FW
Bangladesh’s export earnings in July soared 26.54 per cent, marking a strong rebound after lackluster performance in the fiscal year that concluded in June. The surge was led by garments shipments which soared 17.08 per cent year-on-year in July. Still, the sector’s export earnings fell short of the monthly target by five per cent.
Since the congestion at Chittagong port has been eased and goods were delivered in July, export earnings reflected a sharp rise. In the just-concluded 2016-17 fiscal year, Bangladesh’s export earnings from the apparel industry saw only a 0.20 per cent rise, the lowest growth figure for 15 years for the key foreign currency earner. However, Bangladesh’s overall export earnings stood at $34.83 billion in the last fiscal year, which is 1.68 per cent higher than the $34.25 billion a year ago. Bangladesh is targeting earning $50 billion from readymade garment exports by 2021.
The readymade garment sector is a vital industrial sector of Bangladesh which is immensely contributing to the country’s export earnings, employment generation and value addition. Efforts are being made to ensure a safe, sound, green, environment-friendly and a vibrant garment sector. Out of 10 eco-friendly factories of the world, seven are located in Bangladesh.
Apparel Tech-Up seminar will be held in Bangladesh on August 26, 2017 organised by ThreadSol. Leading garment manufacturers, technocrats and top technology providers will explore a range of pivotal subjects that can be set to impact the future of garment manufacturing all over the world.
The discussions will be primarily around ideas by which the garment industry can find its footing in a landscape of constant change, driven by technologies like Artificial Intelligence and Big Data. The discussions will also include issues of material costs and flexibility with respect to the garment industry, along with practical approaches for designing and building intelligent enterprises to handle the enormous garment industry of Bangladesh.
Garment factories in Asia have made impressive progress in increasing their industries’ productivity. Under this scenario, concepts like Artificial Intelligence and Big Data can provide an extra edge to the firms over their competitors. Also, to keep material and labor costs low, technology can play a vital role in automating the processes wherever possible.
ThreadSol was established in 2012 and now has offices in Delhi, Bangalore, Jakarta, Colombo, Istanbul, Ho Chi Minh City and Dhaka. It serves more than 120 customers in 15 geographies. ThreadSol solutions – intelloCut and intelloBuy – are currently used by manufacturers in India, Sri Lanka, Bangladesh, Pakistan, Vietnam, Thailand, Indonesia, Turkey, Philippines and China.
Bangladesh textile and apparel companies will launch their own factory inspection and remediation initiative similar to the Bangladesh Accord on Fire and Safety and the Alliance for Worker Safety. A new local-based organization, Shonman, is being set up to oversee worker safety in the Bangladesh garment and textile industry.
Accord recently announced a three-year extension of its tenure in Bangladesh, which has been opposed by garment makers in the country. They say it is unfair for foreign retailers and brands to impose unilateral decisions on worker safety on a sovereign country.
New factories registering after December this year would have to pay for their inspections based upon the square footage of their facility. Arbitrations will be governed by the country's laws and administered by the Bangladesh International Arbitration Centre. Thorough, credible safety inspections of new factories and routine monitoring of old ones shall be carried out by skilled personnel selected by and acting under the direction of the implementation board. From 2021, Shonman would become fully self-financing.
Accord is a legally binding platform formed in May 2013 after the Rana Plaza building collapse with a five-year tenure for building inspection and remediation. Its tenure expires in June next year.
Birla Century Yarn and Century Denim units were sold for a paltry sum of just Rs 2.51 crores ($0.3million) to Wearit Global. In a disclosure under regulations 30 of Securities and Exchange Board of India, Century Yarn and Century Denim units of textile business segment, under B K Birla Group of Companies, the board of directors approved the sale on as is where is basis on August 22, as a going concern, with a lump sum consideration of Rs 2.51 crores. The company had a turnover of Rs 253 crores ($38.92 million) in the financial year ending March 31, 2017. The networth of these companies as disclosed were 25.52 crores ($3.92million).
The rationale for the sale as disclosed was: since operations of Century Yarn and Century Denim were not viable due to their small sizes, it was considered appropriate to sell the units. Sources close to the directors revealed the unit had an asset base of over Rs 300 crores in Madhya Pradesh, including land and machinery but were making losses to the tune of Rs 3 crores ($4 .6million) every month.
Wearit Group, is into textiles, tea and energy business. In textiles, it has manufacturing capacity of approximately 4,000 MT/ month of high quality ring spun yarn from 200,000 running spindles across five state of the art spinning plants in India. Wearit is a recognized export house and exports 70 per cent of its total production to Europe and the United States.
"Textile experts unanimously believe growth will be driven by technical textiles with its widespread applications. Technical textiles used in the highly-specialised aerospace industry are now being tried for consumer applications. To bring this to the world, Messe Frankfurt is partnering with the European Space Agency (ESA) and the German Aerospace Center (GAC) to showcase highly-specialised textiles under its ‘Living in Space’ theme. And as Olaf Schmidt, VP– textiles and textile technologies, Messe Frankfurt, says, technical textiles will aid in future development of space travel and human habitation of nearby planets. Messe Frankfurt is the organizer of the twin Techtextil/Texprocess 2017 fairs in Frankfurt."
Textile experts unanimously believe growth will be driven by technical textiles with its widespread applications. Technical textiles used in the highly-specialised aerospace industry are now being tried for consumer applications. To bring this to the world, Messe Frankfurt is partnering with the European Space Agency (ESA) and the German Aerospace Center (GAC) to showcase highly-specialised textiles under its ‘Living in Space’ theme. And as Olaf Schmidt, VP– textiles and textile technologies, Messe Frankfurt, says, technical textiles will aid in future development of space travel and human habitation of nearby planets. Messe Frankfurt is the organizer of the twin Techtextil/Texprocess 2017 fairs in Frankfurt.
Digitalization is key
It’s the right time to harness the potential of digitalization in textile manufacturing. Michael Jaenecke, Messe Frankfurt, Director of brand management technical textiles and textile processing, points out digitalization has become a buzzword in the apparel industry, with new tools allowing data to flow seamlessly from digital design and development all the way through the supply chain to help garment manufacturers cut costs, improve quality, increase productivity, speed time to market, reduce waste and stay competitive.
Christian Kaiser, a researcher/scientist at the Denkendorf-based German Institute of Textile and Fibre Research, believes digital small factory is the emerging model concept for SMEs. Micro factories typically are about 300 to 400 sq. mt. in size. The micro factory deploys ‘smart machines,’ which perform cutting, sewing, welding, etc. Adidas used these machines for sports shirts. Calling it ‘smart designing’, Kaiser says the machines designed as per our R&D enable savings can cost from €300,000 to €400,000, this being the smallest version of the micro factory. These machines are already available in North America. The Chinese, Swiss, Japanese and Germans are making such machines.
Growing popularity of organic
Big companies like Trevira, Perlon, Polisiik, PHP Fibers, China’s Glory Tang Group, etc, have been producing improved versions of thermoplastic polymers derived from lactic acid. Germany's Institute of Textile Technology at RWTH Aachen University has developed bio-based PLA-fibre blends whose mechanical properties result in lower shrinkage and greater tensile strength compared to the regular PLA. Flame and heat-resistant fibers are also finding space with small companies foraying in this market. Pyrotex Fibers, a small German company, has a patented Pyrotex-engineered acrylic-fiber.
Gerber technology
Visitors at the show were attracted towards Gerber Technology. Peter Morrissey, Senior VP (global sales and services) at Gerber Technology, says the YuniquePLM System enables the customers to easily install and automatically update features through the Adobe Add-Ons Marketplace. As a result, the designers can devote their time to designing new garment pieces. Gerber has also developed the latest Design Suite Plugin, which enhances the efficiency of the operations. Gerber’s Innovative Apparel Show at the Texprocess fair showcased designs created by fashion and design school students of design and fashion schools.
Stäubli’s innovative streak
Swiss company Stäubli offered machinery dedicated to production of technical textiles. Fritz Legler, a senior executive with the company informed weavers who count on Stäubli’s high-performance machinery benefit from features like high reliability and flexibility will be able to take the lead on the market of technical textiles with innovative and creative products for countless applications. The company displayed technical fabrics including spacers and multilayers with variable thickness that have been produced in conjunction with Stäubli products, such as TF weaving systems, dobbies, Jacquard machines, warp drawing-in, or tying equipment.
Stäubli’s Magma T12 warp tying machine has been developed for technical yarn ties monofilaments, coarse multi-filaments, PP ribbons, bast fibres, coarse staple fibres, and many other fibre types. It has been developed for universal application ranging from coarse technical yarns to medium yarn-count range. Its rigid design includes an optical double-end detection system.
The UNIVAL 100 single-end control Jacquard machine offers more benefits for sophisticated technical textiles, such as automotive and aeronautic textiles, technical textiles in the sports, industrial, medical sectors and new fabric constructions, even with glass fibre, carbon and Kevlar. Its new TF weaving system is designed to offer virtually unlimited weaving possibilities, whether for flat, spacer or complex multi-layer fabrics and 3D fabrics.
Jammu and Kashmir is promoting its textile sector especially silk and wool. A silk factory is being upgraded by replacing 44 looms, commissioning of finishing plant, boiler and other machinery.
On completion of the project, silk production at the factory is projected to increase from the current 50,000 meters to five lakh meters annually, taking the total silk production of the state from 2.80 lakh hectares to 6.80 lakh meters a year. The addition of four lakh meters will be of high-end fabric, which will increase the value from Rs 5 crores to Rs 32 crores.
The modernization project is also expected to benefit some 20,000 cocoon growers and other ancillary workers in the Kashmir valley. Most of the cocoon produced locally would be bought here, thereby stabilizing cocoon prices and also raising the demand for more cocoon production in the state.
A woolen mill is also being upgraded with the installation of a high-speed plant, a carding machine, a boiler and rapier looms. With this, wool production in the state is projected to increase from five lakh meters to nine lakh meters a year, with an increase in the value of the high-end fabric from Rs 2.50 crores to Rs 34 crores.
For the second quarter of fiscal 2018 US chain stores Walmart’s total revenue rose 2.1 per cent. Comparative sales also increased 1.8 per cent with a traffic growth of 1.3 per cent, marking the 12th consecutive quarter with positive comparable sales.
Nine of 11 markets posted positive comparable sales. For the reported period, there was a decline of one per cent in net sales at Walmart International. Excluding currency, net sales increased 2.5 per cent.
E-commerce growth at Walmart US remained strong in the second quarter of 2018, with 67 per cent rise in online gross merchandise value for the period. The organic growth was led through Walmart.com. Net sales stood at 60 per cent, as customers continued to respond well to new initiatives and an expanded assortment of more than 67 million stock keeping units.
Customers responded to the improvements in stores and online. Traffic increases at the store level and the e-commerce growth rate were the key highlights. The company is moving faster and becoming more creative as it strives to make every day easier for busy families.
For the period, the American retailer recorded GAAP EPS of $0.96 and adjusted EPS of $1.08. Second quarter EPS included a charge of $0.17 for loss on extinguishment of debt in connection with the company's recently completed debt tender offers.
Tirupur’s textile industry has set a target of exports worth Rs 40,000 crores this year. The industry had to face a series of downs due to: Brexit, demonetisation and GST. In fact, GST has hit all industries hard. In the case of textiles, there were anomalies, especially the 18 per cent tax levied on job work. This was later reduced to five per cent and brought on par with other jobs like dyeing and compacting. Otherwise, the survival of the industry, especially knitwear, would have been a question mark.
Since knitwear industry has to handle cash every week for disbursing wages, operations were hit after demonetisation. But soon Tirupur bounced back following other modes of transaction. The industry fell Rs 4,000 crores short of its target Rs 30,000 crores. But the prime reason was Brexit because the international value of the pound fell by 25 per cent.
Half of the knitwear exports from India are contributed by Tirupur. But in the last five years, domestic business has grown five times faster than exports. This has happened because of a huge rise in demand for dresses. The average Indian changes clothes four times a day.
Apparel Textile Sourcing Canada (ATSC) is being held from August 21 to 23, 2017. There are more than 300 exhibitors from over 20 countries. The exhibition has brought to Canada hundreds of apparel and textile manufacturers from around the world, including China, India, Bangladesh, Pakistan, the US, the UK, Mexico, Colombia, Peru and more.
Through an impressive platform of seminars and sessions at the exhibition, attendees can make global industry connections, and gain the insights needed to navigate the international sourcing process. Featuring a wide range of Canadia-made products soon to be launched in the Canadian market as well as products from Chinese and other international manufacturers, the showcase include latest innovations by industry leaders.
Among the products on display are self-heating winter coats and boot insoles, T-shirts that monitor a person’s heart and breathing, leg bands that measure muscle performance and help prevent injuries, LED-backlit apparel and socks that improve balance.
The show is an unprecedented opportunity for Canadian importers, manufacturers, retailers, designers and small businesses to get a first-hand look at the global fashions, fabrics and textures that consumers will be after in the coming year. ATSC debuted in 2016 with more than 200 booths of merchandise and in excess of 1,800 attendees.
From January to May 2017 Japan saw a 1.98 per cent rise in its import volume. The value of imports fell by 0.54 per cent. During the first five months, both knitted and woven categories recorded a rise in volume terms (2.19 per cent and 1.38 per cent) and a decline in value terms (0.97 per cent and 0.15 per cent) respectively.
China, Vietnam and Bangladesh were the top apparel exporters to Japan among Asian countries. Volume-wise apparel exports from China and Vietnam were up by 0.36 per cent and 12.65 per cent, respectively, whereas Bangladesh’s garment exports dipped 3.95 per cent on a year-on-year basis.
However, in terms of value, China and Bangladesh felt the heat as both countries got lesser prices on exported apparels’ when compared to the corresponding period of last year. The value of China’s apparel exports plunged 2.46 per cent while Bangladesh saw a drop of 5.16 per cent. On the other hand, Vietnam saw an impressive value-wise rise in exports by 10.15 per cent. The year 2017 is projected to remain progressive for Japan as far as clothing demand is concerned.
