FW
MEX Exhibitions will organise the 3rd edition of Gartex from August 18-20, 2018. The trade show will be held on a much larger scale spanning over 100,000 sq. ft. of exhibit area, wherein more than 150 companies will display around 300 brands related to the theme in the four halls of Pragati Maidan.
The exhibiting companies will showcase innovations under three major categories including Digitex -an exclusive focus on digital textile printing technology; Embroidery Machines - highlighting innovations in the embroidery sector; Garmenting & Apparel Machinery - showcasing technological developments in the garment & apparel manufacturing sector; Fabric & Accessories Pavilion - a focused area to source all embellishments and fabrics, and Denim Show - a zone that aims to bring together the denim supply chain under one roof.
The highlight of the show will be the Swiss digital printing solutions company Mouvent who has confirmed its Platinum Sponsorship of the event. In the meanwhile, Creora has confirmed their participation in Denim Show as Platinum Sponsor of the VIP Lounge. Denim Show is support by DMA whereas Denim Trends is sponsored by Arvind Mills and Raymond.
Fila will hold its first ever runway show at the next Milan Fashion Week, set to take place from September 18 to 24, 2018. The brand's debut runway show will be led by Antonino Ingrasciotta, who became Fila's creative director last year. The brand will also organise an exhibition at Milan cultural institution La Triennale, an event that will present the heritage and history of the label as well as its plans for the future. The brand was acquired by a South Korean businessman via Fila Korea in 2007 and seeks to up its prestige and desirability through collaborations with designers such as Jason Wu, Anna Sui and Gosha Rubchinskiy. At February's Milan Fashion Week the brand even made an appearance at Fendi's runway show, with the Italian luxury label emblazoning a capsule collection with the red and blue Fila logo.
Fila is currently distributed in Europe through master licencee Dosenbach-Ochsner. In 2016, the brand hoped to see sales in the region increase by 10 per cent per year to ultimately reach a total of €620 million in 2020. However, as the label sees a resurgence of interest in its offering thanks to the popularity of the nostalgic 90s trend, it could well surpass this target.
Fashion for Good and PVH, one of the largest apparel companies that owns brands like Tommy Hilfiger and Calvin Klein, have collaborated to accelerate transition towards a good fashion industry. This partnership will reveal their shared commitment towards industry-wide collaboration and integrate disruptive innovations within the fashion supply chain.
PVH will play an important role in setting Fashion for Good’s innovation agenda. It will define focus areas, participate in the selection of new innovators and provide expertise and mentorship to the selected start-ups. In turn, PVH will gain specialised scouting and screening support, as well as preferential access to market-ready innovations through Fashion for Good’s extensive network. PVH will also curate visitor-facing Fashion for Good Experience, the world’s first technology-forward museum dedicated to sustainable fashion innovation opening this October in Amsterdam.
Cotton production is estimated to grow by 8.11 per cent to 373 lakh bales in 2017-18 season ending September over the previous year, says the Confederation of Indian Textile Industry (CITI). Production is projected to expand on account of 13 per cent increase in cotton crop area to 122.59 lakh hectares from 108.45 lakh hectares.
High prices of cotton domestically and internationally would further force consumption to either remain stagnant or slightly at lower side. Hence, consumption figures should not exceed beyond 316 lakh bales, including the non-mill consumption of 19 lakh bales.
The closing stock of cotton for 2017-18 would be around 49.81 lakh bales which is sufficient for the textile sector to smoothly run their units throughout the year. The Cotton Association of India (CAI) earlier this week increased its May estimate of the cotton crop production by 5 lakh bales to 365 lakh bales for 2017-18 season (October to September).
As per the Bangladesh Textile Mills Association (BTMA), the sudden deluge of low-cost Chinese and Indian substitutes in local markets has resulted in over Tk 25,000 crore worth of domestic yarn and fabrics remaining unsold in the last five months. The majority of demand is being met by the Chinese and Indian yarn and fabrics, which are imported under bond licences and illegally sold in the domestic market by a section of unscrupulous traders enabled by the lax monitoring by the customs department.
These yarns and fabrics are used to make saris, salwar suits, bed sheets, scarves, lungis, the local yarn makers and weavers sell Tk 25,000 crore to Tk 30,000 crore worth of products ahead of Eid-ul-Fitr and Eid-ul-Azha. The goods imported under bond licences are not allowed to be sold in the local market as those are imported duty-free for exporting to different countries after processing in factories.
China will reduce import tariffs on goods from India, South Korea, Bangladesh, Laos and Sri Lanka from July 1. The products on which the tariffs will be reduced include soybean from 3 per cent to zero, chemicals, agricultural products, medical supplies, clothing, steel and aluminium products. All imported products from these five countries will adapt a tariff rate of the Second Amendment of The Asia-Pacific Trade Agreement.
India has been pressurising China to open its markets more for Indian products, especially IT and pharmaceuticals, to reduce $51 billion in over $84 billion trade. During the India-China strategic dialogue in April, Rajiv Kumar, vice chairman of NITI Aayog, had pitched for export of soybean and sugar to China from India. Early this month, Premier Li Keqiang had announced that China will reduce the average tariff rate for clothing, shoes and hats, kitchenware and sports and fitness supplies from 15.9 per cent to 7.1 per cent from July 1
The Belt and Road Global Forum held its first annual roundtable at the Hong Kong Convention and Exhibition Centre (HKCEC). The conference was attended by over 80 member organisations from 24 countries and regions. It was divided into two parts. The first session examined the Belt and Road Initiative from a global perspective, covering topics including business opportunities arising from the initiative, Chinese investment trends, the infrastructure needs of different regions, as well as the different approaches to facilitating infrastructure investment and financing in emerging economies. The second session explored the practical aspects of the initiative through discussions on sources of funding, investment models, project identification, risk mitigation, and case studies of best practices.
The forum is an alliance of chambers of commerce, industry associations, investment promotion agencies and think tanks in Hong Kong, the Chinese mainland and around the world. It aims to promote interaction, share information and business collaboration among member organisations. At present, the forum has a membership of more than 110 organisations from 29 countries and regions with the Hong Kong Trade Development Council (HKTDC) serving as the secretariat. It will hold annual roundtable meetings to promote closer cooperation among members.
Amfori, is a leading global business association for open and sustainable trade that has a membership of more than 2,200 retailers, importers, brands and associations across 44 countries on four continents. It has the strongest membership in the US, Canada, Australia, UK and Spain.
Amfori has introduced a new governance structure, extended its membership offering, launched new tools and expanded upon its global network to bring its members closer to the operations of their business partners in supply chains that stretch across the world.
The group has forged partnerships. Key among them are with the Swiss non-profit myclimate, the Zero Discharge of Hazardous Chemicals Program, the German Partnership for Sustainable Textiles, the Chinese Belt and Road Industrial and Commercial Alliance and the EU Chamber of Commerce in China.
In Thailand, Amfori has launched a 12 month capacity building project for responsible recruitment practices supporting due diligence by small companies in global supply chains. To match its ambition for inspiring action across the world and serve its growing global membership, in 2017-18 Amfori established its first office in Latin America, opened one in Bangladesh and added to local teams in India and Greater China. The aim is to encourage those who want to use trade for good in the world.
Loop’s Generation II technology is more well-organised and productive than the Generation I process. It includes a considerable reduction in energy use and the complete elimination of water. The Generation II technology is a major step forward in sustainable plastic.
Loop is a leader in the PET and polyester fiber upcycling industry. The most remarkable change introduced in the Generation II technology is Loop’s decision to produce a monomer from which it makes Loop PET resin and polyester fiber from terephthalic acid.
Loop’s short-term prime concern will be large-scale commercialization of this Generation II technology to respond to the demands of brand owners who have committed to aspiring sustainability targets, which can now be achieved through the use of Loop PET and polyester resin.
With Generation II technology upcycling waste PET and polyester fiber will be cost effective, scalable and very efficient on a commercial scale. It will be possible to help divert even more waste plastic from landfills and help prevent it from ending up in rivers and oceans. This ground-breaking technology decouples plastic from fossil fuels by depolymerizing waste polyester plastic to its base building blocks. Loop branded polyester resin allows consumer goods companies to meet and exceed their stated sustainability goals and circular ambitions.
"In order to boost its economy by 2025, Ethiopia has devised a well-crafted strategy where textile forms one of the crucial components of the economy. These efforts seemed to have paid off well with Ethiopia ranking seventh most attractive African country for investors as per Africa Investment Index (AII) 2018. Backed by a rapidly growing economy, a huge population of over hundred million, proximity to major international markets, conducive policy environment and a rapidly improving infrastructure, it has become a favorable destination for foreign investors. In fact, many companies have shifted their manufacturing units from countries such as Turkey, India and China to Ethiopia over the past decade. Moreover, many European and American companies are expanding their presence in the region."
In order to boost its economy by 2025, Ethiopia has devised a well-crafted strategy where textile forms one of the crucial components of the economy. These efforts seemed to have paid off well with Ethiopia ranking seventh most attractive African country for investors as per Africa Investment Index (AII) 2018. Backed by a rapidly growing economy, a huge population of over hundred million, proximity to major international markets, conducive policy environment and a rapidly improving infrastructure, it has become a favorable destination for foreign investors. In fact, many companies have shifted their manufacturing units from countries such as Turkey, India and China to Ethiopia over the past decade. Moreover, many European and American companies are expanding their presence in the region.
Political stability a big plus
With IMF forecasting economic growth at 8.5 per cent for the next year, Ethiopia is expected to consolidate its
position as the fastest growing economy in Africa. As per IMF, the country also had an average of 10 per cent economic growth over the past few years. Various factors are aiding growth. One, is the political stability. The popularity of new prime minister, Abiy Ahmed and the sense of unity he has stimulated among people has given a boost to growth.
A recent CNN report states, Ethiopia is now Africa’s fastest growing economy. Vijaya Ramachandran, Economist, Center for Global Development (CGD), credits Ethiopia's growth to government efforts to boost industrial production and manufacturing. The report mentions Ethiopia can follow China’s footsteps, and become a destination for low-wage manufacturing jobs. Categorising African states into three in terms of their income levels, the first group consists of solidly middle-income countries. This group includes South Africa and Botswana, which are characterised by very high labour costs and capital intensive industries. The second group includes leading low and lower-middle lower-income African countries like Kenya, Tanzania and Senegal – coastal, relatively stable, and with a strong business sector. These countries have relatively costly labour compared to countries like Bangladesh. The third group consists of countries at the very low end of the income spectrum, so poor that there are almost no real comparators.
Though landlocked, Ethiopia is making efforts to work on logistics constraints through road and rail connections; it also has good air connections. It has a stable administration that sees the manufacturing as a central part of its growth strategy. It also benefits from generally low costs. As measured by Purchasing-Power Parity, the general level of prices in Ethiopia is below the level in India and comparable to that of in Bangladesh.
Labour costs
Higher labour prices and problems of poor working conditions in Asian industrial locations are major pull factors for the region. Ethiopia has lower labour wages and better working conditions than the countries with reputation for poor working conditions. In the International Trade Union Global Rights Index, Ethiopia fared better than Mexico and Malaysia. There have, however, been health and safety concerns in some instances. As per the report, there are no restrictive labour laws in Ethiopia, which is meant to show that companies have relatively bigger room to manipulate labour. These conditions need to be improved. With so many positives by its side, Ethiopia is sure to grab the global manufacturing attention.
