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SEAMS, the National Association for the US Sewn Products and Textile Industries, will mark its 50th anniversary at the annual Spring Networking Conference ‘Shaping the Next 50 Years’. The conference on sewn products will be held at OMNI Grove Park Inn in Asheville, North Carolina, from May 16 to 17, 2017. The conference will explore trends and opportunities that diverse sewn products brands, original equipment manufacturers, suppliers, and retailers will encounter as they grow into the future.
The event is meant for textile providers, contract manufacturers, brands, vertical retailers and their suppliers and service providers who collectively represent the complete concept-to-consumer supply chain. It aims at promoting the continued growth of the US fashion, sewn products and textile industries through educational programs, networking opportunities, business opportunity matchmaking, industry collaboration and special member benefits packages.
Attendees will have the opportunity to introduce their company to all attendees, meet industry-focused benefits providers, and visit special products/services displays during the conference.
Highlights include a keynote presentation on trends and predictions delivered by a noted futurist, feature presentations covering trade, government relations, human resources and more, breakout sessions on several relevant industry topics to choose from, and a panel discussion, which will provide an update on trends in military, automotive, industrial and other segments. The focus is on preparing members to embrace the future.
A new single-day conference program will be preceded by an optional plant tour, golf outing, opening reception and dinner.
Lectra has conceived a strategy to empower fashion and apparel, automotive and furniture companies. A digital value chain will provide real-time connections between creative teams and product development teams, smart factories, suppliers and consumers.
This offer, capitalizing on data analyses and exploitation, will translate into even smarter, connected equipment and finely tuned integration between equipment, software and services. New industry-specific services will reinforce the offer, enabling Lectra to continually improve customer processes.
Initially, tested in 2017 with select customers, some of whom have been involved with the offer since the beginning of the design, the new offer will be commercialized from 2018. Lectra will increase the share of revenues dedicated to R&D to ten per cent for the period 2017 to 2019, representing a rise of about 50 per cent between 2016 and 2019.
Factories are propelling a new digitalized life cycle for products that will benefit consumers. Mass production is making way for large-scale customized production as well as providing quick-to-market, quality products expected by demanding customers.
Lectra is a leader in integrated technology solutions dedicated to industries using fabrics, leather, technical textiles and composite materials. It serves major world markets: fashion and apparel, automotive and furniture as well as a broad array of other industries. Lectra’s solutions, specific to each market, enable customers to automate and optimize product design, development, and manufacturing.
India wants to build manufacturing hubs in the four countries of Cambodia, Laos, Myanmar and Vietnam. Private companies will be helped in establishing a presence in these four countries and regional value chains.
These countries have the Generalized Scheme of Preferences (GSP) facility through which they have low or no duty on their exports to developed countries. So India is interested in creating manufacturing hubs, especially textiles, in countries like Vietnam. If Indian manufacturers go to these countries and produce, they will be able to utilize the GSP benefits to get market access to the developed countries.
The government cleared a Rs 500 crores project in August 2016 for exploring such opportunities. India does enjoy GSP benefits in certain sectors but the United States and European Union have been threatening to end India’s GSP benefits, given its rising share in world exports.
India’s exports to these four countries increased by more than eight-fold in 2015 compared to 2005. This accounted for a 24.3 per cent share in India’s exports to the Asean region. Imports, on the other hand, increased nearly six-fold from 2005 to 2015, accounting for a 9.4 per cent share in India’s imports from the Asean region.
Hohenstein has developed a test procedure for assessing the biodegradation of textiles. Biodegradability of textile products is becoming an increasingly important factor in assessing their sustainability, focusing not just on manufacturing and product safety, but on what happens to a product once it reaches the end of its useful life cycle.
Hohenstein is developing a protein-based water and dirt-repellent finishing agent to provide an alternative to hydrophobic processes using fluorocarbon chemicals. The aim is to functionalise textiles in a stable, economical and sustainable way using fungal proteins produced with biotechnology as a replacement for per- and poly fluorinated hydrocarbons that are potentially dangerous to humans and the environment.
The subject of responsible chemical management in companies along the textile chain has recently been growing in importance. Using the Oeko-Tex modular system of certifications and tools for increased sustainability as a basis, Hohenstein provides companies with solutions for incrementally optimising their chemical management systems to meet these market requirements successfully.
Hohenstein also provides its expertise in the area of pattern making techniques and fitting tests. The latest data on breast volumes for women, for example, enables further improvements to be made to bra cup sizes. The group is developing a thermoelectric cooling bandage for mobile cold therapy for acute injuries and post-operation treatment.
Hohenstein will present these developments at Techtextil, Germany, May 2017.
Fashion house BCBG may file for bankruptcy. It will close most of its approximately 200 US stores. Bankruptcy would have the advantage of shielding it from legal action by landlords, who have been put under pressure by a wave of retail bankruptcies and shuttered stores.
BCBG is from the French phrase bon chic, bon genre. It was founded in 1989 and grew through its retail shops and distribution in department stores including Saks Fifth Avenue and Bloomingdale's. It also acquired Herve Leger, maker of skin-tight dresses, and started a lower-cost line called BCB Generation.
The company’s retail store business declined by 20 per cent over the past three years. It reported consolidated net sales of just over 600 million dollars in the 12 months to December. Retail accounted for 71 per cent of its revenue, while wholesale accounted for 18 per cent. The percentage share for licensing and e-commerce sales were in single digits.
BCBG’s form-fitting party dresses have been worn by the likes of Selena Gomez, Drew Barrymore and others. Competing specialty retailers, including The Limited and American Apparel, have also filed for bankruptcy in recent months and are closing down stores. The US retail sector is struggling as shoppers are abandoning malls in favor of internet shopping.
A slowdown in exports and weak remittance growth are the new challenges for Bangladesh. Challenges on the external front include: a protracted slowdown in key export markets (particularly the EU) and a further weakening of remittances. The EU and the US account for over 70 per cent of exports, and weaker growth, together with retreat from trade liberalisation, could adversely affect export growth, mainly the garment industry, with a negative impact on the balance of payments. A sustained appreciation of the US dollar could erode Bangladesh's cost advantage and harm export competitiveness.
Bangladesh needs to boost private investment to sustain high growth. A significant increase in public investment is also necessary to maintain competitiveness and generate further productivity growth. The delayed VAT law should be implemented. In addition, structural reforms, strengthening institutions and capacity development remain priorities to unleash the full potential of the economy.
Many of Bangladesh's economic institutions and governing practices will need to be upgraded to support its transition toward middle-income status and as the country becomes more integrated globally. Other policies should seek to foster resilience, diversify the economy, and promote inclusive growth, including by addressing infrastructure and capacity gaps, while preserving debt sustainability. Low energy prices provide scope for scaling back subsidies.
A denim exposition is being held in Bangladesh from today March 1 to 2, 2017. It’s aimed to attract global buyers against the backdrop of the country’s capacity to supply quality products at lower costs. About 28 companies from countries, including Bangladesh, Turkey, India, China, Germany, Spain, Brazil, Pakistan and Hong Kong, are taking part to showcase their denim pants, fabrics and latest accessories.
The theme Denim Mashup event will focus on latest trends in denim where embellishments, embroideries, sequins, patches, paints etc. are used in different combinations to produce visually exaggerated hi-fashion denims. This theme is being taken up by global brands like Gucci, D&G, Tommy Hilfiger, Wrangler and many other companies.
Exclusive to authorized trade visitors, the expo acts as a hub for players on the international denim scene to mingle with colleagues, make new contacts and broker deals. A denim quiz will be held for students of fashion universities of Bangladesh. The competition will be transmitted globally. The idea is to encourage students to research more on denim subjects and get a deeper knowledge that will help them in their careers as well.
Bangladesh is a fast growing denim destination globally for sourcing fabrics and has been growing exponentially and rising up the value chain.
VF Corporation has formulated a policy on sustainable forest materials and products. The policy aims to avoid issues associated with deforestation and forest degradation, including the loss of ancient and endangered forests, loss of biodiversity and habitat, use of forced labor in making forestry products and loss of indigenous peoples and local community rights.
It emphasizes the use of products made with recycled fiber whenever possible and promotes the use of Forest Stewardship Council -certified paper and fiber, while striving to elevate all third party forestry management certification systems. It strengthens VF’s broader efforts to use responsibly sourced materials throughout its global operations and supply chain.
From hang tags, to packaging to fabrics, some of America’s favorite global brands are protecting the world’s forests and the species that call them home. VF has a goal to eliminate the use of ancient and endangered forests in the production of forest derived fabrics such as rayon and viscose from the apparel and fashion industries by the end of 2017.
VF Corporation has a portfolio of iconic lifestyle brands including Vans, The North Face, Timberland, Wrangler and Lee. Founded in 1899, VF is one of the world’s largest apparel, footwear and accessories companies.
On a 12-month smoothed basis, retail sales in the US rose by 6.2 per cent. This was the biggest increase in the measure in almost three years. Clothing and accessories specialty stores managed to turn in a good month, with sales up 2.5 per cent year-over-year or more than three per cent on a 12-month smoothed basis. However, department, chain and discount stores saw their sales tumble again, by 7.4 per cent.
The combined department, chain and specialty channels, the apparel-oriented stores, dropped 1.4 per cent. Apparel retail stores in the US had the best January sales in almost two years. Sales at non-store retail, which includes pure-play e-commerce, increased by almost 12 per cent in January, driven by continued gains by Amazon.
The total retail inventory-to-sales ratio fell to its lowest point in almost a year and a half, but rose slightly for department, chain, discount and apparel stores in December, due to sluggish holiday sales that left these stores with excess merchandise. January retail sales, which include gasoline, groceries and automobiles, rose 5.6 per cent over December 2015.
"Bangladesh’s competitiveness in global woven garment exports is under threat owing to increased dependence on fabrics import and a lack of proper policy on energy supply. As per Export Promotion Bureau (EPB), export earnings from woven garments saw a 2.35 per cent decline in the last fiscal to $14.39 billion. Export earnings from woven garment products recorded a 2.35 per cent decline in the last fiscal year to $14.39 billion. On the other hand, it posted 4 per cent growth in the first half of the current fiscal to $7.17 billion."
Bangladesh’s competitiveness in global woven garment exports is under threat owing to increased dependence on fabrics import and a lack of proper policy on energy supply. As per Export Promotion Bureau (EPB), export earnings from woven garments saw a 2.35 per cent decline in the last fiscal to $14.39 billion. Export earnings from woven garment products recorded a 2.35 per cent decline in the last fiscal year to $14.39 billion. On the other hand, it posted 4 per cent growth in the first half of the current fiscal to $7.17 billion. During the same period, knitwear products earning increased by 11.47 per cent to $7.6 billion. Longer lead time, poor backward linkage, absence of value addition & modern technology and lack of proper policy support on gas and electricity connection are some of the concerns plaguing the industry.
The woven sector has also witnessed negative growth in major export destinations including Germany and the US, two of the largest export destinations. In order to revive the industry, investments in backward linkage would greatly reduce import dependence and technology upgradation for value addition. Faruque Hassan, Senior-VP, BGMEA says, Bangladesh is doing better in knit products exports. This is because of a strong backward linkage industry. However, woven products manufacturers are highly dependent on import for fabrics, which costs more. As a result, export earnings from woven goods have seen slower growth and it is losing its strength in the global market. On the other hand, value addition of woven products is less than the knit products which led to lower prices. The country doesn’t have manmade fibre, polyester and petrochemical strength. They can be competitive if they can meet the demand from the local sources. Stakeholders are investing to upgrade machinery to go value addition. This will boost the buyers’ confidence and they will place orders for higher end woven products in Bangladesh.
The bug bears
Shorter lead time is key to remaining competitive in the global market. And to achieve this, Bangladesh has to improve its backward linkage industry to meet the demands locally. It takes about 35 days to ship goods to the US from Bangladesh. But shipping from China takes 20 days and it is 15 days for Turkey, points out Abdus Salam Murshedy, President, Exporters Association of Bangladesh. As a result, Bangladesh cannot take urgent orders from buyers due to longer lead time.
While getting a gas connection is a big challenge, business will not be viable if manufacturers have to run a factory with diesel instead of gas. Murshedy added that only using gas can make the production less expensive, which will help the industry be competitive. The other challenges include the size of investment and costs of land. Setting up woven fabric factories cost two to three times more than establishing a knit composite factory. It also needs more land.
Way forward
There lies a huge demand-supply gap as Bangladesh can only meet 30-35 per cent of local demand of woven fabrics. Murshedy suggests the industry first needs to meet demands locally to reduce lead time as it takes so many days to import fabrics. For this, new investment is a must to increase production capacity in line with the demands. Then, the government should ensure infrastructure to ship finished goods within a possible shorter time as it is the key to success to grab more orders and remain competitive in the global market. Md Mostafiz Uddin, MD, Denim Expert, said since fashion trends are changing every day and the consumers want latest fashion products, clothing retailers are looking for more technical fabrics instead of basic ones. To cope with latest demand, the industry should focus on multifunctional fabrics to diversify products. Deploying technology and increasing R&D efforts would go a long way in gaining growth.
