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The Department of Industrial Policy and Promotion (DIPP) has sought Rs 4,000 crores from the Union budget for an incentive scheme for the leather and footwear segment designed to boost manufacturing, exports and job creation.
The scheme, on the lines of the special package for the garment industry announced in June last year, will be implemented over a period of three years to FY20-end. The Indian Leather Development Programme (ILDP) ended with 12th Five Year Plan (2012-2017). Since such schemes are now being conceived for three years, the projected expenses are up to 2020, which works out to around Rs 4,000 crore says a senior official.
The package for the labor-intensive garment sector gave garment factories the flexibility to hire contractual workers for a fixed period with ease so that they can meet seasonal supply commitments. The government also raised the overtime work limits to 8 hours per week against the current 50 hours per quarter and said the employees’ provident fund contribution will be optional for employees earning less than Rs 15,000 per month.
Besides, under the scheme, the government bears the entire 12 per cent of the employer’s contribution to the Employees Provident Fund Scheme for new employees in the garment industry, earning less than Rs 15,000 per month for three years. Job creation under the scheme has been at a slow pace so far, due to administrative glitches and lack of enthusiasm in sections of the industry.
According to sources the package for the leather industry has similar components. DIPP is now awaiting comments from the ministries concerned such as the ministry of skill development and entrepreneurship, ministry of environment, forest and climate change and ministry of water resources, on the leather scheme.
The ILDP is aimed at augmenting the raw material base through modernisation and technology upgradation of leather units, addressing environmental concerns, human resource development, supporting traditional leather artisans, addressing infrastructure constraints and establishing institutional facilities.
Following Toronto’s business mission to India and Sri Lanka, led by Toronto mayor John Tory, organizers of Canada’s largest apparel and textile sourcing show, Apparel Textile Sourcing Canada (ATSC), have announced the unprecedented participation of a large South Asian delegation at the upcoming event from August 21-23.
Jason Prescott, CEO of JP Communications says around 25 per cent of this year’s ATSC show will be dedicated to exhibits from South Asian apparel and textile manufacturers, with India taking a leading role. Prescott further added that ATSC 2017 will foster unparalleled business connections between local Canadian companies and leading South Asian producers of apparels and textiles who see tremendous opportunity for collaboration with the Canadian industry.
Chandrika Behl, Director, Exhibitions India Group points out globally, India enjoys high demand for its textiles and apparel, and that’s why the country has emerged as the world’s second largest textile and apparel exporter and they forward to forging strong relationships with the Canadian market.
Since 2011, Canadian apparel imports have steadily increased 8.3 per cent annually on an average to touch $14 billion in 2016. ATSC debuted in Toronto in August 2016 with more than 200 booths with more than 1,800 attendees. The Canadian event has since announced a 50 per cent expansion of the show for its second edition. This year, the event will feature at least 300 displays from more than 20 countries.
Prescott explained that the first of its kind apparel, textile and fashion event in Canada, ATSC was introduced to aid Canadian businesses to connect with international suppliers on their home turf. At present Canadian companies have the luxury of staying locally and avoiding expensive and unnecessary international travel says Prescott
Morocco is one of the main players in the African textile industry. Incorporating fresh textile strategies, Moroccan jeans producers are embracing technology. Morocco’s fashion-forward goal for 2025 is to have a denim sector that is 100 per cent sustainable. The Moroccan textile industry represents nearly seven per cent of the country’s GDP.
The country’s denim producers want Moroccan denim to be more present in the international market, where it is not present today. They have created a cell of innovation and development to make this industry less polluting and cleaner. Moroccan Denim Cluster, comprising Moroccan denim manufacturing companies, works toward improving the brand image and reputation of the Moroccan denim industry and casual wear through better positioning and stimulating innovative collaborative projects in this area.
The New Wash Group has created Koala, a line of fashionable jeans, using inventive means. Environmental responsibility is a priority, while sustainable jeans are the goal. Jean fabrication is a very polluting industry. To raise awareness of the importance of producing clean denim, the Moroccan Agency for the Development of Investments, in collaboration with French designer François Girbaud, has launched Cleaning the Planet, a collection that proposes 100 per cent Moroccan solutions to denim brands. It focuses on an ecological path by recycling denim and using laser technology.
Marks & Spencer Group has picked up head of UK car-parts seller Halfords Group to turnaround its struggling clothing business, handing one of the industry’s toughest tasks to a fashion novice. Jill McDonald will start at the apparel giant in autumn, having resigned from Halfords after just two years in the job, the companies said in separate statements.
In her new role, McDonald will be responsible for turnaround plans at a division that showed signs of revival during the Christmas season after a five-year sales slump. Having previously worked at the McDonald’s fast-food chain and British Airways, she brings little experience of the apparel market, though some analysts said that may not count against her.
The surprise move had little impact on Marks & Spencer shares, which fell 0.7 per cent in early London trading. Halfords dropped 3.2 per cent. The appointment concludes a yearlong search by Marks & Spencer Chief Executive Officer Steve Rowe, who has continued to lead the clothing business he ran before being promoted to group CEO in April last year. The company was said to have offered the job to former next Plc star Christos Angelides prior to his appointment as head of UK fashion chain Reiss earlier this year.
Michelle Wilson, an analyst at Berenberg, wrote in a note that Marks & Spencer key issue in clothing and home stems from its slow and unresponsive supply chain, and given McDonald’s limited experience in this area, the reason is definitely positive.
The news represents a setback for Halfords, coming two years after former CEO Matt Davies was hired by supermarket giant Tesco Plc to head its UK grocery business. Halfords further said it expects results for the year through March to be in line with analyst estimates.
Iran has granted 30 international garment producers to do business in the country, following new regulations introduced to restrict importing garments. The head of Tehran’s Union of Garment Manufacturers and Sellers, Abolqasem Shirazi, confirmed that under the new regulations producers must make 20 per cent of the total value of their output inside the country, IRIB news agency reported. However, Shirazi did not provide further information on the brands.
Iran customs administration recently barred individuals from importing clothing items into the country. According to Iran customs administration, only registered firms or their representatives are entitled to import garment. Iranian sources suggest the country’s per capita garment consumption stands at 147 per year and foreign companies share of the 11.5 billion market is about 2.5-3 billion.
Almost 1,500 industrial units and 30,000 employees are involved in the countrys clothing sector with a capacity for producing 340,000 tons of garments per year. About 90 percent of items offered in clothing market are smuggled into the country. The economy of Iran is a mixed and transition economy with a large public sector.
India has invited leaders of Bangladesh's textile and knitwear industry to attend the upcoming Textiles India 2017. This is a mega trade event for the textile and handicraft sectors and will showcase the entire range of Indian textile products from 'Farm to Fiber to Fabric to Fashion'. According to the Indian high commission to Dhaka, the event will be held in Gandhinagar of Gujarat from June 30 to July 2 and will be inaugurated by Prime Minister Narendra Modi.
A delegation comprising chairman and vice-chairman of the Synthetic and Rayon Textiles Export Promotion Council (SRTEPC) of India visited Dhaka in this regard. They held meetings with senior members of the Bangladesh Garments Manufacturers and Exporters Association (BGMEA) and Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) to invite them for the event.
Textiles India 2017 will also provide an opportunity to the participants to hold B2B meetings with around 2500 international buyers, international and Indian exhibitors, and 15000 Indian buyers. Over 33 round-tables will also be held on issues of concern for the various segments of textiles and handicrafts on the second day with prominent international speakers and industry leaders.
For the first quarter ended April 1, 2017, net sales of Hanes Brands increased 13 per cent. Sales for active wear and international segments increased, while sales decreased as expected for the innerwear segment and manage-for-cash businesses.
Hanes Brands is a global marketer of everyday basic apparel under world-class brands. Q1 operating profit decreased one per cent and EPS decreased ten per cent. Adjusted operating profit increased nine per cent and adjusted EPS increased 12 per cent.
Sales from acquisitions more than offset the decline in organic sales. Organic sales decreased four per cent. Categories and businesses that posted organic sales growth included Champion in the United States and Asia, US men’s underwear and the US online channel. The online sales channel in the United States accounted for ten per cent of domestic sales compared with nine per cent in the year-ago quarter.
The company realigned its reporting segments in Q1 to reflect the new model under which the business will be managed and results will be reviewed. The former Direct to Consumer segment, which consisted of outlet stores, the legacy catalog business and retail internet operations in the United States, was eliminated. Last year, the online channel represented eight per cent of US sales, up from seven per cent the year before.
A key focus for Coats, an industrial thread and yarn manufacturer, is harnessing talent and technology in textiles. Coats Synergex is a range of revolutionary composite fibers with high levels of hybrid fiber integrity and performance that can be processed into fabric form and used to mold strong, but lightweight, parts for industries including automotive and aerospace.
Coats Magellan is being used in resistive heating: by passing a current through the yarn and conductive material it can heat a surface area. Coats Magellan is a range of futuristic smart yarns that can be used in cutting edge textile technology including RFID; by integration in a tag it can send signals to a phone.
Coats Aptan XTRU and Gral XTRU are engineered yarns designed to be braided into a protective cover over wiring harness systems used in heavy vehicles and machinery. They can withstand contact with chemicals and fuels as well as extreme mechanical stresses. About a year back, Coats acquired Gotex, a Span-based company which designs and manufactures high performance fibers, yarns and tapes used in the telecommunications, energy and oil and gas sectors.
Coats will showcase some of these products at Techtextil, Germany, May 9 to 12
Not a single global fashion brand is really transparent about its supply chain.This is among the findings of Fashion Revolution, a campaign group, which reviewed and ranked 100 of the biggest global fashion and apparel brands and retailers. Out of a possible 250 points Adidas and Reebok scored highest with 49 points, Marks & Spencer and H&M scored 48 and Puma, Banana Republic, Gap and Old Navy score 46 points.
These brands represent a cross section of market segments including high street, luxury, sportswear, accessories, footwear and denim from across Europe, North America, South America and Asia. They were asked to disclose information about their suppliers, supply chain policies and practices.
A little more than 30 of the 100 brands publish their supplier lists - at least at the first tier where clothes are typically cut, sewn and trimmed. This year 14 out of the 100 brands are also publishing their processing facilities where clothes are dyed, printed, laundered and otherwise finished at an earlier stage of production. But no brand publishes its raw material suppliers, so there is no way of knowing where cotton, wool or other fibers come from or who produces them. Wholesalers, agents and distributors play profitable roles in the clothing industry that the public doesn't really see.
"The Blue Jeans Go Green™ program, a denim recycling program in its 11th year, launched by Cotton Incorporated in 2006, gives new life to old denim — a fabric made of cotton — by recycling and converting it into UltraTouch™ Denim Insulation. While the product sells in the US at stores like Home Depot and Lowe’s, a portion is distributed each year to organizations like Habitat for Humanity to help communities in need. So far, more than 250,000 sq. ft. of the natural fiber insulation has been distributed to such programmes. "
The Blue Jeans Go Green™ program, a denim recycling program in its 11th year, launched by Cotton Incorporated in 2006, gives new life to old denim — a fabric made of cotton — by recycling and converting it into UltraTouch™ Denim Insulation. While the product sells in the US at stores like Home Depot and Lowe’s, a portion is distributed each year to organizations like Habitat for Humanity to help communities in need. So far, more than 250,000 sq. ft. of the natural fiber insulation has been distributed to such programmes. As Jonathan Greller, President, Saks OFF 5TH says, this partnership was a natural fit for them allowing them to give back to the community and, at the same time, deliver a service to customers that reward them as well.
Cotton Incorporated teamed with Bonded Logic, a Chandler, AZ based insulation company to manufacture the product, which contains 80 per cent post-consumer recycled content. Bonded Logic has more than 35 years experience designing and creating natural fibre insulation products. To date, the company has produced 2.7 million sq. ft. of insulation from recycled denim — enough to line 46 football fields.
Ultratouch technology
Bonded Logic maintains its product is good both for the environment and homeowners. Traditional insulation manufacturers consume considerably more energy while creating additional unwanted pollution and landfill waste, the company states. UltraTouch™ contains zero VOCs (volatile organic compounds), has no off-gassing concerns and lacks the formaldehyde of traditional insulation products. With UltraTouch™ the structure is well insulated, maximising HVAC efficiency, creating a healthy space to live and work.
Natural cotton allows the insulation to provide maximum thermal performance as well as sound absorption. The insulation is also fire- and mold-resistant, made from denim that has already served its purpose and would normally be thrown out. Through the program, Cotton Incorporated has helped collect more than 1.5 million pieces of denim — enough to make a denim path the length of California. Collecting this denim has diverted from landfills approximately 750 tonne of textile waste, akin to the weight of almost 400 cars.
Partners in progress
In its effort to reduce, reuse, and recycle denim, Cotton Incorporated has worked with a number players to make it easy for consumers who want to donate their worn denim pieces. Partners included colleges — including the University of Kentucky, James Madison, and Quinnipiac –NASCAR and multiple retailers. Madewell began partnering with the program in 2014 and has since collected over 155,000 pieces of denim. The retailer is participating again this year, allowing shoppers to recycle their ‘pre-loved’ jeans, and handing them $20 discounts for a new pair. Shoppers can bring their old jeans into any of Madewell’s stores year round, and the retailer sends them all to the Blue Jeans Go Green™ program. By the end of 2017, Madewell is dedicated to collecting 200,000 pairs of denim to be recycled through the program.
The average American owns seven pairs of jeans and seven pieces of denim, according to the Cotton Incorporated Lifestyle Monitor™ Survey. That could translate into a lot of disposed denim. And 1,600 pieces of recycled denim diverts roughly one tonne of waste from a landfill. The Council for Textile Recycling says charities sell just 10-20 per cent of the clothes donated to their locations. They are left with billions of pounds of unsold clothes that they can sell for salvage to professional recycling firms. These firms separate the wearable pieces that can be exported to other countries as secondhand apparel. Another portion is converted into reclaimed wiping rags. And the rest is recycled for home insulation, carpet padding and raw material for the automotive industry. Still, the council says the rate of textile recycling is just 15 per cent.
In 2009, the Blue Jeans Go Green™ program earned the record for the ‘Most Items of Clothing Collected for Recycling’, with 33,088 pieces of denim. The next year, a grant program was established to give architects, builders and project developers the opportunity to apply for contributions of insulation for civic-minded buildings. Four years later, the program celebrated recycling the one-millionth piece of denim.
