Global cotton prices to rise to $1.72 per kg in 2021
Although cotton production is projected to increase by 5 per cent in 2021, it is unlikely to return to 2019 levels. Demand on the other hand, is expected to outpace supply leading to a rise in global cotton prices. As per a World Bank report, the global average price of raw cotton will rise to $1.72 per kg in 2021.
Favorable weather, increase in area to boost cultivation
The main factors driving up prices rise is increasing demand from global markets, says Indexbox’s new report ‘World Cotton Lint-Market Analysis-Forecast, Size, Trends and Insights’. It states, favorable weather conditions and increase in area under cotton cultivation will boost yields in the US by 523 tons, in Brazil by 436 tons, Australia 239 tons and Pakistan 174 tons during the year. On the other hand, production in China will decline giving way to India to increase its share of cotton production to 24 per cent. Pakistan, India, Bangladesh, Vietnam, Turkey and China will be the major demand drivers of cotton lint in 2021. China in particular, will step up imports as local production will not be able to meet domestic demand.
Recycling technologies to curb water consumption
In 2021, growth in cotton market will be challenged by strong competition from other natural and functionally similar materials such as hemp or flax as
well as synthetic textile materials. Farmers will prefer growing hemp for its convenience and lower water consumption. Also, cotton requires large amounts of pesticides and is often grown by countries employing forced labor. This compels many apparel manufacturers to divert their supply chains towards more ethical suppliers. In order to make cotton production more sustainable, industry leaders need to introduce a new cost-effective recycling method that also reduces water consumption.
India’s cotton exports decline in 2020
In 2020, India’s cotton lint exports decreased for first time since 2016 by 9.2 per cent. India exported 965,000 tons of cotton lint during the year followed by Brazil which exported 865,000 tons. Together, the two countries made up 23 per cent of global cotton lint exports. They were followed by other exporters including Benin, Greece, Cote d'Ivoire, Burkina Faso, Nigeria, Australia and Uzbekistan which together made up 19 per cent of total exports.
The US was the largest exporter of cotton lint during the year in value terms. It exported 46 per cent of global cotton lint followed by India and Brazil. The average price of cotton lint exports declined 6.9 per cent in 2020 to $1,616 per tons. Nigeria commanded the highest price for cotton lint exports at $2,222 per tons followed by Uzbekistan whose exports were priced at $1,823 per ton and India whose cotton lint exports fetched $1,501 per ton.
China the largest cotton lint importer
After growing for nearly three years, cotton lint imports declined by 16.8 per cent to 7.1 million tons in 2020. Value also declined to $12.2 billion during the year. With 1.9 million tons, China was the largest importer of cotton lint during the year followed by Vietnam with 945 tons and Pakistan 819 tons. Together the three countries along with Turkey and Indonesia imported 79 per cent of world’s cotton lint. In value terms, China imported 29 per cent of global cotton lint. Imports amounted to $ 3.6 billion second largest importer Vietnam imported $1.4 billion. Pakistan was the third largest importer of cotton lint with a 12 per cent share.
The average price of cotton lint imports declined 5.3 per cent in 2020 to $1,706 per tons. India’s imports were priced highest at $1,979 per ton followed by China at $1,929 per ton, Viet Nam at $1,486 per ton and Turkey at $1,519 per ton were amongst the lowest.
Premiere Vision announces dates for Digital Denim Week
Show organizer Premiere Vision has announced the dates and the first seminars for the upcoming Digital Denim Week.
The show, which runs from July 5 to 9, features the trends of Manon Mangin, head of Premier Vision’s fashion products. It also includes a seminar hosted by Giusy Bettoni, CEO, Class Sustainable Platform, Andre Bonfini, Art Director, Fade Out and Designer Grossi.
Companies and mills exhibiting virtually include Berto, DNM Denim, Orta Anadolu, Bossa, Advance, Azgard9, Kilim, AGI Denim, and Soko Chimica.
According to Fabio Adami Dalla Val, Show Manager, the Digital Denim Week will give them an opportunity to come together and work together in also creative business environment designed to help and develop ambitious goals.
Revenues from Australia’s knitted sector increases by 13.20%
Though Australia’s manufacturing sector has declined by 5.70 per cent over the two years through 2020-21, its knitted product manufacturing industry has increased revenue by 13.20 per cent to US $ 90.60 million in the same period, as per IBIS World,
The pandemic disrupted supply across North Asia, which typically accounts approximately 40 per cent of the global apparel manufacturing industry. However, this benefited the Australian clothing manufacturers, as per an Apparel Resources report.
Australian exports of knitted apparel to Japan jumped by more than 320 per cent in 2019-20, and exports across the manufacturing of men and boys clothing segment increased by 33.9 per cent, informs Ross Dean, Senior Industry Analyst.
According to IBISWorld, while domestic demand of clothing in Australia is projected to continue declining, exports of knitted garments are forecast to grow by an annualized 1.80 per cent over the five years through 2025-26.
The growth can be attributed to the recent changes to tariffs on knitted apparel and other clothing items to New Zealand and ASEAN.
Invista Nylon Chemicals (China) to set up Asia Innovation Centre
Invista Nylon Chemicals (China) Co has launched a project to set up its new Asia Innovation Center at the Shanghai Chemical Industry Park (SCIP).
As per Sourcing Journal, to be developed with an investment of more than $15 million, the project marks the company’s next milestone in growing the nylon 6,6 value chain in China. It will also allow Invista to advance innovation to better meet evolving customer demands across the region.
Invista’s lab will be among the first at the Shanghai International Chemical New Materials Innovation Center. The 26,000-square-foot facility will be equipped with state-of-the-art polymer research and development equipment and will include polymer compounding extrusion and injection molding capability, and analytical and mechanical test equipment to characterize polymer resin properties.
Further, the Asia Innovation Center will promote the company’s comprehensive nylon 6,6 capabilities in China–R&D, production, sales and technical services–to provide customers with high quality nylon products and solutions.
China’s apparel sales increase by 12.30% in May
According to recent data released by National Bureau of Statistics, China’s apparel retail sales increased by 12.30 per cent in May ’21 on Y-o-Y basis.
China’s fashion brands and retailers clocked RMB 113 billion (US $ 17.44 billion) from domestic retail sales in May this year.
The total retail sales of consumer goods in May ’21 valued RMB 3,594.50 billion ($ 554.76 billion) and apparel constituted 3.14 per cent of that!
The apparel retail revenues of China in first five month period valued RMB 556.80 billion ($ 85.93 billion), marking 39.10 per cent yearly surge. China also maintained an average growth of 9.30 per cent in e-commerce fashion segment for over two years.
Gildan Activewear joins US Cotton Trust Protocol
Gildan Activewear and its portfolio of company-owned brands, including Gildan, Alstyle, American Apparel, and Comfort Colors have joined the US Cotton Trust Protocol. Glenn Chamandyl, President and CEO says, the move will increase transparency in the company’s supply chain besides assuring cotton purchased from the US is sustainable.
As per a Knitting Industry report, Gildan is one of the world’s largest manufacturers of everyday basic apparel, and also one of the largest domestic consumers of US cotton, which represents the majority of the fibre used in Gildan’s products. The company has a proven track record of a strong commitment to sustainable practices.
The US Cotton Trust Protocol is a farm level, science-based program that sets a new standard for more sustainably grown cotton. It brings quantifiable and verifiable goals and measurements to sustainable cotton production as well as drives continuous improvement in six key sustainability metrics: land use, soil carbon, water management, soil loss, GHG emissions, and energy efficiency. Members will also be provided with full supply chain transparency through the Protocol Credit Management System.
Ermenegildo Zegna, Prada team up to buy Italian Cashmere Company
Prada and Ermenegildo Zegna groups have teamed up to acquire majority stake in Filati Biagioli Modesto SpA, a cashmere and other precious yarns producer. Prada and Ermenegildo Zegna will each hold 40 per cent stake in the company. A 15 per cent stake will be held by founding Biagioli family while the remaining 5 per cent will be owned by Renato Cotto, CEO of the new company.
Both Gildo Zegna, CEO, Ermenegildo Zegna and Patrizio Bertelli, CEO, Prada, believe, the deal will help both companies preserve their manufacturing expertise and technical knowledge. It will also boost their Made in Italy production chain. Gildo Zegna will be the chairman of the new company, while Franca Biagioli, a key representative of the founding family, and Bertelli will join the board of directors.
AEPC organizes webinar on sourcing of viscose fabric
To fill the supply gap of viscose fabric in India, Apparel Export Promotion Council (AEPC) held a webinar on sourcing of viscose fabric in association with Birla Cellulose. A Sakthivel, Chairman, AEPC urged India to increase domestic supply of quality viscose fabric at the right price to increase presence in manmade fibre (MMF) based garments sector. He talked about, government plans to introduce the Production Linked Incentive (PLI) scheme for the MMF segment.
PMS Uppal, MD, Pee Empro Exports, urged exporters to focus on the entire package including R&D, design, innovation, speed and price of MMF garments. He also urged them to speed up deliveries. Sudhir Sekri, Chairman, Export Promotion Sub Committee, called for a combination of brand pressure, regulatory enforcement and supplier implementation to quicken viscose production in the country.
The event was also attended by several textile companies including Eagle Silk Mills,which requested the government to target international branding of their garments to promote them in the global market, as per Darmesh Patel, Director.
Indonesia’s garment and textile exports fall due to the pandemic
Indonesia’s garment and textile exports are projected to drop during the first seven months of this year on account of COVID-19. According to Indo Textiles, Indonesia exports around 70 per cent of its textiles to the United States, the European Union, and the Middle East. In 2019, it exported $9,172.36 million worth of garments and fabrics, reports Textile Focus.
Due to the pandemic, value of Indonesia’s exports declined 15.94 per cent year-on-year to $ 7,709.94 million last year. It is predicted to drop further by 6.72 per cent from January and July 2021. Since January 1, Indonesia has been implementing the Omnibus Law to create new employment, stimulate investment, lower taxes, simplify licensing procedures, and improve the ease of doing business for both domestic and foreign producers. The Indonesian Trade Promotion Center (ITPC) and the Indonesian Embassy in Mexico recently worked to increase home décor and textile exports to Mexico. The agreement includes the market for Balinese clothes and textiles in Mexico, as well as Indonesian furniture.
China develops ‘sustainable’ cotton certification scheme
To respond to Western criticism of forced labor in Xinjiang province, China has developed its own ‘sustainable’ cotton certification scheme. Through this move, China aims to offset the supremacy of Western countries and develop a self-sustaining, independent standard and certification system,
For this, the China Cotton Association (CCA) has launched a new body, the Cotton China Sustainable Development Program. The organization aims to combat the use of forced labor by imprisoned Uyghur Muslims in the region that supplies one-fifth of the world’s cotton. In recent months, China has seen a political and consumer reaction in response to publicly expressed concerns about the exploitation of forced labor by companies and the Better Cotton Initiative (BCI).
The Cotton China Sustainable Development Program seeks to encourage sustainable cotton production while decreasing reliance on Western standards. It would give China a considerable say in worldwide pricing and standard-setting.
On its part, the BCI aims to collaborate with the textile supply chain and brands to create a sustainable cotton industrial chain spanning production, textile and clothing manufacture, and brand sales.
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Designers give athleisure twist to formal wear at Milan Fashion Week
Designers introduced their new formal wear range with an athleisure twist at the recently Milan Fashion Week for Men. A Women’s Wear Daily report says, designer Serdar Uzuntas launched a collection that modernized workwear-inspired, deconstructed suits with flap pockets and oversize cardigans. The designer also introduced a bold paw print that was splashed all across the crisp cotton pants, polo shirts and T-shirts in the collection.
Activewear specialist Spyder launched a coed collection that was full of saturated and bold colors. Spanning different sports disciplines, the lineup featured everything from cycling shorts paired with technical windbreakers in blocks of colors to basketball shorts and leotards. It also included everyday options such as a tracksuit bearing a print reminiscent of digital 3D animations and bomber jackets with a silky texture that looked as good for a springtime run outdoors as they did paired with more dressed-up looks.
The spring collection of brand Ten C focused on technicality and performance. The collection by designer Alessandro Pungetti was presented via video days before the event started. For the collection, the brand relied heavily on its signature Original Japanese Jersey, a performance-driven, nine-ounce fabric that was worked into crisp flight jackets, parkas and anoraks .Its parka was also rendered in an edgy, see-through nylon version with tapered details on the pockets and lapels creating an interesting contrast. The brand collaborated with Toronto-based artist Moya Garrison-Msingwana for a capsule collection of T-shirts.
Underwear market evolves with renewed focus on size inclusivity, gender neutrality
New and existing players’ increasing focus on the segment has made the intimates and lingerie category a $250 billion global business. As per a Glossy report, the category has undergone radical transformation over the last decade. It now focuses on body positivity and size inclusively as against earlier when lingerie targeted specific body types.
While Victoria’s Secret continues to be popular, other brands such as Parade are finding favor with customers by focusing on real people rather than aspirational role models, says Andre Artacho, Managing Director, Two Nil a growth consultancy.
New and old brands venture into underwear
Adidas, which earlier sold men’s underwear only in the US, recently collaborated with Israeli textile manufacturer Delta Galil to sell both men’s and women’s underwear on a global scale. Henceforth, Delta Galil will manufacture and distribute all underwear products launched by Adidas. To compete with other players such as Aerie, Victoria’s Secret and Lively, the company will also manufacture bras and bottoms, says Victoria Vandagriff, President, Delta Galil-Brands Division.
Adidas will sell this collection under two labels: the Badge of Sport line, which uses athletic silhouettes and performance materials; and Adidas Originals,
the brand’s more streetwear and fashion-focused line. Both ranges will be sold through the brand’s DTC channels and department stores. Adidas will also sell the Badge of Sport line at sporting goods stores like Champs and Dick’s Sporting Goods, while the Originals line will be distributed at select fashion retailers.
According to Vandagriff, underwear buyers primarily focus on garment comfort, as seen from the growth in sales of bralettes, wire-free bras and seamless garments in the last six months. As per latest data from retail analytics platform Edited, while sales of triangle bralettes grew by 120 per cent between December and February, sales of sports bras and stretch material underwear boomed 382 per cent within the same timeframe.
A lot of new brands have entered the underwear market in the last few years, says Vandagriff. Most notable amongst these is Aerie whose revenues grew 89 per cent to nearly $300 million in the first quarter. DTC brands including Parade and Lively have also grown in importance. While Parade’s revenues grew to $10 million in first year of operations, intimates manufacturer Gelmart sold its first incubated brand Lively for $85 million in 2019.
Consumer’s attitude towards underwear has changed over the years. From something they wore for others, it has become a piece of garment they wear for themselves, adds Vandagraff. Victoria’s Secret too has introduced a new rebranding strategy focusing on body inclusivity and gender neutrality. The brand aims to evolve with changing underwear market to regain past glory.
IFAI launches new online community
Industrial Fabrics Association International (IFAI) has launched an online community Connect by IFAI. As per Textile World, the new initiative will facilitate valuable networking amongst industry peers and will allow for industry-wide conversations.
Connect by IFAI is equipped with a variety of features to help engage with industry peers, find answers and learn with fellow IFAI members. It also has badge and ribbon labels to showcase certifications, member organizations and industry accomplishments.
A discussion board in the online community provides the opportunity to post questions and find answers. The community also has a dedicated Resource Library to house documents for resource sharing. The library automatically archives attachments posted to discussions which enables members to add additional resources to share helpful information.
The Connect directory also provides a list of all suppliers and fabricators according to their name, location, company, business type, market served, etc. The library can be accessed by all IFAI members.
Japan’s apparel imports decline during January-April’21
Japan’s apparel imports declined by both weight-wise and value-wise in the first four months of 2021, as per Apparel Resources
From January-April’21, Japan garment imports declined by 5.52 per cent to 853.70 billion yen as compared to 903.54 billion yen in the same period of 2020, noting 5.52 per cent yearly downfall.
In terms of weight, Japanese apparel import declined to 2,070.28 million kg in the mentioned period as against 2,076.55 million kg in the corresponding period of 2020 which is a 0.30 per cent yearly decline.
The fall has been witnessed due to lowering demand of woven clothing in Japanese apparel market, while knitted segment remained positive
The share of knitted garments in overall imports was 433.52 billion yen while woven garments constituted 420.17 billion yen. Low unit prices in 2021 have put exporters to Japan under immense pressure as per kg garments imported by Japan valued just 410 yen in 2021’s first four months as compared to 440 yena year earlier.
Particularly in April ’21, the country’s import revenues slumped by 7.25 per cent to 223.82 billion yen as compared to April ’20.
