Adidas sales up five per cent
Adidas fourth-quarter sales rose by a currency-adjusted five per cent. Adidas saw strong growth in sports inspired styles and in training and running in the quarter, but a steep decline in soccer, where it benefited a year earlier from sales of team jerseys in the run-up to the World Cup. Adidas expects currency-neutral sales growth to slow to between five per cent and eight per cent in 2019 from eight per cent in 2018. Supply issues are accounting for a one per cent to two per cent fall as it struggles to meet strong demand for mid-priced apparel. Shares in the German sportswear brand, up 22 per cent in the last year, were indicated down 2.5 per cent in early trade.
Adidas had doubled the size of its business in North America in the last three years. Adidas produces 457 pieces of apparel a year, sourcing most of them from Cambodia, China and Vietnam. The brand expects to reach an operating profit margin of between 11.3 per cent and 11.5 per cent in 2019, up from 10.8 per cent in 2018, with the return of the Reebok brand to profit helping it hit a target originally set for 2020 a year early.
ITMA 2019 Exhibitor Preview: XORELLA
SCHWÄBISCH HALL, Germany — March 11, 2019 — XORELLA has been a leading-edge manufacturer of equipment for conditioning and heat setting of textiles ever since the company was founded more than 50 years ago. The machines are renowned for their technology, operating efficiency and reliability.
For customers around the world Xorella is the preferred partner for standard conditioning and heat-setting machines as well as for equipment for integration in fully automatic material handling and packing systems.
Xorella has listened to customers’ input and reengineered the controller and its software. Latest generation hardware is used and software as well as visualization have been redesigned with a clear concept in mind: Easy operation even by less experienced staff in the mills.
There is a clear structure on all screens and the use of text was minimized. At the right side actual hazards are displayed with pictograms.
A new interface was created to assist customers in trouble shooting. Actual and historical data is saved and can be sent to our Service Department for analysis and support.
Paving the way for Big Data is the most important feature of the new Xorella controller. It fully relies on its OPC UA interface for connection to external systems. Customers have the possibility to display the visualization on their own system completely by accessing the variables provided by the OPC UA.
This considerably facilitates integration into superordinate systems. Therefore it is possible to link the Xorella controller with process visualization systems provided by the main spinning machinery manufacturers or third parties.
You are invited to meet Xorella’s team of specialists at booth in hall 6 at booth D203 to obtain detailed information on Xorella machines and services.
Texprocil welcomes rebates on embedded taxes
The Cotton Textiles Export Promotion Council (Texprocil) has welcomed the cabinet’s approval of the scheme to provide rebate in state and central embedded taxes for the made ups and apparel sectors. Texprocil chairman KV Srinivasan points out rebate of state and central taxes will improve competitiveness of made ups products in export markets. Presently, the ROSL scheme refunds specified state taxes but does not refund central taxes.
Srinivasan feels exporters of made ups, especially home textiles from India, face a huge disadvantage in leading export markets due to high import duties as compared to imports from other competing nations. The scheme will go a long way in helping the exporters in overcoming this disadvantage and to increase exports, he added.
However, the Texprocil chief explained that state and central taxes are applicable on cotton yarn and fabrics also as in the case of made ups and apparels. He urged the government to cover cotton yarn and fabrics also under the scheme. Srinivasan says the move will lead to an increase in export of textiles and clothing as well as employment generation.
Retailers in the US downsize, some by big brands
About 4,810 store closures have been announced by US retailers for 2019. Gap is planning to shut 230 of its namesake brand stores over the next two years. This fiscal year, Gap expects to close about 50 company-owned stores, net of any new openings or repositioning.
Victoria’s Secret is planning to shut 53 stores this year, as the lingerie retailer struggles to appeal to women with its outdated bra and underwear merchandise. On an average, the company has been closing roughly 15 stores every year.
Teen apparel retailer Abercrombie plans to close up to 40 stores during fiscal 2019, after closing 29 locations last year. The company has, meanwhile, been working toward reducing the size of its stores and remodeling existing locations. Abercrombie also plans to open additional stores this year, to make up for the closures, after opening 22 stores in 2018.
Tesla will shift its sales online and close most of its stores as a result. A small number of Tesla stores will remain open as galleries, showcases and Tesla information centers, where customers can learn about the company’s products and buy Tesla merchandise. Tesla had been opening up shop in malls across the US to operate more than 100 stores and showrooms.
Textile laundry fair Texcare Asia, China Laundry Expo in September
Texcare Asia and China Laundry Expo will be held September 25 to 27, 2019 at the Shanghai New International Expo Centre. This is a trade fair for textile laundry, leather care, cleaning technology and equipment. It is expected to attract 300 exhibitors and an estimated 25,000 visitors across nearly 3,23,000 sq ft of exhibit space. The three-day event will serve as a platform for industry stakeholders from the entire textile care supply chain to explore new markets, expand their business footprint and capture opportunities both in China and across the world. It will shine a spotlight on cutting-edge products, strengthening technological exchanges and promoting efficient trade cooperation. The show aims to build a win-win trade platform for not only the whole of China’s washing industry, but for all over the world. Various fringe events will take place around the fairground, which will allow participants to catch up with the latest industry developments, learn about the current market outlook in China and have valuable networking opportunities with industry peers.
The Asian textile care industry in particular has transformed in recent years, alongside the region’s economic growth and increased trade interest from overseas. More and more innovations in automation, smart laundry and digitalization have been introduced, helping improve the productivity and proficiency of operations while also allowing the industry to evolve and stay on-trend.
Apparel Sourcing Week Bangalore, WGSN to host the open house sessions
Apparel Sourcing Week, Bangalore, March 15 to 16, 2019, has collaborated with trend forecasting company WGSN and influencer marketing engagement platform Winkl for its open house sessions.
On day one, Winkl will hold a session on influencer marketing, outlining why brands need. The session will be supported with case studies and the pros and cons of traditional marketing v/s influencer marketing. WGSN will undertake a talk on consumer behavior and global retail trends to unravel consumer priorities and preferences. From technological advances to demographic shifts, the session will reveal the key drivers of tomorrow’s consumers, who they are, what motivates them, and most importantly what they mean for business.
On day two Winkl will run participants through different types of influencer campaigns and their impact on business. A candid insight into what influencers expect from brands while collaborating will help the brands understand how to work with influencers in order to achieve a fruitful association for both parties. WGSN will hold a corporate quiz. Divided into multiple teams comprising two members, each representing one company, the quiz will follow a format for a qualifying prelim round wherein the top five teams will be shortlisted.
WGSN is a trend forecasting company. Winkl helps bloggers, influencers and content creators create their media kits, showcase their work to their peers, get feedback and connect with brands to work on brand collaborations.
Primark launches sustainable jeans
High street fashion retailer Primark has launched a range of women’s skinny jeans made using cotton sourced from the company’s Sustainable Cotton Program. The new collection is made of three denim washes and from cotton produced using natural farming methods, which have minimised the use of chemical pesticides and fertilisers, reduced water consumption, alongside delivering increased incomes to cotton farmers.
Primark is looking to use only sustainably sourced cotton in its products, to help reduce the impact of cotton production on the environment, to equip farmers with the skills they need to improve their livelihoods and to offer customers sustainable products at a great price.
In 2018, following a successful inaugural year of retailing apparel incorporating cotton from the program, Primark expanded the initiative into Pakistan–with over 28,000 farmers now said to be involved in the project. This latest product launch, heralded as an important step by the retailer, marks the first time since the Primark Sustainable Cotton Program was introduced to Indian farmers in 2013 that jeans have been produced using 100 per cent cotton sourced through the initiative.
Around 6000 farmers in Gujarat began working with the program following its 2013 launch. On an average, profits increased almost 200 per cent for those farmers who completed the training.
Mayer & Cie sales grows, now looking to grow in newer markets
In 201,8 May& Cie recorded a slight increase in sales over previous year. The company was affected the most by the turbulence in Turkey, traditionally one of the company’s most important sales markets.
Mayer & Cie is a circular knitting machine manufacturer. Against this backdrop, the integration of a successful line of business, the manufacture of braiding machines, should prove to be a good investment in future. Unlike declining market for circular knitting machines, the outlook for sales of braiding machines is excellent. In the circular knitting machine sector, the downturn in demand can be offset by in-house measures. The company is also looking at countries like Uzbekistan and Bangladesh, where developments are positive. The company looks forward to 2019 in spite of all of the challenges, since it is well positioned as regards its portfolio of machines, corporate structure and market position.
Mayer & Cie is committed to promoting the concepts of sustainability and digitisation when dealing with its customers. Its entire operations have technical solutions concentrating on sustainability, such as the Low Energy Option for warp knitting machines and the materials-conserving HSB-PW Size Box for warp preparation as well as textile applications having ecological implications in the field of multiaxial technology.
Indian trade show on in Azerbaijan
‘Best of India’ show is being held in Azerbaijan from March 7 to 17, 2019. This is a trade show for Indian products. Some 75 companies from India are showcasing high quality products and services including electrical and electronics, bicycles, rice, tea, spices, packaging, pharmaceuticals, gifts and handicrafts, stationery, home furnishings, textiles and garments, jewelry and cosmetics. Apart from business and commerce the event focuses on portraying the rich Indian cultural heritage through cultural events, food and festivals etc. all adding to the best of India experience.
India and Azerbaijan enjoy close friendly relations based on historical links and growing bilateral cooperation. The two countries have increasing business and commercial cooperation in the fields of energy, pharmaceuticals, agriculture, tourism, IT, science and technology, textile and garments, education, to name a few. Total bilateral trade between India and Azerbaijan has reached around 463 million dollars.
The two countries have growing cooperation in capacity building under the Indian Technical and Economic Cooperation program, which provides fully paid training programs for Azerbaijani professionals and students in Indian institutions.
Best of India is a series of shows held overseas which have consistently presented Indian industry’s high quality goods, services and technologies in varied industrial sectors to the world.
Brands moving out of China to face lower productivity, greater risks
Apparel manufacturers and brands planning to diversify their sourcing from China are likely to be faced with lower productivity, slower speed to market and greater risk. As Jane Singer, Director and Head of Market Intelligence at consultancy Inside Fashion revealed, the disadvantages of China’s increasingly high cost base was often offset by other considerations. As China has high productivity levels and an established supply chain-brands moving out of China are likely to lose their agility and infrastructure. Also, Chinese manufacturers are responding to the higher costs by developing factories elsewhere and reducing prices of their apparels which does not have tariff on it as yet.
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GOTS gets wide acceptance globally
The number of Global Organic Textile Standard (GOTS) certified facilities has increased 14.6 per cent globally. Certified facilities are now located in 64 countries around the globe. The progress is seen in both production and consuming regions. Worldwide awareness of and demand for organic garments is increasing with time. GOTS certification covers the processing of certified organic fibers along the entire supply chain from field to finished product. The increasing number of certified facilities aligns with the common desire to solve sustainability related problems. GOTS is seen as part of the solution. Company leaders use GOTS as a risk management tool and as a market opportunity. Consumers value the verifiable certification from field to finished product.
GOTS is the stringent voluntary global standard for the entire post-harvest processing (including spinning, knitting, weaving, dyeing and manufacturing) of apparel and home textiles made with certified organic fiber (such as organic cotton and organic wool), and includes both environmental and social criteria. Key provisions include a ban on the use of genetically modified organisms, hazardous chemicals such as azo dyes and formaldehyde, and child labor, while requiring strong social compliance management systems and strict waste water treatment practices.
India has an emerging domestic market for organic textiles. Several new brands have started offering GOTS goods in the domestic sector.
India: Handful of relief measures to help textile and apparel industry
The government has introduced various measures to benefit almost every segment of the Indian textile and apparel industry. Among these are a new schemes for the rebate of state and central taxes and levies on the export of garments and made-ups, a scheme for the development of knitwear, and a reduction in the hank yarn obligation from 40 per cent to 30 per cent of the total weaving yarn produced for domestic consumption.
Rebates of state and centre levies and taxes will be done through the IT driven scrip system thereby preventing delays and ensuring speedy disbursal. The decision is important as apparel and the made-ups sectors have a combined share of 55 per cent in the total Indian textile export basket. It will have a direct impact on these segments thereby increasing the competitiveness of India’s textile exports globally.
Hank yarn obligation has been reduced from 40 per cent to 30 per cent. The decision is expected to help spinning mills. As a result of the reduction in the obligatory quantity, the premium on hank yarn transfer will also get reduced thus helping spinning mills to reduce their cost. Due to the labour shortage, increase in yarn production capacity, and technology upgradation the need for hank yarn has come down drastically.
Brands up their sustainability quotient with new eco-friendly fabrics
"Besides making them more durable and climate resistant, brands are focusing on sustainability of their garments. They are opting for materials that offer more casual attributes to satisfy consumer’s need for comfort and flexibility. A prominent example of this is the CoolVisions’ dyeable polypropylene filament and staple launched by Indorama Ventures (IVL)."
Besides making them more durable and climate resistant, brands are focusing on sustainability of their garments. They are opting for materials that offer more casual attributes to satisfy consumer’s need for comfort and flexibility. A prominent example of this is the CoolVisions’ dyeable polypropylene filament and staple launched by Indorama Ventures (IVL).
Maximising moisture management and thermal performance
The CoolVisions by Indorama recently added a dyeable filament with recycled polyester to its innovative collection. These filaments maximise moisture management and thermal performance. This filament also brings forth polypropylene’s inherent properties of moisture management and low moisture regain, thermal regulation, durability, bleach-and-stain resistance, and improved coverage at a lower weight.
IVL has also launched Deja, a 100 percent rPET fiber brand, available in various forms, including recycled flake,
pellet, fiber and filament for use in multiple applications. The products of this brand are derived from recycling post-consumer plastic bottles and transforming them into innovative product ingredients.
Responsible innovation through new fabrics
Collaborating with a multi-speciality company Solvay Group, Tencel producer Lenzing, has launched an innovative two-faced fabric made of Tencel lyocell and Amni Soul Eco polyamide. The new fabric enables the company to innovate responsibly while concentrating on performance, durability and comfort.
Lenzing has also collaborated with Hyosung Corp to launch a new sustainable active fabric collection .The collection showcases the benefits of Tencel Modal and Creora elastane from Hyosung. It offers Lenzing EcoVero with Creora eco-soft for a softer touch and more brilliant whites. EcoVero fibers are made from wood, a natural and renewable raw material that comes from sustainable forestry plantations, while Creora eco-soft is a low-heat settable spandex that offers reduced energy consumption.
Fabrics offering compression and support
The Lycra Company has incorporated environmentally friendly alternatives and innovations to its fibers. The Lycra fabric indexing system allows fabric and garment designers to select materials with the appropriate level of support or compressions. Lycra Fitsense, a new technology connected to this system allows it to be screen printed onto a fabric or garment for targeted support. It allows designers to create lighter weight, breathable, cooler fabrics that offer compression and support.
Fitsense has launched two adoptions of this technology for leggings at Marks & Spencer and Adidas’ Stella McCartney line, each of which has sold well. Lycra has also launched the Lycra Dual Comfort technology based on the firm’s T400 bi-component polyester fiber, which Under Armour and Nike initially adopted. The brand recently launched Eco Made T400 derived from post-consumer recycled polyester.
Brands combine designs, yarns, technical finishes to value-add
Catering to rising demand for comfort and eco-friendly clothes, brands are moving away from polyester and nylon and using more sustainable fibers. This includes Tencel lyocell and Micro Modal, as well as organic cotton. Laguna is producing varieties of Tencel fleece and rib knits, Tencel and organic cotton and French terry in tops, bottom and bodysuits.
As the market requires these brands to offer more variety and great complexity, brands are combining designs, specialty yarns and technical finishes that create value-added attributes for the consumer. For example, a combination of perforated web constructions, cooling yarns and finishes are being used to create open air channels to improve moisture management and temperature release. Besides, brands are also adopting mesh constructions or three dimensional geometric patterns combined with soft and flat edges way to achieve improved performance and a distinctive fabric design for the activewear user.
Benetton to participate in IWTO’s 88th annual congress
The Benetton Group will participate in Day oOne of the IWTO’s 88th annual congress on April 11, 2019. A member of the IWTO since 2017, Benetton Group is the first European fashion company to have joined the organisation, demonstrating its commitment to sustainability and transparency in the supply chain. The congress, with the theme Wool in Excellence’, will be held from April 9 to 12, 2019 in Venice and Treviso. Speakers will address topics like: sustainability, wool décor, and health and wellness.
An highlight of the wool industry calendar, IWTO's annual Congress brings together wool textile professionals from all over the world for three days of conference, where networking and knowledge-sharing are complemented by a lively social agenda. A partners’ program and site visits round out the experience. If you're in wool, you'll want to be here.
With a worldwide membership encompassing the wool pipeline from farm to retail, the IWTO represents the interests of the global wool trade. By facilitating research and development and maintaining textile industry standards, IWTO ensures a sustainable future for wool.
