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ITMF survey: Textile orders drop by 8%

ITMF has conducted a survey among ITMF Members about the impact of the Coronapandemic n the global textile value chain, especially on current orders. In total 34 companies from around the world participated in addition to two national textile associations with several hundred participants. Worldwide, current orders are down by -8 per cent. The results show that on average companies in all regions of the world suffered significant numbers of cancellations and/or postponements. On world average, current orders dropped by 8 per cent. The decrease in orders ranges from 4 per cent in South America to 13.3 per cent in Africa.

Worldwide, expected turnover in 2020 vs. 2019 is likely to decline by 10.5 per cent The results show that on average companies in all regions are expecting their turnovers in 2020 to be significantly lower than in 2019. On world average, the turnover in 2020 is expected to be 10.5 per cent lower than in 2019. While in North America the expected plunge will be on average 7.5 per cent, companies in Europe are expecting a drop of 17.5 per cent.

With other words, these companies and organisations were neither affected by a Coronaepidemic in their own country, nor were their customers (mainly in Europe and North America). The later replies were received (from March 17onwards), the more negative were the answers across all regions. It can be assumed that the fact that after March 16 more and more governments in Europe and North America introduced almost daily new regulations that were restricting public and business life (e.g. closing of kindergartens, schools, universities, shops, bars, cinemas, museums, sport facilities, ski resorts, borders, etc.) was crucial. With all these restrictions in place ‘offline’ consumption of textiles and apparel in retail shops, departments stores, outlets stores, etc. dropped dramatically. This seems to have led brands and retailers across the board to cancel and/or postpone orders significantly.

 
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