FW
Bangladesh wants the United States to provide duty-free cotton imports for its readymade garment industry.
The US is the world’s largest cotton exporting country. Globally, Bangladesh is the second biggest readymade garment exporter and imports a good amount of cotton annually from the US. And the US also happens to be the largest export market for garments made in Bangladesh. Annually, Bangladesh needs around nine million bales of cotton for apparel manufacturing. Whereas Bangladesh produces only 1.50 lakh bales of cotton annually, which is only 1.6 per cent of the total demand.
Bangladesh is trying to increase cotton production. But even if cotton production doubles, Bangladesh will have to import an enormous amount of cotton from abroad. So the country feels that if the US were to provide duty-free benefits for cotton imports, its apparel industry will be benefitted greatly.In marketing year 2021-22 Bangladesh's domestic raw cotton consumption was estimated at 8.8 million bales. The textile industry is composed of yarn, fabric, and dyeing-printing-finishing mills and they have about 15 million bales of cotton consumption capacity.
Raw cotton is the second most imported product in Bangladesh. The country imports raw cotton primarily from India, the United States, Benin, Brazil and Spain.
H&M's fourth quarter profits were almost wiped out by soaring costs.
But the Swedish company held back from passing on full costs to cash-strapped customers.The world's second biggest fashion chain, which raised some prices, will continue with this pricing strategy even though it will not fully compensate for the higher costs, such as for energy, transport and raw materials. So the group will keep raising prices in some categories to a varying extent in different markets to partially make up for continued high costs.
H&M gradually closed its stores across Russia last year, and decided to exit the market.The retailer’s exit from Russia and the financial impact of a cost-cutting drive announced last year also contributed to the fall in profits. However the company expects sales and profitability to improve in 2023, primarily towards the end of the year.
The group in September 2022 launched a drive to cut costs with savings expected to start showing from the second half of 2023. This included cutting around 1,500 jobs as part of the program.Gross margins were weaker than expected.
H&M’s sales so far in the current quarter are strong - as expected, given the colder weather across Europe. H&M sales increased by six percent during 2022. The external factors that had had a negative effect on purchasing costs are gradually reversing and are expected to become positive for the company’s results in the second half of 2023. Purchasing costs are already lower for the orders being placed now compared with the same time last year. In addition, the second half will also see the positive effect of the cost and efficiency program that is expected to provide significant annual savings.
Sustainable Apparel Forum will be held in Bangladesh, March 15 to 16, 2023.
The event aims at bringing together stakeholders to discuss and exchange ideas on how to advance sustainability within the textile and apparel industry.
It will focus on five key subject areas of the apparel and textile supply chain: circular economy, climate impact and action, renewable energy and green funding, skill development and green job prospects and challenges.
Delegates in attendance will include garment manufacturers, brands and retailers, development partners, foreign missions and embassies in Bangladesh, impact creating organisations, apparel and textile associations, industry leaders, government officials, secretariats and ministers.
There will be roundtable discussions and workshop sessions on circularity, panel discussions, presentations and keynote speeches along with strategic guidelines from officials and industry leaders. There will be a discussion on decarbonisation and what it will take for the industry to achieve the necessary reduction of carbon emissions.
The event is open for interested participants to register and join other stakeholders in discussions and networking sessions on how to accelerate progress to transform the industry.The Sustainable Apparel Coalition, which brings together around half of the apparel industry to enable positive social and environmental impact at scale, has partnered with the Bangladesh Apparel Exchange for this event.
Demand for denim is declining in the US market.
Shoppers are opting for more formal attire and non-denim styles instead of more expensive jeans.While macro pressures have not impacted all apparel categories equally, denim has been a category feeling the brunt of a change in consumer spending patterns. US consumers are cutting back on non-essential purchases like clothing as a result of high inflation and an impending recession.
Despite 2021’s high demand, the denim industry is predicted to cool off. Although the market expanded by 12.5 per cent over the previous five years, it is expected to only have 3.8 per cent growth from 2022 to 2027. Consumers prefer more wide legged trouser-like silhouettes. Shoppers are buying more cargo pants and corduroys as they refresh their wardrobes with more non-denim bottoms.
For instance Levi Strauss’ gross margins are expected to come under pressure from higher inventory levels, increased promotions, and a stronger dollar, even as its jeans became more expensive. The company is expected to face a fall in quarterly sales for the first time in six quarters.
At the same time total US imports of denim apparel from the world in the first eleven months of 2022 increased by 17 per cent compared to the same period of 2021.
Levi Strauss’ gross margins are expected to come under pressure from higher inventory levels, increased promotions, and a stronger dollar, even as its jeans became more expensive.
The company is expected to face a fall in quarterly sales for the first time in six quarters, as penny-pinched shoppers shift away from pricier jeans to more formal clothing and non-denim styles. The company benefited from the need for people to renew their wardrobe post lockdown, but the strength in terms of the customer needing to go back to denim and replenish will be much lower now.
While macro pressures have not impacted all apparel categories equally, denim has been a category feeling the brunt of a change in consumer spending patterns. The US jeans market is expected to decline slightly in 2023. The market is estimated to grow at a modest 3.8 per cent between 2022 and 2027, after a 12.5 per cent expansion over the last five years. Shoppers are buying more cargo pants and corduroys as they refresh their wardrobes with more non-denim bottoms.
With the United States on the edge of a recession, shoppers, pressured by high inflation, are spending less on discretionary items like clothing, with the denim category, in particular, set for a slowdown following a demand surge in 2021.
Vardhman Textiles’ total income was Rs2436.92 crores during the period ended December 31, 2022, as compared to Rs 2499.98 crores during the period ended September 30, 2022. Net profit / loss was Rs 102.40 crores for the period ended December 31, 2022, as against net profit / loss of Rs 204.90 crores for the period ended September 30, 2022.EPS was Rs 3.60 for the period ended December 31, 2022, as compared to Rs 7.20 for the period ended September 30, 2022.
Total income was Rs2436.92 crores during the period ended December 31, 2022, as compared to Rs2666.80 crores during the period ended December 31, 2021. Net profit / loss was Rs102.40 crores for the period ended December 31, 2022, as against net profit / loss of Rs428.59 crores for the period ended December 31, 2021.EPS was Rs3.60 for the period ended December 31, 2022, as compared to Rs15.08 for the period ended December 31, 2021. Total income wasRs7768.69 crores during the ninemonth period ended December 31, 2022, as compared to Rs7091.30 crores during the ninemonth period ended December 31, 2021. Net profit / loss wasRs636.42 crores for the ninemonth period ended December 31, 2022, as against net profit / loss of Rs1224.78 crores for the ninemonth period ended December 31, 2021.EPS wasRs22.37 for the nine month period ended December 31, 2022, as compared to Rs43.09 for the nine month period ended December 31, 2021.
United Textiles’ total income was Rs 4.2195 crores during the period ended December 31, 2022, as compared to Rs 5.2471 crores during the period ended September 30, 2022.
Net profit / loss was Rs 0.0016 crores for the period ended December 31, 2022, as against net profit / loss of Rs 0.0164 crores for the period ended September 30, 2022.EPS was Rs 0.0053 for the period ended December 31, 2022, as compared to Rs 0.0054 for the period ended September 30, 2022.Total income was Rs4.2195 crores during the period ended December 31, 2022, as compared to Rs5.3117 crores during the period ended December 31, 2021.
Total income was Rs9.4666 crores during the ninemonth period ended December 31, 2022, as compared to Rs7.2987 crores during the ninemonth period ended December 31, 2021. Net profit / loss wasRs0.0180 crores for the ninemonth period ended December 31, 2022, as against net profit / loss of Rs0.0246 crores for the nine month period ended December 31, 2021.EPS wasRs0.006 for the nine month period ended December 31, 2022, as compared to Rs0.0082 for the nine month period ended December 31, 2021.
Techtextil will be held in Mumbai, September 12 to 14, 2023.This is India’s leading trade fair on technical textiles, non-wovens, fibers, yarns and machinery.
With almost eight months to go, the three-day business event has received an overwhelming response from various companies who will be seen showcasing their latest solutions and products for key application areas. The event is expected to bring in strong value to the technical textile segment and open doors to lucrative business engagements for the industry.
Techtextil is expected to continue to play a key role in the overall development of this vibrant industry.The last edition of Techtextil India, in November 2021, emerged as a crucial meeting place for technical textile players. Even though the show happened to be the first post lockdown edition it garnered an attendance of 4,087 visitors due to the live demonstration of latest products and technologies from over 150 technical textile brands. The trade fair attracted buyers from the fields of agriculture, automotives, building, clothing and protective clothing, environmental protection, geo-technology, housing and home, medical science, packaging and sports, among others.
India has laid emphasis on this key sector in boosting the economy of the country. The Indian market for technical textiles is growing at a CAGR of 12 per cent, three times faster than the global growth rate, indicating strong export opportunities.
Munich Fabric Start was held in Germany, January 24 to 26, 2023.
At this fabric trade show the flow of buyers, product managers, designers and decision-makers from the industry was great and the mood was excellent.
The new colour and material trends, innovations and inspirations for spring/summer 2024 were shown on a total exhibition area of around 42,500 square meters, divided into eight areas and elaborately staged trend forums and sample areas.
Munich Fabric Start is surprising, innovative and at the same time market- and solution-oriented.In spite of all the difficulties in the market, the event offered the usual high service, created new experiences and provided a business, trend and information platform for partners in the industry.
The sourcing of sustainable material developments and solutions for digitalisation from product to production were even more in focus. New was a combined area for sustainability and digitalization. The assist experience was presented for the first time on an area of around 300 square metres. Together with technology partners and in lectures and panel discussions, the fashion tech market leader showed the possibilities of digitalisation for the fashion industry. The area for innovative fabrics and add-ons that are certified organic, bio-based, recycled, recyclable or from regenerative sources was bigger compared to previous seasons.
Textile manufacturer Arvind’s quarterly profit has fallen by nine per cent.
The company has been hit by a weak demand for denim garments. Quarterly revenue from operations fell 12 per cent from last year.While demand and volumes of woven fabric remained steady during the quarter, denim continued to struggle due to lower demand and over-supply.
The company’s revenue from the textiles segment, which contributes about 80 per cent of the company’s total revenue, fell by 19 per cent in the quarter. Revenue from denims, which is included in the textiles segment, fell by 44 per cent. Its advanced materials unit reported a 26 per cent rise. The price realisations started to trend down since the second quarter for Arvind reflecting the recent softness in raw material prices. The company’s expenses were down 11 per cent in the quarter.
The macro environment in the US and EU markets has started to show some improvement in the outlook, though the overall prognosis still remains cautious given a still higher-than-target inflation in the US, continuing war in Europe and the reopening of China. Demand for Indian textiles in international markets has been hit as consumers have cut spending on clothing following a surge in inflation after the war in Ukraine.
