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Federico Pellegata has ascended to the position of General Secretary of Cematex, succeeding Cornelia Buchwalder. The European Committee of Textile Machinery Manufacturers extends gratitude to Buchwalder for her professional and competent service.
Pellegata's nomination by the Cematex Board of Directors on April 11, 2024, marks a transition from his prior role as CEO of Acimit Servizi after a longstanding tenure on the Cematex Executive Committee.
Cematex, representing Europe's textile machinery associations and the proprietor of ITMA, the globe's premier textile machinery exhibition since 1951, faces forthcoming challenges under Pellegata's leadership.
Notably, he will oversee four major events, commencing with ITMA Asia + CITME in Shanghai from October 14 - 18, 2024. Subsequent exhibitions include ITMA Asia + CITME Singapore (2025), and ITMA Asia + CITME in Shanghai (2026), culminating in ITMA in Hannover (2027).
Ernesto Maurer, President of Cematex, expresses confidence in Pellegata's ability to advance the industry's exhibition leadership, emphasizing a commitment to digital innovation. Pellegata's extensive experience is poised to fortify the sector's global standing.
Frasers Group plc (FG) has finalised an agreement to acquire specific intellectual property assets from esteemed online fashion retailer, Matches Fashion. This strategic move follows an extensive marketing endeavor facilitated by the Joint Administrators overseeing Matches Fashion.
Under the terms of the agreement, FG has extended a license to the Joint Administrators, allowing them to oversee the sale of Matches Fashion's inventory for a limited duration, ultimately serving the interests of the administration.
Frasers Group emphasises that while the acquisition encompasses vital intellectual property assets, the existing stock held by Matches Fashion does not fall under the purview of this transaction. It reiterates that the joint administrators will continue to manage all operational facets of Matches Fashion to safeguard the interests of the administration, assuring brands and suppliers of seamless continuity in business operations.
Retailers across the United States are being compelled to shutter their brick-and-mortar stores, with major brands like Walmart and Dollar Tree attributing these closures to unsustainable business models.
In 2024 alone, around 1,290 stores have either closed their doors or are slated for closure. Around 169 stores shut down in the last week of April. Among the hardest-hit sectors are supermarkets and fashion brands.
Express, a prominent clothing company announced the closure of 95 stores. Soon, 33 Foxtrot stores followed suit on April 23.
Meanwhile, Urban Outfitters revealed plans to close seven stores, including its decade-old Williamsburg location. Walmart, too announced the closure of one of its Neighborhood Market stores in Milwaukee, citing challenges in profitability, especially for smaller urban stores.
As the retail industry navigates these challenges, it's clear that adapting to changing consumer behaviors and economic realities is essential for survival in today's market.
Cotton Council International (CCI) hosted an event at the International Convention City Bashundhara in Dhaka to discuss the apparel sector's evolving commitment to sustainability, particularly through initiatives focused on traceability and circularity. The event highlighted both progress and challenges in this transformative journey
Acknowledging the momentum toward sustainability, speakers at the event emphasised the importance of aligning with legislative initiatives and industry targets. Amit Gautam, CEO and Founder, Textile Genesis, underscored the significant regulatory shifts driving the industry towards greater accountability and transparency. He outlined key drivers such as regulatory compliance, responsible sourcing goals, and the imperative to authenticate product claims, all aimed at mitigating supply chain risks.
Melissa Bastos, Director- Corporate Strategy and Insights, Cotton Incorporated, shared insights from the 2023 Industry Circularity Survey, revealing a growing consumer awareness of circularity concepts. However, she also noted challenges in expanding circularity initiatives, including cost implications, implementation complexities, and the pricing dynamics of recycled materials.
The discussion reflected a collective commitment to advance sustainability practices, with voices from various stakeholders, including Ali Arsalan representing CCI in Bangladesh, Stephanie Thiers-Ratcliffe from Cotton Council International, and Arif Razzaque from Kiabi International Supply Services Ltd, Bangladesh, etc.
Micro, Small, and Medium Enterprises (MSMEs) are the lifeblood of the Indian economy. A new study by Borzo, a global intra-city delivery service, sheds light on the operational dynamics of these dynamic businesses and the evolving landscape they navigate. The study highlights:
• Since last year, 56 per cent MSMEs have experienced a business growth of 20-30 per cent, debugging slowdown debate.
• Average shipment value of MSMEs is Rs 1.4 million per month
• Customer acquisition, recruitment, packaging and inventory management are the biggest pain points faced by MSMEs
Entrepreneurial spirit at the helm
The survey reveals a strong entrepreneurial spirit within MSMEs, with nearly three-fourths (74 per cent) being owner-driven. This reflects the dedication and risk-taking appetite of individuals who are the driving force behind these businesses. However, MSMEs face a multitude of challenges. Customer acquisition (16 per cent) and recruitment (13 per cent) top the list, highlighting the need for innovative marketing strategies and talent acquisition practices. Additionally, concerns around financing (5 per cent), packaging (12 per cent), and inventory management (11 per cent) pose significant operational hurdles. Borzo's initiative, Borzo Connect, a large-scale MSME conference, aims to address these concerns by connecting entrepreneurs and offering solutions.
A thriving ecosystem
The survey underscores the dominance of intra-city deliveries, with nearly half of MSMEs reporting over 70 per cent of their orders staying within the same city. Major metros like Mumbai, Delhi, and Bangalore are key hubs, with Tier II and II cities like Vadodara and Nagpur emerging as potential growth markets. Interestingly, the product categories are diverse, with food & beverages leading the way (23.1 per cent), followed by apparel & fashion (13.6 per cent). A significant portion (31.5 per cent) operates through both retail and online channels, showcasing a multi-channel approach that caters to a wider customer base.
While the debate on quick commerce with 10-minute deliveries rages on, the study reveals a preference for speed with a quality focus. A majority (59 per cent) of MSMEs prioritize delivery within 60 minutes, underlining the importance of meeting customer expectations and ensuring timely deliveries. Additionally, 72 per cent value both speed and quality for a seamless customer experience. This highlights the understanding that speed alone doesn't guarantee customer satisfaction.
Financial performance and growth indicators
The average monthly shipment value for MSMEs is approximately Rs 1.4 million. Notably, over 95 per cent of MSMEs reported an increase in shipment value compared to last year, with a majority (56 per cent) experiencing a growth of 20-30 per cent. This indicates a positive trend and potential for further expansion. Interestingly, only 21.4 per cent of MSMEs reported a business slowdown, suggesting the sector's resilience despite broader economic concerns.
Sustainability and embracing technology
The survey highlights a positive shift towards environmental responsibility. A staggering 66.6 per cent of MSMEs have adopted sustainable packaging materials like bagasse boxes and cloth bags. This growing focus on eco-friendly practices reflects a responsible business approach. Moreover, a high adoption rate (85 per cent) of supply chain automation suggests that MSMEs are embracing technology to enhance efficiency and scalability in their operations.
Collaboration and support for continued growth
The Borzo reveals a dynamic MSME sector in India. While challenges persist, these entrepreneurial businesses are demonstrating a willingness to adapt and innovate. By addressing pain points like customer acquisition and financing, fostering collaboration through initiatives like Borzo Connect, and promoting sustainable practices, stakeholders can empower MSMEs to thrive. Also, robust logistics assistance, catering to the diverse delivery needs of MSMEs across various cities, will further boost their expansion.
Thus, India's MSMEs are a powerful engine of growth and innovation. By recognizing their challenges and providing the necessary support, stakeholders can ensure that these businesses continue to be the backbone of the Indian economy. Entrepreneurial spirit, willingness to adapt, growing focus on technology and sustainability position MSMEs towards a bright future, propelling India's economic journey forward.
Sandra Stangl, President and Chief Executive Officer, Banana Republic is stepping down from her position. Having led the US apparel firm for just over three years, Stangl tasked with the responsibility of reviving the brand’s declining sales.
However, she failed to achieve this as in Q4 FY23, the net sales of Banana Republic declined by 2 per cent to $567 million compared to the previous year, with comparable sales declining by 4 per cent.
During Stangl's tenure, the brand ventured into new territory by launching a line of furniture and homeware, aiming to position itself as a lifestyle brand.
Announcing the leadership transition in an internal memo, Richard Dickson, President and CEO, Gap Inc, the parent company of Banana Republic, Stangl's efforts in elevating Banana Republic's aesthetic and expanding into new product categories. Dickson emphasised on the need to focus on revitalising the brand's fundamentals to drive both relevance and revenue.
Dickson expressed commitment to working closely with Banana Republic's leadership team to achieve the company's fiscal goals for 2024. Highlighting the upcoming discussion at the Banana Republic Town Hall, he emphasised on the importance of maintaining a vibrant company culture.
A prominent company known for its high-quality footwear and apparel, Rocky Brands recorded a 2.2 per cent increase in net sales, reaching $112.9 million during Q1 FY24 compared to $110.4 million in the same period last year.
While the company’s wholesale sales declined from $80.1 million to $79.8 million, retail sales grew by 3 per cent to $30.4 million from $29.5 million in Q1 FY23.
Additionally, there was a notable surge in contract manufacturing sales, including military contracts and private label programs, rising from $0.9 million to $2.7 million.
The company’s gross margin for the quarter was $44.1 million, representing 39.1 per cent of net sales, slightly lower than the 39.6 per cent recorded in the previous year. Operating expenses decreased significantly to $36.2 million, constituting 32 per cent of net sales, down from $39.6 million or 35.9 percent previously. This reduction in expenses led to an increase in income from operations to $8.0 million, or 7.1 per cent of net sales, a substantial improvement from $4.2 million or 3.8 per cent of net sales in Q1 FY23, as highlighted in the company's press release.
Net income for the quarter amounted to $2.6 million marking a significant turnaround from a net loss of $0.4 million in the previous year. Adjusted net income also showed improvement, reaching $3.1 million, compared to a net loss of $0.8 million in Q1 FY23.
Inventory levels at the end of March 2024 were reported at $165.1 million, indicating a notable decline of 26.3 per cent from $224.1 million a year ago, and a slight decline of 2.4 percent from $169.2 million at the end of December 2023.
Jason Brooks, Chairman, President, and CEO, states, the company’s first quarter performance reflects a strong start to the year. Cost-saving initiatives implemented throughout 2023 allowed Rocky Brands to allocate a higher portion of its spending towards advertising programs, resulting in stronger-than-expected growth and significant expense leverage.
American Association of Textile Chemists and Colorists (AATCC) strengthens its commitment to the textile community by sponsoring and presenting at the Southern Textile Research Conference (STRC) from May 19-21 in Myrtle Beach, SC, USA. As a Bronze Sponsor, AATCC underscores its dedication to fostering innovation and sustainability within the industry.
Under the theme "Emerging Material Technologies and Processes," AATCC's involvement is particularly pertinent. Diana Wyman, AATCC's Executive Vice President, will deliver a keynote titled "Measuring UV Protection for Apparel Fabrics" on May 21. With a robust background in textile test method development and extensive industry engagement, Wyman's expertise promises valuable insights.
The STRC serves as a vital platform for textile stakeholders to converge, exchange ideas, and explore evolving industry trends. Attendees can anticipate dynamic discussions and networking opportunities, illuminating the path toward a progressive textile landscape. AATCC's participation underscores its pivotal role in advancing the sector's collective knowledge and sustainability endeavors.
Led by Md Rizvan Riasat Aurko Director, AR Jeans Producer was conferred with the Green Factory Award 2023 on the occasion of the National Occupational Health and Safety Day in Bangladesh.
A concern of Fashion Globe Group, AR Jeans Producer received the award for its efforts and contribution to save the environment and create new employment opportunities. One of the top LEED Platinum-certified green factories, AR Jeans Producer is a sister concern of Fashion Globe Group.
The Bangladesh Government awarded 29 companies from 12 sectors with the ‘Green Factory Award 2023.’ These awards recognise their role in enhancing productivity through the use of skilled workforce and eco-friendly technology in safe environments.
To promote the prevention of occupational accidents and diseases globally, the International Labor Organisation (ILO) marks April 28 every year as the ‘World Day for Safety and Health at Work.
Following the ILO’s guideline, Bangladesh has also been observing the day by awarding factories in different sectors in recognition of their initiatives for protecting workers’ health and environmental protection.
Renowned for its pioneering efforts in sustainable textile innovation, Keel Labs has joined forces with London's esteemed independent shoe designer, Mr Bailey, to unveil their latest creation-the Starboard Vest. Crafted from the revolutionary Ketsun fiber, this garment takes inspiration from life jackets, marrying functionality with eco-conscious design.
The Starboard Vest is intricately knit using a 50/50 blend of Kelsun fiber and cotton, boasting three distinct layers of varied knit constructions. Employing a trapunto technique, the vest seamlessly integrates its exterior shell with contrasting ribs, enhancing both aesthetics and structural integrity. Mr Bailey's ingenuity shines through as he opts to exclusively fill the vest with 100 per cent Kelsun fiber, mimicking the buoyancy of life vests commonly found aboard marine vessels.
While Keel Labs remains steadfast in its mission to harness the transformative potential of the ocean for the textile industry and beyond, Mr Bailey draws inspiration from nature, particularly marine life cycles such as jellyfish, to shape his design ethos. The synergy between Kelsun's oceanic origins and Keel Labs' commitment to sustainable alternatives align seamlessly with Mr Bailey's ethos, expanding his repertoire at the intersection of nature and technology.
This collaboration not only exemplifies the marriage of innovation and sustainability but also underscores the profound impact that conscious design practices can have on shaping a more environmentally responsible future.
