Next H1 sales up 2.2 percent
REPORT_ For the first half of the year Next sales were 2.2 percent ahead of last year. Pre-tax earnings per share were up 14 percent. Retail sales were down 0.9 percent on last year. New space added 2.7 percent to retail sales. Retail operating margins improved by 0.2 percent...Read More
Richemont first five-month sales up 9 percent
REPORT_ Richemont sales for the five months ended August 31, 2013, increased by 9 percent at constant exchange rates. At actual exchange rates, sales rose by 4 percent negatively impacted by the weakening of the US dollar and the yen against the euro...Read More
W assigns its creative mandate to Focus Circle
Well-known women’s ethnic fashion wear brand ‘W’ from TCNS Clothing has assigned its creative duties to Focus Circle. The agenda is to create brand and season's campaign, retail communication apart from handling collection-specific announcements and trend news...Read More
Asos to stop selling Primark
Asos is to stop selling Primark clothing on its e-commerce site, as the 12 week trial for the fast fashion brand comes to an end.
Primark has said that it will not renew the option nor launch its own transactional website. Primark's finance director John Bason stated: the trial had provided some insight into online retailing but "the best way to get profitable growth is on the high street"...Read More
Australian Fusion Retail Brands up for sale
Australian Fusion Retail Brands, former Colorado Group, is up for sale as its private equity owners want to deinvest in the brand. The fashion label will be portrayed as a pure-play footwear retailer after it sold its clothing brand JAG for an undisclosed sum, as reported by Australian media...Read More
Hedge fund buys 5.6 percent stake in Chico´s
Blue Harbour Group, a hedge fund based in Connecticut, presented a 13D filing on Chico´s Fas, Inc. on Monday, disclosing a 5.6 percent stake (around 9 million shares) in the womenswear company...Read More
Outdoor industry shares social responsibility tool
The Outdoor Industry Association (OIA), the US trade association of the outdoor recreation industry based in Boulder, Colorado and Washington D.C., has come up with a Social Responsibility Toolkit (SRT) developed to “help brands and suppliers start and improve their social responsibility programs”.
The just released guidelines are one part of the SRT’s three created by the Social Responsibility Working Group (SRWG) and the Fair Labour Working Group, which includes retailers such as New Balance, The North Face and Timberland. Billed as a “guidebook with strategy guidance, tools and resources that can be adapted to suit any company’s needs”, the first part addresses basic awareness and any compliance issues a company may have.
The remaining two parts will look at the improvements and aspirational levels of social responsibility practices and programs that a company may want to incorporate; part two and three are scheduled for release within the next year. Dozens of outdoor industry companies worked on the toolkit, which is set up as an open-source working document so that it can evolve with and respond to the growing needs of the outdoor industry in terms of improvements in supply chain operations and management.
“It’s important to outdoor industry companies to promote and monitor safe and fair treatment of the workers who make our products, yet it can be challenging to figure out exactly how to go about implementing a program to achieve this. We encourage companies to use this toolkit to establish new social responsibility programs, as well as to assess and improve the programs they may already have,” said Mary Bean of Columbia Sportswear, SRWG leader in charge of the development of the updated Toolkit.
The US outdoor industry is a 646 billion dollar industry of which the OIA is the leading trade association, serving more than 4,000 manufacturers, distributors, suppliers, sales representatives and retailers. Though some of the recommendations and practices may be country specific, the SRT has been developed keeping any company’s needs in mind.
The Tookit is a result of one of the four key areas – social responsibility and fair labor issues – that the OIA’s SWG is currently working on. The three others working toward sustainability and responsibility in the outdoor industry are index development for apparel, footwear and equipment; responsible chemicals management and materials traceability throughout the supply chain.
Shop vacancies plague British high street
The British high street can't seem to attract shopkeepers as the vacancy rate has stagnated at 14.1 percent, only slightly down from 14.2 percent in February. The results come from a published report by the Local Data Company, who have shown that in the top 650 UK shopping centres there is a considerable issue with empty shop spaces...Read More
Stuart Weitzman targets international growth
Luxury footwear label Stuart Weitzman is looking to expand the brand’s international reach with the appointment of Wayne Kulkin as chief executive officer. Kulkin, who was previously vice chairman, has been tasked to focus on “strategic global expansion” and other growth opportunities for the Stuart Weitzman brand in his new role as CEO...Read More
Spain’s textile industry losing out to Asia
The textile industry in Spain is mainly composed of small and medium enterprises which significantly limit the investment capacity of the sector. The family nature of most companies in Spain’s Catalonia region, the lack of entrepreneurial vision and poor motivation are the reasons for the slow growth in the sector.
Since the small and medium-sized textile companies cannot implement new strategies, there is a decline in operating margins of the whole sector. Lack of funding opportunities and shortage of specialized personnel are also reasons that are affecting modernization in the Spanish textile sector. This scenario has led to shutdown of many companies that have failed to adapt to changing market situations.
One major threat faced by the Spanish textile sector is the relocation of production activity to emerging countries, particularly in Asia. Restrictions on textile imports were removed during the liberalization of trade in 2005, which established Chinese leadership in the textile world.
The traditional commercial structure and the difficulty of access to new distribution channels has led to a high degree of fragmentation in the Spanish textile sector and resulted in lack of cooperation between enterprises.
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Interstoff Asia Essential gets even bigger in Shanghai this year
Interstoff Asia Essential, the region’s best trade fair for the latest fabrics, trends and technologies will be held from September, 25 to 27 at the Hong Kong Convention & Exhibition Centre. With the expansion of four country or region pavilions from China, Japan, Korea and Taiwan, this edition will have a lot more to offer to visitors. Over 170 exhibitors are expected to take part. Fashionable fabrics is one of the main categories at the fair. Dali Fibre Industrial from China will display their new dual and tri-colour ‘draw textured’ mélange series which boasts of better dyeing effects. Other leading Chinese firms include Wuxi Shuangda Plush and Cixi Haiteng Plush, both producers of cashmere and imitation fur, and Jiangsu Girmes Special Textile, a supplier of high-quality velvet. Uni Textile, producers of Japanese-made woven and knitted fabrics for ladies wear with print and dye finishing effects will be present at the fair.
Functional fabrics from around Asia also feature strongly at the fair. Tamurakoma from Japan are suppliers of high-tech fabrics for sportswear and outdoor wear that boast of innovative coating and laminating, while Korean company PAKA Intertex will introduce its micro nylon or cotton and reversible fabrics. FSPG hi-tech from China will showcase their easytex breathable membrane fabric – an eco-friendly textile that has similar breathability properties to skin.
Eco fabrics are another category of the show. First-time exhibitor PT Indorama Synthetics from Indonesia will demonstrate their waste reduction credentials with Nusantara fabrics made from recycled polyester bottles. Taiwanese company Everest Textile, producers of woven and knitted fabrics for casual wear, outdoor wear and sportswear, offers a range of environment friendly products because of their sustainable manufacturing process.
Companies specializing in garment accessories will also feature at the show. Key exhibitors include Hong Kong-based Cosmos Enterprises, a button producer that uses only natural materials. Exhibitors from China include clothes rack manufacturer Taizhou Huajia Hanger, and ladies’ scarf supplier Shanghai Talent Fashion.
Elite China, Fine Japan, Premium Korea and Amazing Taiwan make a comeback this year which have increased in size from last year’s show. Featured exhibitors in these pavilions include Guangzhou Wanhua Textile, Toray Industries, Dong Il Textile and Vinwell Textile from China, Japan, Korea and Taiwan, respectively.
Pakistan: FBR laws hampering growth in textile sector
Value-added textile manufacturers-cum-exporters want to get rid of double taxations and ‘draconian’ excise laws, which have stagnated the entire sector's growth. Scores of representatives from different value-added textile associations recently held a meeting with Federal Secretary Commerce Qasim M Niaz, seeking an immediate end to their long-running problems.
Chairman Council of All Pakistan Textile Associations (Capta), Zubair Motiwala led the exporters to discuss the key obstacles to the sector's growth. He said the Federal government should abolish two per cent GST from the zero-rated sectors to ease their financial positions.
“The exporters are in deep financial problems from double taxations by the federal government of two per cent GST and the second by the provincial government 16 per cent on services,” he pointed out. He said customs officials are altogether indifferent to the significance of exports to the national economy as they never stay back from creating hurdles on import and export stages to perturb the stakeholders. He also pointed out four excise laws which are hitting the entire textile sector, saying that the FBR deceptively made them part of sales tax, forcing the exporters to pay the taxes anyhow.
The FBR laws of GST on selling of goods to unregistered companies are still dubious, creating problems for exporters. "Everybody is violating the law. We are under offensive," he said. Without bribe no tax refund is possible, he claimed, saying the FBR's laws and regulations are against the growth of entire textile sector.
Motiwala said the poor utility supplies with soaring tariffs wrecked havoc on the textile sector restricting its export to not more than $7 billion annually. He said the government is unjustified to force textile sector to pay bills for power thieves. With raw material like cotton or yarn, the annual textile exports stand at between $11 billion and $13 billion, he said.
The government's utility tariff plans give two messages to consumers -- either to pay bills for power thieves or just indulge in the theft. He urged the government to play its role against power thieves to end power shortage. "Some 35 per cent power loss comes through three ways: theft, line losses and pilferage," he added. He also resented soaring gas, power and water tariff which is unprecedented in entire history, saying gas was made expensive by 17 per cent and power by Rs 4 per unit. He said the government continues to bypass Ogra to set prices for key utilities.
Cotton loses market share in China
Cotton is expected to continue losing market share this season. Cotton prices are substantially higher than polyester prices in China. And as per Cotton Advisory Committee (ICAC), the Cotlook A Index averaged 93 cents per pound in August, while polyester in China averaged 76 cents per pound. Despite the loss of market share, world cotton consumption is rising in absolute terms and is estimated at 23.7 million tons in 2013-14. However, world cotton production will be down 3.5 per cent from last season. US production alone is likely to fall by 25 per cent. Shipments from all major exporters are expected to fall, except from the CFA or franc zone in Africa, where producers are increasing production in 2013-14 and thus exports in response to higher cotton prices.
World trade in cotton is forecasted to decline by 1 million tons to less than 9 million, with this decline almost entirely accounted for by reduced imports into China. Falling mill use of cotton in China due to its cotton procurement policy - which is keeping cotton prices at levels above manmade fibers - is encouraging a significant shift in mill use to other countries.
A&E reveals sustainability report
American & Efird (A&E) one of world's leading manufacturers of sewing thread, embroidery thread and technical textiles for worldwide industrial markets, announced the release of its transparent 2012-2013 Sustainability Report. The report highlights the company's leadership and steadfast commitment to environmental sustainability and social responsibility.
"We're gratified that our newest sustainability report shows improved cumulative results from the impact of our efforts and investments," said John Eapen, Vice President Environmental, Health & Safety/Sustainability at American & Efird. "We remain especially proud of our zero liquid discharge plant in Perundari, India, the first in the thread industry, as well as our 50 per cent recycle/reuse facility in Dongguan, China. The water conserved by our facilities in India and China is equivalent to the daily water usage of nearly 7 million people within these countries."
A&E follows the American Apparel and Footwear Association (AAFA) standards for restricted substances. The AAFA's Restricted Substances List (RSL) provides guidelines for the use of chemicals and substances that are restricted or banned in the production of home textile, apparel and footwear products. The RSL is revised biannually and reflects international safety and environmental standards and restrictions.
One of the first thread manufacturers to adopt a global standard of measurement, A&E uses critical data to scrutinize its engineering protocols, equipment specifications and emerging technology, with the express purpose of upgrading systems and continuing its trend of reducing greenhouse gas emissions.
The company achieved its goal of 20 per cent reduction of greenhouse gas emissions from 2006. Through the use of engineering protocols and equipment specification and the adoption of emerging technologies and system upgrades, A&E reduced both power consumption and fuel-burning activities.
