Foot Locker partners Reebok for US market
Foot Locker has inked a partnership agreement with Reebok for the United States market.
As per the agreement, Foot Locker will “deepen” its assortment with Reebok and carry select exclusive footwear styles for men, women and children in its company-owned stores and e-commerce websites in the States, including basketball shoes from Allen Iverson and Shaquille O’Neal.
Foot Locker Inc. will work with Reebok Design Group, the brand’s design and development hub, on the assortment that will be available in Foot Locker stores this fall.
This deal is similar to one that ABG made in December with JD Group, which operates JD, Finish Line, DTLR, Shoe Palace and other banners in Europe and North America. It also made a deal with Aditya Birla Fashion and Retail Ltd., or ABFRL, one of India’s leading fashion companies, to distribute and sell Reebok products through wholesale, e-commerce and Reebok branded retail stores in India, Bangladesh, Bhutan, Maldives, Nepal and Sri Lanka.
Coloreelsells six single-head units to Hirsch Solutions
Coloreel has announced sale of six single-head units in the United States to Hirsch Solutions, the world's largest distributor of embroidery machines.
The deal is announced less than four weeks after the very successful Impressions Expo at Long Beach, Los Angeles US, where Coloreel and Hirsch demonstrated live, the unique capabilities provided by Coloreel's products and technology to several hundred interested visitors.
A Swedish textile innovation brand, Coloreel offers a groundbreaking technology for embroidery that enables high-quality coloring of textile thread on demand, unlocking a world of potential. The brand uses technology to both preserve the craftsmanship of embroidery and take embroidery to the next level. The unique solution makes previously complicated designs accessible, including gradients, textures and other stunning effects.
Incepted in 1968, Hirsch Solutions helps apparel decorators of all levels - beginners to professionals - dramatically grow their business.
Pandemic restrictions, economic slowdown dampen global cotton prices in 2022
The past year proved to be full of uncertainty and volatility for world cotton market. Prices reached decade high during the year as the COVID-19 restrictions relaxed and world economies reopened. However, the pandemic exerted exceptional strain on global supply chains. The situation continues in 2022 with the new Omicron variant of affecting global markets and cotton supply chain, says Jody Campiche, Vice President, Economics & Policy Analysis, National Cotton Council.
US cotton acreage to rise in 2022
In her survey titled ‘NCC Annual Planting Intentions’, Campiche says, the NCC projects US cotton acreage 7.3 per cent higher than 2021 at 12 million acre during the year. Input costs are also likely to surge on account of higher fertilizer and chemical costs. In 2022, the total area under cotton harvest in the US is estimated to be 9.8 million acre with abandonment rate likely to reach 18.9 per cent. Cotton production in the country is likely to touch 17.3 million bales with an average yield of 850 pounds per acre. This also includes 16.8 million upland bales and 438,000 extra-long staple bales.
Domestic mill use of cotton in the US is expected to rise to 2.7 million bales during 2022 crop year, says Campiche. Domestic cotton mills will continue to remain important for the US cotton industry as it accelerates new investments and adopts new technologies to boost trade, she adds.
Shipments to lag in marketing year
In the 2021 marketing year, the US cotton exports are estimated to have declined to 13.8 million bales, according to USDA’s February 2022 estimates. So far in the 2021 marketing year, exports remained strong. However, weekly shipments are lagging well behind the five-year average pace due to lack of available supply and transportation issues.
In the current marketing year, cotton shipments are expected to reach 13.8 million bales. So far, 4.5 million bales have already been shipped. Compared to last year, shipments lag by 3.2 million bales while compared to a five-year average they lag by 1.1 million bales. To achieve the set target, the US needs to ship 370,000 million cotton bales weekly, adds Campiche. Decline in cotton exports in 2021 are also likely to impact US ending stocks that may increase by 1.2 million bales to 4.4 million bales, adds Campiche.
End stocks to fall
In 2022, global cotton production is expected to increase to 122.6 million as the total acreage area will increase. Similarly, global mill consumption of cotton is expected to increase to 125.9 million bales, leading to a 48.3 million bales rise in world cotton trade, Campiche affirms.
In 2022, US’ total cotton consumption is expected to exceed production, leading to 3.4 million bales fall in world ending stocks to 81.6 million bales. This will further result in a stocks-to-use ratio of 64.8 percent.
Cotton prices in the US are currently rising amid a tighter balance sheet, supply chain disruptions, speculative money flow, overall increases in commodity prices, and strong demand. However, analysts do not expect the celebrations to last as additional COVID-19-related restrictions, slowing of the world economy and a decline in manmade fibers may dent cotton prices in 2022.
Maharashtra to drive textile growth by combining natural advantages with regulatory support
Over the years, Maharashtra has emerged as one of India’s major textiles powerhouse with 10.4 per cent of the country’s total textile and apparel production. As per an Outlook India report, the state accounts for 12 per cent of India’s total yarn production. It also holds India’s 17 per cent spindles capacity with around 1.66 million spindles in total.
Easy availability of raw materials, skilled manpower and lower production costs has helped Maharashtra emerge a key stakeholder and growth driver of India’s textile industry. Besides having largest area under cotton acreage, the state also has the largest number of skilled workers in the country. Equipped with required infrastructure and skills, leading textile clusters in the state including Mumbai have emerged major export hubs. The state’s robust textile policies also enhance its climatic, demographic, and geographic advantages.
New policy to focus on sustainable textile production
Attracting investments worth Rs 20 crore, Maharashtra Textile Policy 2011-17 made the concept of fiber to fashion a reality. The policy helped generate 3 lakh new employment opportunities. The new textile policy 2018-23 has set a more ambitious target of creating employment for 10 lakh new workers in the next 5 years and attracting investments worth Rs 36,000 crore.
The aim is to strengthen India’s cotton, silk and wool production and also production of non-conventional yarns in the country. It will also promote skill development and research in the sector besides emphasizing on sustainable production techniques and green energy use. Another of the policy’s focus will be filling the gap between the theoretical and practical aspects of textile education by setting up a textile-focused university for innovation and research and developing projects in agricultural universities.
Capital subsidies for minorities
The new textile policy will also provide power tariffs and capital subsidies for minority categories. It will grant various benefits to women through programs dedicated to developing and supporting women entrepreneurs. The policy also makes a provision for setting up a Textile Development Fund to counteract hassles in funding. The fund will be collected from government equities, selling lands belonging to the textile department, and textile enterprises benefitting from government schemes and subsidies. The textile ministry will also form a vigilance and controlling committee for verifying textile projects to complement the scheme. All these measures are expected to make the state’s textile industry more comprehensive and inclusive and enable it compete globally.
New schemes to boost market position
Maharashtra has great capacity to manufacture fashion and garment products for the foreign markets. The state has set up several textile parks in Nagpur, Dhule, Ambernath and Amravati to boost production and encourage exports. The Amravati textile has emerged one of Maharashtra key textile clusters and a focal point for realization of the state's goals. The city boasts of 24 textile parks being developed by major units. The state government also plans to offer plug-and-play infrastructure in 4,000 acres across Amravati and Nagpur. The facilities will be granted under the Magnetic Maharashtra 2.0 Initiatives launched by the state. They will also include irrigation facilities and setting up cotton processing units in these areas.
For long, Maharashtra has served as a major incubator for India’s textile culture and industries. The state is now geared up to boost its position through the new schemes and policies introduced by the government. It aims to emerge as an ideal location for textile players by combing natural advantages with forward-looking regulatory support.
Swimwear gains traction in the US: Data
As pandemic subsides in the US and consumers go for the much-needed travelling break, swimwear has gained immense attention
According to the latest official custom data of US, the country imported $1.09 billion worth of swimwear products in 2021, growing by 33.28 per cent on Y-o-Y basis.
US has also recorded a 1.87 per cent rise in swimwear imports during the year with China topping the tally with an export turnover of $ 338.56 million in the US market, noting 33 per cent Y-o-Y growth. However, China lost big share as compared to 2019 when it exported US $ 461.28 million worth of swimwear to the USA.
On one hand, China declined big time, while Vietnam, on the other hand, seemed to have grabbed China’s share…The South East Asian country clocked $300.86 million in its swimwear exports to the US in 2021, as compared to just $ 227.77 million export values earned during 2019.
Bangladesh too impressed the export fraternity with its sturdy performance in swimwear category. The country shipped swimwear worth $40.86 million to the US in 2021, growing by 48.61 per cent on yearly note and by 146 per cent over 2019.
Pakistan’s textile exports surge by 25% in 7M FY22: PBS
Pakistan’s exports of textile products witnessed sharp increase of 25 per cent to $11 billion during first seven months (July – January) 2021/2022 7MFY22, according to data of the Pakistan Bureau of Statistics (PBS) released on Wednesday.
The exports of textile products were $8.76 billion in the same months of the last fiscal year.
In Pak Rupee (PKR) terms, the same has clocked in at Rs1,861 billion, up 30 per cent YoY due to 4 per cent currency devaluation, analysts at Topline Securities said.
During 7MFY22, key export driver was increase in value-added exports where knitwear segment contributed the most as it increased by 33 per cent YoY to $2.9 billion followed by Ready-made garments (+22 per cent YoY to $2.2 billion) and Bedwear (+19 per cent YoY to $1.9 billion) exports, respectively.
On MoM basis, Pakistan textile exports is down 4 per cent to $1.5 billion in Jan-2022, led by lower value-added exports segments mainly in Knitwear (down 12 per cent MoM) and Ready-made garments (down 4 per cent MoM) respectively.
Compared to last year, Pakistan textile exports are up by 17 per cent YoY (29 per cent YoY up in PKR terms) in Jan-22 led by significant recovery witnessed in value-added segments, largely in knitwear (up 19 per cent YoY), Ready-made (up 17 per cent YoY) and Bedwear (up 21 per cent YoY).
Increased volumetric growth and improved pricing were the key drivers resulting in higher exports.
Prices of Cotton, PSF and VSF rise after Chinese Lunar New Year holiday
The prices of Cotton, PSF and VSF prices have increased after the Chinese Lunar New Year holiday. However, as per a CCF Group report, these prices vary greatly as there are no big differences in cotton and rayon grey fabric sales after the holiday.
The mainstream price of VSF has gained by more than 1,000yuan/mt to 13,000yuan/mt since New Year's Day while that of cotton 3128 has also risen from 22,300yuan/mt to 23,000yuan/mt. The prices of cotton yarn have also increased by 1,000yuan/mt after the holiday, while the latter is just quoted up by 300-500yuan/mt and there is even smaller growth of trading price. The prices of C32S has risen from 28,500yuan/mt to 29,700yuan/mt, while that of R32S have surged from 18,000yuan/mt to 18,300yuan/mt.
To conclude, the prices of grey fabrics have not thoroughly recovered as trades of the commodity remain limited. The prices of cotton yarns have surged higher due to a rise in demand,
Continue source and corporate tax rates for five years: BGMEA
In its draft proposal for the financial year 2022-23, Bangladesh Garment Manufacturers and Exporters Association (BGMEA) demanded continuation of the existing source and corporate tax rates for another five year to help the industry cope with emerging challenges. The current source tax is 0.50 per cent while the corporate tax is 10 per cent and 12 per cent for green and other garment factories respectively. The industry is facing a number of problems like liquidity, second COVID-19 wave and new virus variants. It will have to invest a huge amount of money for remediation and retrofitting of factories, says BGMEA.
The industry is facing challenges like a 2.22 per cent decline in prices, increase in production costs and freight and other utility changes. It is also facing an erosion of duty benefits in major markets like the EU. To help the sector face these challenges, the current source and corporate tax rates need to be maintained. Value added taxes for subcontracting factories also need to be withdrawn in addition to the existing 10 per cent advance income tax on cash incentives given by the government against export earnings.
BGMEA also demanded a waiver of the VAT facility, relaxation of the provision of mandatory inclusion of harmonized system of codes in bond licence in releasing imported raw materials under the bonded facilities. The BGMEA also proposed allowing import of industrial racking system, industrial thermostat dehumidifier and other safety equipment with a reduced tax rate to secure more global orders, arguing that the buyers are putting pressure to install the system.
Vietnam’s apparel exports to rise 7.4 per cent
Despite surging COVID-19 cases, Vietnam's apparel exports are expected to rise by 7.4 per cent this year to $43.5 billion as factories continued production. The country recently lifted most of its COVID-19 restrictions as it expects a milder impact on the garment and textile industry owning to a high vaccination rate, says Troung Van Cam, Vice Chairman, Vietnam Textile and Apparel Association.
Vietnam does not intend to impose new lockdowns despite recording 31,800 new COVID infections as most of its apparel workers have now being vaccinated. The country has managed to restrict supply chain disruptions due to its flexible policies to tackle the pandemic and restore business. The tourism ministry has proposed fully reopening the country to foreign tourists from March 15, three months earlier than planned.
Cotton On Kids partners Cotton Australia for new collection
Cotton on Kids has partnered with Cotton Australia to launch a new range that recognizes the quality of Australian-grown cotton and consider it among the best and most sustainable in the world. As per a Textile Today report, the kid’s wear brand has committed to using quality Australian cotton to produce more than four million items of children’s clothing. It tells stories of two cotton farming families from Emerald in Queensland’s Central Highlands regions.
The new range launched by Cotton On Kids features cotton grown in the brand’s backyard. The brand is a perfect match for Australian cotton as it has a long-term plan to grow yarns and fabrics sustainably by trusted farmers.
Besides that, Aaron and Carly Kiely along with Laine and Lucy Thomson, and their children, will feature in a series of in-store and online promotional material connecting consumers with where their cotton clothing started out in the field.
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Crocs’ revenues to grow to $6 billion by 2026
Revenue of US footwear company Crocs, are expected to touch $6 billion by 2026. The company’s revenues grew by 66.9 per cent to $2.3 billion in 2021 as sales surged across all geographic zones. Sales of the Broomfield, Colorado-based company grew 85.9 per cent to reach $1.6 billion in its native Americas market on a constant currency basis, while revenues in Asia Pacific grew by 21.5 per cent to $350.2 million. Revenues from Europe, Middle East, and Africa grew by 41.7 per cent to $356.2 million in 2021.
Revenue from the direct-to-consumer channel grew 64.4 per cent to $1.1 billion compared to $693 million last year. On the other hand, revenue from the wholesale channel grew 69.4 per cent to $692.9 million in 2020. Digital sales grew 47.6 per cent in 2021 while net income grew to $725.7 million for the year, compared to $312.9 million in 2020. Diluted earnings per share increased by 149.8 per cent to $11.39 per share.
The company revenues grew by 42.6 per cent in fourth-quarter to $586.6 million. The growth was fuelled by a continued strong demand from consumers. The company expects the acquisition of Heydude to complete. Both Heydude and Crocs brands will contribute to the company's total sales growth targets in the next four years.
Australian wool prices to rise as workers return to office
Prices of Australian wool are forecast to rise as workers return to office again, shows a new report by agricultural bank Rabobank. Demand for office wear will revive driving wool prices further, adds the report Dennis Voznesenki, Agricultural Analysts, Robobank, says, imports of woolen suits have returned to pre-pandemic levels in France. The bank forecasts the Australian benchmark merino wool price will trade, on average, between $13.50 and $15 per kg in 2022, up seven per cent on the 2021 average.
Government data shows Australia’s import of wool increased 39 per cent to 317 million kg of during the January to November 2021 period. Peter Morgan, Executive Director, Australian Council of Wool Exporters and Processors, says, the wool sector is still reeling from the initial 'kick in the guts' as a result of the pandemic.
Environmentalists and new graduates setting new green factories in China
In the first 10months of 2021, China's textile and garment exports exceeded $256 million in value. Local researchers also focused on making the industry greener during this time.
High demand for waste process techniques
Known to create 92 million tons of waste globally, China’s textile industry is not environmentally friendly, says a China Global Textile News report. The industry is seeing high demand for waste process techniques, especially after China tightened laws for discharge of textile waste, adds Wang Bijia, Associate Professor, College of Chemistry, Chemical Engineering & Biotechnology, Donghua University. It is looking for alternative techniques for waterless dyeing and processing, he adds.
Bijia has already applied his recent continuous processing techniques for knitted fabrics to a demonstration line in a factory in Shandong. The new technology helped save 70 per cent of the factory's water usage and 65 per cent of the electrolytes in the water. China was the largest exporter of textile and clothing products in 2019, as per IKAR data analysis. It had about 24,000 companies in the business till the year. This makes achieving sustainability in the industry challenging. However, the sector is attracting many environmental professionals and new graduates to return home and establish their own companies in the country.
Apply advanced techniques to textile manufacturing
A group of Chinese graduates from Europe have set up Peersphere for developing 100 per cent new biodegradable materials from seaweed. The new material can serve as an alternative for animal leather. The company sees good prospects for its technologies in China, says Cheng Hanwen, Partner. It won the first prize at Kering Generation Award in 2021 for sustainable development in clothing industry. Plans are to use the €100,000 prize money to expand and look for more manufacturing partners.
Cai Jinging, President, Kering-Greater China says, the company was encouraged by the outpouring enthusiasm and participation from the entrepreneurs and startups at the awards. She expects young entrepreneurs educated in top universities overseas to come back and set up companies in China. Such startups will not only be introduced to industry leaders but also provided funds and other amenities, adds Jinging.
Shi Dinghuan, Chairman-Experts Committee, Energy Investment Professional Committee, Investment Association of China, notes, China should learn from European countries and start applying advanced clean technologies in textile manufacturing. The committee is now working to form standards for zero-carbon industrial parks and companies. These standards will guide companies to formulate plans and find appropriate technologies, adds Dhinghuan.
New sports bras styles, colors enhance buyer’s navigation experience
Earlier restricted to grey and black tones, sports bras are being revamped with new colors and fabrics. Green hues Khaki, Olive and Sage are dominating the color palette for sports bras in 2022 with green accounting for 9 per cent of entire color palette. As per an Edited report, products in neon shades are seeing lower demand at retailers Gap, Athleta and Gymshark.
High impact design gain popularity
Sports bras boasting of a high impact design are gaining popularity as seen from the growing demand Marks & Spencer’s new S/S’22 range launched under active wear brand Goodmove. Featuring the brand’s innovative cup technology, the range offers front adjusting straps for maximum support.
Demand for seamless styles continues
The popularity of seamless bras continues in 2022 with demand on boohoo and PreetyLittleThing increasing 53 per cent and 48 per cent respectively. The new no-seam sports bra range by H&M has been widely appreciated by shoppers as have been the new seam-free bra collections launched by Forever 21, TALA and Free People.
Investment in sustainability increases
Compared to 28 per cent last year, around 29 per cent sports bras are being made from recycled materials. Adidas has launched a new range made from 79 per cent recycled polyester in collaboration with Peloton. US brand Athleta has also launched products made from 13 per cent recycled nylon and polyester. Nike and Athleta have introduced products containing lyocell.
Brands are launching sports bras made from recycled fabrics. H&M increased its share of recycled styles across the US and UK 150 per cent year-on-year. Missguided has increased its range of recycled sports bras to 23 compared to just nine options last year. Similarly, retailer Hush has launched S/S’22 range made of 78 per cent ECONYL® recycled polyamide. Other DTC brands selling sustainable sports bras in the market include Boody, Nube, Tala, Girlfriend Collective, Boob Design, etc.
Price range widens with more retailing options
The price range starts at $28 as in case of adidas and goes up to $108 with Lululemon’s Enlite high support bra being the most expensive. Puma has witnessed a 14 per cent rise in sports bra prices due to the availability of more retailing options and collaborations with Goop and Liberty.
Rise in raw material prices, use of sustainable materials and rising consumer demand are boosting prices in the UK. Retailer Gymshark's prices for fit seamless bras surged £20 to £25, while prices of Apex Sports Bra have increased to £45 from £40 last year. The average price of Nike's sports bras has also surged 8 per cent YoY, with the brand offering more options in the £35-£40 price range.
Promoting eco-friendly products
Sports bras are classified according to their low, medium and high impact. They are mostly made with specialized fabrics as in case of activewear brands Nike, adidas and Lululemon. Next has introduced a sports bra guide to educate shoppers on suitable styles while Marks & Spencer has launched a range of post-surgery bras. Adidas is offering two options in its Stella McCartney range. Together, these brands aim to create a smoother navigation experience for shoppers. They also plan to introduce a sustainability filter or use symbols to show eco-friendly products on their websites.
