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With cotton being one of the top polluting industries, a world first Australian technology could contribute a positive change in the global $500 billion textile and fashion markets. Australian company Nanollose has raised $5,000,000 from investors, with ambitions to commercialise its sustainable fibre technology after an IPO on the Australian Securities Exchange expected for October 18.
Nanollose CEO Alfie Germano says this mark an exciting time for the company, with its world first Plant-Free Cellulose fibre set to potentially become a sustainable alternative to commonly used but environmentally damaging fibres such as cotton.
Currently, cellulose is obtained from plant sources like cotton, wood and bamboo, with the supply chains and procurement ecosystems of these industries raising ever-growing environmental concerns.
Germano who has held multiple VP positions at some of the largest global apparel brands including Gap recently stated that the funds will be used to accelerate the development of the company’s fibre technologies and build production supply chains with key partners, who will license and grow the fibre. The funds will accelerate the development and get a point where it could offer the fibre as a sustainable alternative to that of fibres derived from cotton and wood. He further adds that progressive brands and companies are starting to facilitate this new shift by involving themselves deeper in the supply chain and searching for feasible, sustainable long-term alternatives, and wants to be part of the solution. The reason is to feed sustainable alternative into the global industries with little to no retrofitting to existing machinery or processes.
Germano’s first target is the $500 billion global textile industry, and says there is increasing urgency from brands, retailers and manufacturers to seek and cultivate alternative fibre resources.
Average synthetic fiber prices increased sharply in September. Global synthetic fiber prices increased 17.5 per cent year on year and by 5.8 per cent over the prior month. Contributors to the price increases included constraints on supply, a temporary spike in oil prices and disruption in intermediates product resulting from hurricanes, and continued Chinese crackdown on violations on environmental regulations.
Although oil prices have already settled down from their hurricane-related increases, delays in expansion of resin capacity in the US and Europe have caused concern over polyester supply in both the short and the long term. In Asia, the largest manufacturing region for synthetic fibers, the price increase was felt most intensely. Prices increased in September by 24 per cent year-over-year and 9.4 per cent month-over-month. The biggest increase was in the polyester filament area. Nylon textile filament costs were similarly affected, though not as dramatically. Spandex, viscose and acrylic staple prices remained relatively stable. Asian synthetic fiber prices remain more than 20 per cent below the global average.
In the US, prices rose by 6.9 per cent compared to September last year and three per cent from August. In Europe, prices rose by 18.2 per cent year-over-year and two per cent from last month.
Levi Strauss has recorded seven per cent revenue increase in the third quarter. Direct sales to consumers grew by 16 per cent and wholesale revenue by four per cent. Revenue increases in the year’s first two quarters were four per cent and six per cent. Levi Strauss is the owner of brands Levi’s and Dockers.
The group also reported a 180 base-point increase in its gross margin. However, due to unfavorable exchange rate adjustments and a series of equity operations, Levi Strauss' net income was down ten per cent. The group’s EBIT was up one per cent compared to last year.
Despite the changes affecting retail, Levi Strauss has achieved profitable growth and is leveraging the strength of its diversified business and the confidence it has in its brands. Its advertising and media investment in the fourth quarter is growing exponentially. The launch of the jacket developed with Google, and the initiatives celebrating the 50th anniversary of the Trucker Jacket, reinterpreted by 50 celebrities, artists and influencers from around the world, will add great energy to the year-end for Levi’s.
The group has revised its guidance for the fiscal year 2017 as a whole, currently forecasting a growth between five per cent and six per cent.
Leather garment manufacturer Lanka Leather Fashion is committed to promoting sustainability. Not content to only negate its overall impact, LLF improves its environmental performance year-on-year, and has even managed to achieve a notable 16 per cent reduction on its carbon footprint with a 11 per cent increase in production as well.
Founded in 1981, Lanka Leather supplies to prominent high-street fashion brands such as Hugo Boss, Gerry Weber, Michael Kors and Taleco. The organisation’s leadership in reducing and compensating for its environmental impact is getting much deserved attention from key decision makers and stakeholders in its global supply chains.
The manufacturer holds the title of Carbon Neutral for the third year in a row. This was awarded by UK based Natural Capital Partners. Carbon Consulting Company has conducted an in-depth assessment of LLF’s greenhouse gas emissions. LLF then invested in a renewable energy project in Sri Lanka to obtain registered carbon credits through Natural Capital Partners.
High quality, sustained volumes and competitive pricing have been key factors contributing to the success of Sri Lanka’s footwear and leather products industry. High quality Sri Lankan leather goods in the range of leather gloves, travel bags, back packs, ladies’ handbags, jackets and small leather goods cater to niche international markets.
Indian textile exporters are facing difficult times. They have been facing subdued demand trends in the key importing countries as well as intense competitive pressures from nations such as Bangladesh and Vietnam. In addition, unfavorable currency movements and high raw material prices as well as the recent revision in duty drawback rates have only added to their woes.
The slowdown in apparel segment has mainly been on account of subdued demand conditions in the key textile-consuming regions of the United States and the European Union, which account for a majority of exports from India. This apart, cotton yarn exports have been under pressure on account of a decline in demand from China.
India is the worst-affected nation among cotton yarn suppliers to China. India’s share in China’s cotton yarn imports has fallen to eight per cent in the first quarter of fiscal 2018 vis-à-vis 20 per cent and 25 per cent in the first quarter of fiscal 2017 and the first quarter of fiscal 2016 respectively.
Pressures on textile exporters have become more severe with the strengthening of the rupee against currencies of key competing nations during the current calendar year which has reduced the competitiveness of Indian exporters.
Indian textile and clothing exports have stagnated during the last three years. One reason is the FTA/PTA competitive advantage gained by competing nations such as Bangladesh and Vietnam and the high tariff rates imposed on Indian textile and the clothing products in major textile markets such as the EU, the US, Canada and China.
So the industry has appealed to the Center to refund the accumulated input tax credit at the fabric stage in order to avoid cost escalation, encourage the Make in India initiative, reduce import of fabrics, avoid job losses etc. Certain GST anomalies need to be addressed on a war footing. The power loom sector and independent weaving units that produce over 95 per cent of the woven fabric are burdened with 18 per cent GST on yarn while the vertically integrated units do not have to face this problem as they need to pay 18 per cent GST for fibers and only five per cent GST on fabrics, and the cost difference works out to five per cent to seven per cent.
However, the entire cotton textile value chain and also all the textile job work come under the lowest and seamless slab of five per cent. The low rate will help protect the livelihood of over 40 million people involved in cotton farming and trading, make cotton the engine of growth for the Indian textile industry and clothe the people of the nation at an affordable cost.
In countries like Germany investment in technical textiles is 70 per cent of textile output but in India investment in the technical textile sector is only 10 per cent. The technical textile industry also has about nine per cent of the world’s total consumption manufactured in India.
Technical textiles offer several advantages in their functional aspects for improving health and safety, cost effectiveness, and durability and strength of textile material. In India, this sector is in its nascent stages while on the global stage it’s a multi-million dollar industry. A large number of technical textile products are consumed by different industries like automotive, healthcare, infrastructure, oil and petroleum, among others.
Indian companies have started producing technical textiles for the international market. Though at a nascent stage, technical textile production in India with the right investment and exposure will definitely compete with international production.
Indian companies have been introducing several new developments in textile technology. Indian companies are developing products using meta aramid, a textile produced in India which is made from a blend of materials which are environment friendly, lightweight and perform better than asbestos. These meta aramid products can replace the carcinogenic asbestos in the Indian industry which was claiming the lives of people using them.
Indian Handicrafts and Gifts Fair (IHGF) is on at Noida from October 12 to 16. This is a platform for Indian exhibitors of home, lifestyle, fashion and textile products. It will showcase the abundance of raw material products backed by a rich heritage of design and handcrafting skills.
Some 2,750 exhibitors have displayed an entire range of home, lifestyle, and fashion accessories, with a traditional artistic finish in perfect harmony with modern designs and contemporary colors. Visitors can go through materials like houseware, gifts, furniture, garden, outdoor and bathroom accessories, home furnishings, carpets, rugs, floor accessories, lamps and lighting, Christmas and holiday decor, spa and wellness, handmade paper items, educational games, trophies, fashion jewelry and accessories, stationery and gifts at this unique fair.
Buyers from across the globe are wholesalers, distributors, chain stores, department stores, retailers, mail order companies, brand owners, buying houses and designers and forecasters. Overseas buyers are from countries like Argentina, Austria, Belgium, Brazil, Canada, Chile, Thailand, Turkey, USA, UAE, UK and Zimbabwe.
There will be seminars on investments in the handicrafts sector, GST, necessary compliances for the handicrafts sector, and neuroscience in marketing. A pavilion will have cane and bamboo products from the north-east and Jodhpur.
Heimtextil will take place in Germany, January 9 to 12, 2018. This is a trade fair for home and contract textiles.
Heimtextil presents upholstery and decorative fabrics. The range of furnishing and upholstery fabrics on offer will vary from suppliers of the highest quality goods to suppliers of functional textile solutions in this segment and also manufacturers of high-volume goods.
Visitors from the contract business will witness functional product solutions for the interior decoration sector, such as textiles with acoustic functions or special abrasion-related properties. The product range for furnishing, decorative and upholstery fabrics will be significantly expanded and offer individual solutions for architects and interior designers.
The show has seen a strong increase in the number of high quality suppliers of furnishing and upholstery fabrics in recent years. This development will continue in 2018. Manufacturers exhibiting their wares include international names such as Deltracon, Muvantex, Loro Piana, Tali, Archroll, Bill Beaumont Textiles, Blom Lina Maria, Cancelli, Erotex, Green Street Fabrics, Pro Loom, Samac, Sankrin World and Textil Roig.
A total of three floors will be available for exhibitors from Asia to present a wide range of products. This is where wholesalers and distributors as well as representatives of department stores meet manufacturers, enabling them to place medium and high quantity orders that will be supplied in a timely manner.
Gujarat’s Garments and Apparel Policy envisages achieving the complete textile and garment value chain from farm to fiber, fiber to fabric, fabric to fashion, and fashion to foreign markets. The main aim of the policy is to make full use of the cotton grown in the state. Entrepreneurs will be encouraged to invest in garmenting since the state has the advantage of being the largest cotton producer.
Under the policy, garment unit owners would get an incentive for generating employment in the form of subsidy in wages. While the subsidy amount would be Rs 3,500 per month for male workers, it would be Rs 4,000 per month for female workers.
Gujarat already has a large spinning capacity with 25 lakh spindles installed. Adding weaving and garmenting would make it possible to achieve the complete textile and apparel value chain. The aim is to provide employment to women and create investment opportunities in the complete value chain from cotton to fabric to clothing.
Some 16 new industrial estates will be set up under the Gujarat Industrial Development Corporation. Spread across 2,400 hectares in 16 villages, they will have the potential to accommodate about 15,000 factories. A lakh of people are estimated to get employment. The state has extended its textile policy 2012-17 for another year.
