Fabric Start's Managing Director, the event promises a meticulously curated exhibition, unveiling the initial color and material trends, coupled with groundbreaking technological and sustainable innovations. The Dampfdom's architecturally spectacular setting at Motorworld provides an ideal backdrop, fostering a unique blend of professionalism and intimacy.

Kicking off the Spring/Summer 25 season, VIEW will showcase more than 250 collections spanning FABRICS, ADDITIONALS, DENIM, and SPORTSWEAR. The international allure extends beyond Germany, Italy, and Turkey, welcoming exhibitors from Japan, France, Greece, and China. 

Renowned brands like Akin, Bonotto, Calik Denim, and Toray converge with others to forge a distinctive platform for insights and inspiration, offering a glimpse into the future of fashion. The VIEW Premium Selection Spring/Summer 25 emerges not only as a preview but as a transformative experience, encapsulating the pulse of the industry at its inception.

 

 

Coats Group PLC, a global leader in apparel, footwear, and performance materials, has clinched five accolades at the 2023 Just Style Excellence Awards. The prestigious recognitions underscore Coats Group's commitment to sustainability and innovation.

The company secured three notable awards, including the Investment Sustainability Award for its Madurai Sustainability Hub, highlighting its dedication to environmentally conscious practices. 

The Environmental Sustainability Textile Award went to Coats Group for its groundbreaking Eco-B microfiber, emphasizing the company's strides in eco-friendly materials. Furthermore, the M&A Award acknowledged Coats Group's strategic acquisition of Texon, specialists in footwear.

Coats Digital, the software division, shone with two wins for its FastReactFabric solution. The Environmental Supply Chain Award and the Product Launch Digital Platform Award celebrated the platform's potential to drive positive, sustainable change in the fashion industry.

The Just Style Excellence Awards, an independent program utilizing business intelligence and artificial intelligence, recognized Coats Group's achievements across diverse categories. Rajiv Sharma, CEO of Coats Group, expressed delight in the company's five-fold victory, emphasizing the alignment of their strategic objectives with customer proximity, growth acceleration, and sustainability goals. The awards underscore Coats Group's commitment to addressing industry challenges and contributing to a more sustainable world.

 

 

On 14 November, ICAC Executive Director Eric Trachtenberg will delve into the critical importance of regenerative agriculture for the future. He will also articulate the organization's vision for the movement in the cotton and textile sectors.

Mr. Trachtenberg is scheduled to participate in a high-level panel discussion titled 'Driving Policy Modernization to Incentivize the Transition and Transform at Scale.' This session will take place at 11:40 am on Tuesday, 14 November, at the Madison Hotel as part of the Regenerative Agriculture and Textiles Summit. The summit aims to unite the entire supply chain to accelerate the adoption of regenerative practices, supporting business operations and achieving vital climate goals.

As part of ICAC's commitment to regenerative agriculture, a substantial delegation, including Chief Scientist Dr. Keshav Kranthi, Head of Textiles Kanwar Usman, and Director of Communications Mike McCue, will attend the event. 

The ICAC aims to assist cotton-rich developing countries in implementing policies and building infrastructure to develop sustainable domestic textiles industries.

 

 

The UK's premier contemporary fashion and lifestyle show, Scoop, is set to return to Olympia West in Kensington from February 11 to 13, 2024. This season's theme, 'A Return to Wonderment,' invites visitors to 'Uncover the Exceptional' through a playful exploration of romance, glamour, and quintessential Britishness.

Inspired by Victorian artwork, the campaign imagery for the new season presents a modern and eccentric illustration that captures the essence of Scoop's fun and fashion-forward approach to the event.

Since its inception in 2011, Scoop has been at the forefront of discovering cutting-edge designers from around the world, giving the show its unique identity. Founder and Managing Director Karen Radley emphasizes the importance of supporting British designers and creating a unique fashion showcase in London.

"I love the way the new campaign imagery captures the essence of Scoop while maintaining that most important sense of fun and humor," Radley says. "One of my greatest joys is discovering new and emerging designers and innovators and giving them a platform to reach the right people. 'A Return to Wonderment' captures the spirit of the season and the excitement visitors can expect from the carefully curated edit of designers we will be hosting."

 

 

Better Cotton, the world's leading cotton sustainability initiative, is launching a new program in Côte d'Ivoire, with a commitment to assist 200,000 local cotton farmers within its initial five years. 

The initiative, in collaboration with the Professional Association of Cotton Companies of Côte d'Ivoire (APROCOT-CI), focuses on providing training and resources to enhance the sustainability of cotton farming practices. APROCOT-CI, representing cotton companies nationwide, will act as the Strategic Partner, overseeing efforts to improve climate resilience and economic prospects for farming communities. 

Six member organizations of APROCOT-CI will serve as Better Cotton Programme Partners, contributing expertise and resources for social and environmental advancements. 

The initiative seeks to integrate sustainable farming practices, reduce environmental impact, and enhance economic outcomes for smallholder cotton farmers in the region.