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Remediation work of the country's garment factories is unlikely to be completed within the stipulated timeframe as 77 per cent of safety flaws in these factories have so far been fixed, says Accord. Some 1,655 factories are covered by Accord while 1,360 are behind schedule.
Rob Wayss, Executive Director and Acting Chief Safety Inspector of Accord stated there is wide consensus among signatories to the Accord brands, the global apparel companies in the retailers, global unions and its local affiliates that the work of Accord will not be completed by June 2018. The progress related to capacity of the social partners and to regulate safety in the industry will still be inadequate.
Looking beyond 2018, apparel brands and retailers and unions are discussing how to best ensure safety regulations and safety rights in RMG industry are adequately upheld developed. About 77 per cent of the initially identified fire, electrical and structural flaws, assessed by the Accord engineers, has been remediated and more than 400 factories have completed 90 per cent of their remediation work, Joris Oldenziel, head of public affairs at the Netherlands office of Accord, commented while presenting the progress paper. He further added saying that the Accord remediation fund will provide qualified suppliers with access to direct funding for 50 per cent of remaining remediation costs for covered factories with no current Accord business and this support is limited and will be implemented on a 'first come, first served' basis.
As Accord approaches its final year, a major focus will be to establish safety committee and safety training program as many as possible and effectively address safety complaints filed at factory safety committees or through its safety complaint mechanism.
Cambodia’s economic growth is forecast to continue at a healthy seven per cent for 2017-2018. Strong garment exports and from agriculture industries are at the heart of the positive outlook. Readymade garments account for about 80 per cent of the country’s total exports.
Cambodia’s exports are expected to expand 11 per cent this year, outpacing import growth at nine per cent while tourism revenues should remain strong this year and next year. The strong economic situation is due to rising number of tourist, a steady increase in foreign investment, higher consumer spending due to an increase in minimum wage for workers in the garment industry, and a decline in poverty.
But there is a need to ensure transparency and accountability, which in turn eliminates corruption in social and public affairs, and makes for continued stable economic growth. However, Cambodian exporters need to diversify from their current focus on the European Union. Brexit and the EU’s ongoing economic instability could endanger Cambodian businesses. Domestic risks stem from vulnerabilities in the financial sector, partly traceable to its rapid expansion, in particular the proliferation of microfinance institutions. There is a need to lower the cost of doing business and improve productivity growth and competitiveness.
Ethiopia is aiming to generate $30 billion from export of garment and textile by the year 2025. This is an ambitious target for a country whose shipments are only $115million now. This is the first time Ethiopia, spelled out its vision in such detail. However, it is not the first time for the government to look to the textile and clothing supply chain as one of the country’s key targets for growth.
According to Arekbe Oqubay, Special Advisor to the Prime Minister, the plan will transform Ethiopia to a compelling new sourcing hub for brands, retailers and their suppliers. Oqubay further explains by 2025 the company wishes to make Ethiopia the leading apparel and textile manufacturing hub in Africa capable of exporting up to $30 bn. It is a challenge, and they believe if Vietnam can do it, if Bangladesh can do it, Ethiopia can do it even better.
Oqubay until 2010 the prime focus was on agriculture, an even in the last 5 years it has been in transition. Also, the company is looking for manufacturing then apparel and textiles is top priority because it’s the largest employing industry, and also the international market is significant: every household requires apparel and textile products.
The target set is 300 fold rise in shipments within eight years. Back in 2015, the country’s annual export for clothing was $73.25 million. This shows what the Horn of Africa nation is up against.
"Attracting over 825 exhibitors from over 25 countries and regions, including Mainland China, Hong Kong, Taiwan, Japan, Indonesia, Germany, France, Italy, Israel and Columbia, SIUF, held from April 19 to 21, 2017, garnered tremendous response. Spread across 73,000 sq. m. in six halls, the show presented global brands, suppliers, manufacturers in the intimate apparel industry, hosting around 130,000 visitors. As per the organizers, the show garnered in a total turnover of 5.3 billion Yuan, growing at 12.8 per cent, compared to last year."
Attracting over 825 exhibitors from over 25 countries and regions, including Mainland China, Hong Kong, Taiwan, Japan, Indonesia, Germany, France, Italy, Israel and Columbia, SIUF, held from April 19 to 21, 2017, garnered tremendous response. Spread across 73,000 sq. m. in six halls, the show presented global brands, suppliers, manufacturers in the intimate apparel industry, hosting around 130,000 visitors. As per the organizers, the show garnered in a total turnover of 5.3 billion Yuan, growing at 12.8 per cent, compared to last year.
The vibrant cultural program encompassing fashion shows, design contests, awards, trends forum and super model contests, showcased the best of China's lingerie and apparel trends. A wide range of fashion shows by Embry Form, Invista, Rui Fashion, Oleno, Muse’s Allure, ‘JiXiangZhai’ were orgained. The highlight was the ‘SIUF 2017 Super Model Talent Competition’ which saw 36 super models from all over the world. The jury included show directors of Victoria’s Secret Fashion Shows, Hamish Hamilton (2003-2015) and Rene Celestine (2016), Chinese singer, Weiwei Tan, Jos Berry, Founder of Concepts Paris, Francesca Spinetta, CEO of Intima Group and Jason Paul McCarthy, Director of AAS at Parson School of Design.
Trendsetting discussion on topics encompassing material to distribution around underwear industry took place with at the ‘China international underwear summit’. In depth analysis on topics like ‘new materials, technology and new trends’, ‘transformation innovation connection’ and ‘how e-commerce can help your business grow’ were discussed to support all industry players in growing business and exploring new market.
The organisers
“It was wonderful to celebrate this milestone of 12 years of SIUF. When we look back on the market changes over the past decade we are encouraged about the challenges ahead for the next decade with value, technology and sustainability at the forefront. We will carry on with our expertise in the intimate apparel industry to build bridges across the whole supply chain,” said Fengwei Zhang, CEO, Shenzhen Shengshi Jiuzhou Exhibition, Founder of SIUF. SIUF 2017 was supported by Shenzhen Underwear Association (SUA), Guangdong Province Textile Association, China Knitting Industrial Association, Xinyi Foundation, Taiwan Textile Federation, HKIAIA as well as Gesamtmasche.
The joint trade fair SIUF, also known as ‘China (Shenzhen) International Brand Underwear Fair & Shenzhen International Underwear OEM / Materials and Fabrics Fair’, has been the most influential fairs in Asia. SIUF 2018 will be held from April 19 to 21 at Shenzhen Convention and Exhibition Center.
International Knit Fair (IKF) will be held in Tirupur, May 10 to 12, 2017. This is a knitwear trade fair showcasing the spring/summer 2018 clothing line, IKF will showcase end-to-end products pertaining to the knitwear segment. The fair will present the capabilities of knitwear makers from India.
Participants will display their collections including pullovers, cardigans, dresses, skirts, hooded T-shirts, shorts, pajamas, ensembles, blouses, golfing polo shirts, inner wear, boxers, shorts, night wear and leggings apart from an extensive collection of cotton blended garments for men, women, children and babies.
The share of Tirupur knitwear exports in India’s total garment exports is 20 per cent. More than 80 per cent of the industries in this sector are medium and small scale. Exporters want a one-time long term initiative to be undertaken to uplift the skill proficiency of existing laborers in order to increase productivity at par with competing countries and at the same time reduce waste.
Exporters also feel this is the right time for the knitwear sector to capture the market that’s leaving China, due to an increase in cost of manufacturing. If the opportunity is missed, the market would be captured by competing countries like Bangladesh, Vietnam, Indonesia and Cambodia.
The Global Fashion Agenda, in collaboration with The Boston Consulting Group, published a ground-breaking in-depth assessment of the fashion industry's environmental and social performance the first edition of the Pulse of the fashion industry report. The findings will be presented at this year's Copenhagen Fashion Summit (CFS), to take place on May 11, at the Copenhagen concert hall.
In the past decade, the global fashion industry has been an engine for global development and made progress on sustainability. Awareness is growing and individually, companies are optimizing business practices to limit their negative impact. But with current trajectories of production and consumption, pressures on natural resources and social conditions will intensify by 2030 to the point of threatening industry growth itself.
The Global Fashion Agenda has made an in-depth assessment of the industries environmental and social performance it offers the first comprehensive common fact base on the health of the industry with a "Pulse Score" by type of company, size, region and stage in the value chain.
Improving its environmental and social performance would not just advance the industry's commercial prospects, it would also add as much as €160 billion by 2030 in annual value to the world economy. To point the way toward a better fashion industry, the Pulse of the fashion industry report lays out the "Landscape for Change." Yet it also shows that even if most of the industry implemented today's best practices individually, it would not be enough to capture this value and close the gap.
The industry can move beyond fragmented individual actions with incremental results. Through collective efforts the industry can unite around an agenda for change, drive the needed systemic change and work jointly on disruptive innovation.
The fashion industry has a clear opportunity to act differently, pursuing profit and growth while also creating new value for society and therefore for the world economy. It comes with an urgent need to place environmental, social and ethical improvements on management's agenda.
Indorama Ventures’ net profit for the first quarter 2017 has risen eight per cent compared to the same period last year. On a year-on-year basis, production was up by 24 per cent and sales revenue was higher by 25 per cent. Core EBITDA for the company grew by 60 per cent.
This change in the quality of earnings is a reflection of the strategic fit of the company’s acquisitions of selected portfolios. The quarterly performance benefitted from expanded margins from successful integration of the high value added and other assets acquired in 2016.
Diversification into high value added assets, which now accounts for 50 per cent of overall core EBITDA, has enabled the company to deliver robust earnings on a sustained basis. The high value added business is further segmented in three distinct and high-growth industry verticals, namely automotive, hygiene and industrials.
Indorama Ventures is a leading chemical producer and had a strong start to 2017 performing very well on all of its key performance indicators. It continues to outperform and deliver industry-leading performance despite continuing industry over-capacity. Robust earnings and significant EBITDA growth in the quarter and last 12 months is a reflection of the successful deployment of its focused strategies of earning diversification, growth in key geographies and value-enhancing integration.
Deakin University researchers have come up with 'circular denim' to reduce the huge environmental impact of denim production. As a part of their entry into the Global Change Award, they developed a unique process that produces ultrafine particles from used denim, and then coats or prints the colour particles to create typical denim appearance.
The Global Change Award, an initiative of the H&M Foundation gave $1 million seed funding to five winning teams that promote sustainable fashion. Xungai Wang, Rangam Rajkhowa, Nolene Byrne, Christopher Hurren and Rebecca Van Amber have developed the 'circular denim' concept that was awarded $150,000 to take their idea to industry. The team was one of five winners, out of a total of 2885 entries from 130 countries, to share in the prize.
As per Want, the team had already developed a successful prototype and the Global Change Award grant would be used to scale up the idea and work with denim producers and fashion brands to explore its potential for the fashion industry and the environment. He further added denim was the single largest apparel item on the fashion market and traditional denim production had serious environmental impacts. Denim recycling is a huge issue worldwide and currently, old denim products are dumped in landfills, and dye run-off from denim production can pollute local water supplies.
This process is unique in that it not only recycles the fibres but also the dye, says Wang, adding that if necessary, the colour of the fine particles can be enhanced or changed easily before the coating or printing process, providing new fashion opportunities for consumers.
Chic autumn will take place in China from October 11 to 13, 2017. The main focus will be on spring/summer collections. Italy and France will put up pavilions. Chic autumn expects around 800 exhibitors from China and other Asian nations, as well as from Europe and America.
Chinese consumers are becoming more selective and individual. And there is a strong trend of trading up in their buying behavior. Instead of mass production, they prefer premium products. And Chinese like to shop online. China is the world’s largest e-commerce market. Retail in China is changing and increasingly merging with entertainment. Two thirds of Chinese go shopping with their family or friends. Shopping malls are shopping and leisure temples: fashion combined with entertainment like arts and educational spaces as well as with food and beverages.
Chinese designers are becoming edgy and experimental. Masculine and feminine elements are merging in oversized silhouettes and relaxed fits. Gender dynamics are the core concept behind the texture aware collection combining furry sweaters with nylon pants and corduroy jackets.
Second and third tier cities are expected to be the source of the country´s rapid growth. While first tier cities account for only nine per cent of China´s population, about 300 million people are living in smaller cities. Consequently, they are a focus of international business and already dispose of an interesting retail landscape.
The readymade garment industry in Bangladesh will have to focus on three key elements: positive promotion of branding, technological capability and interest of economy, say experts. There was a shortage of capacity in the readymade garment industry but now the situation has changed as there are technologies available. At present the country has only a six per cent share of the global market in readymade garments. It is looking to have a bigger share. Machinery and technology have to be modernized.
Since online selling and buying has increased in the global market, 96 per cent of the goods being bought are being bought at a discount or bought with different offers. As a result, buyers are unwilling to pay more to suppliers. With the recent fluctuation of different currencies, the country has to take measures to keep the value of its currency stable.
Spain has a much higher cost of labor than does Bangladesh but has still managed through the use of technology to be competitive in the clothing industry. Similarly Italy and Mexico use technology to reduce the cost of production of their products. Bangladesh has a goal of doing $50 billion in readymade garment exports by 2021.
