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Kering Group, the parent company of luxury brands such as Gucci, Saint Laurent, and Bottega Veneta, reported a 13% decline in revenue in the third quarter of 2023, as it grappled with challenging macroeconomic conditions and softening demand across the luxury industry.

Revenue came in at €4.5 billion, down from €5.2 billion in the same period a year ago. On a comparable basis, revenue was down 9%, including a 6% negative exchange-rate effect and a 2% positive impact from the acquisition of Maui Jim.

The Group's directly operated retail network saw revenue fall 6% on a comparable basis, reflecting lower traffic and contrasted performances across regions. Wholesale and Other revenue fell sharply (down 20% on a comparable basis), due in particular to the Group's ongoing efforts to tighten its control over distribution.

In the first nine months of the year, the Group generated revenue of €14.6 billion.

In a statement, Chairman and Chief Executive Officer François-Henri Pinault said that the Group's revenue performance in the third quarter reflected the impact of its decisions to further elevate its brands and their distribution. He also said that the organization put in place in July will enable the Group to strengthen the steering of its Houses in the current market environment and to reclaim its positions and influence.

Pinault also noted the acquisition of Creed, one of the world's most distinguished high fragrance houses, which was completed last week. He said that this acquisition propels the Group's ambitions in beauty onto the next stage.

 

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Led by KM Subramanian, the new Tirupur Exporters' Association (TEA) team is committed to boosting Tirupur's apparel exports to a staggering Rs. 30,000 crore. This ambitious goal follows in the footsteps of Padamshree Dr. Sakthivel, who pioneered India's apparel exports journey.

Dr. Sakthivel, Patron of IIKF, TEA, and ABAT, has enabled Tirupur to align its manufacturing and purchasing capabilities, leading to a significant export order of $50 million in a year. TEA's Brand Tirupur initiative makes it the only city that manufactures and exports apparel, striving for Carbon Footprint certification by 2030.

For the first time, domestic apparel brands have been acknowledged in the context of manufacturing and sourcing from Tirupur. Notably, Tirupur has embraced sustainability, Environmental, Social, and Governance (ESG) standards, and compliance naturally over the last four decades, even before these issues became globally relevant.

 

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Heimtextil 2024

 

Bigger and Better Than Ever

Heimtextil 2024, the international trade fair for home and contract textiles, is set to grow bigger and better with more than 2,600 exhibitors from around the world presenting their new products in Frankfurt from January 9 to January 12, 2024. The fair has attracted strong interest from all segments of the textile industry.

Visitors to Heimtextil 2024 can expect to see a wide range of new products and trends in home and contract textiles, including:

Sustainable textiles: Sustainability is a major focus of Heimtextil, with many exhibitors showcasing new products made from recycled materials or produced using sustainable methods.

Smart textiles: Smart textiles are becoming increasingly popular, and visitors to Heimtextil 2024 will see a wide range of new products in this area, such as textiles that can regulate temperature, purify the air, or generate energy.

Personalized textiles: Consumers are increasingly demanding personalized products, and this trend is also evident in the home and contract textile industry. Visitors to Heimtextil 2024 will see a range of new products that can be customized to the individual needs of consumers.

Heimtextil 2024 is an essential event for anyone working in the home and contract textile industry. It is a great opportunity to see the latest products and trends, network with other professionals, and learn about new developments in the industry.

 

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The VDMA Textile Machinery Association is supporting a delegation visit of 13 well-known German textile machinery manufacturers to India from December 4-8, 2023. The visit will feature technology showcase events in Ahmedabad and Coimbatore on December 5 and 7, 2023, respectively. 

The event is supported by the German Federal Ministry for Economic Affairs and Climate Action and organized by SBS systems for business solutions in association with VDMA India.

The technology showcase events will provide an opportunity for decision-makers and experts from the Indian textile and nonwovens industry to learn about the latest textile machinery solutions to make their textile businesses and products more sustainable and efficient. The 13 renowned VDMA member companies and their Indian partners cover the entire value chain from spinning, knitting, weaving, nonwovens, dyeing, and finishing.

This is a great opportunity for Indian textile manufacturers to stay ahead of the curve and invest in the latest technologies to improve their competitiveness and capture a larger share of the global market. India is poised to become a global hub for apparel manufacturing and exports, with a growing domestic market and a focus on sustainability.

According to a recent report by India Brand Equity Foundation, the Indian textile and apparel industry is expected to reach $220 billion by 2025. The industry is also a major contributor to the Indian economy, accounting for over 5% of the country's GDP and employing over 45 million people.

By investing in the latest textile machinery solutions, Indian textile manufacturers can reduce their environmental impact, produce higher quality products, and increase their profitability. This will help them to compete more effectively in the global market and capitalize on India's growing textile and apparel industry.

Indian textile manufacturers are encouraged to attend the technology showcase events to learn more about the latest textile machinery solutions and how they can help them to improve their businesses.

 

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VF Corporation, a global leader in branded lifestyle apparel, footwear, and accessories, has taken a significant step in fortifying its Board of Directors by appointing Trevor A. Edwards, a seasoned executive with over 25 years of experience in marketing, global branding, and management within the apparel and footwear industry. Effective October 22, 2023, Edwards joins the Board, and his role will include serving on the Talent and Compensation Committee, as well as the Governance and Corporate Responsibility Committee.

Edwards's impressive background includes a five-year tenure as President of Nike, Inc., overseeing various crucial divisions within the company. His wealth of knowledge stems from his earlier positions at Nike and his start in the industry at Colgate Palmolive. Currently, he serves as a strategic advisor to direct-to-consumer brands and investment firms and sits on the Board of Directors of Funko Inc.

VF Corporation Chairman, Richard Carucci, expressed his enthusiasm for Edwards joining the Board, highlighting his valuable expertise in strengthening the company's relationships with consumers, fostering innovation, and enhancing operational effectiveness. Edwards, in response, expressed his eagerness to work with VF's team, capitalizing on the company's reputation and iconic brands to deliver stronger returns for shareholders.

This appointment is part of VF Corporation's ongoing efforts to diversify and refresh its Board composition, reflecting its commitment to expertise and a range of perspectives. Edwards becomes the third new director added to the VF Board in the past 18 months, contributing his extensive knowledge in an ever-evolving industry landscape.

 

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The VDMA Textile Machinery Association is spearheading a delegation visit to India, set to take place from December 4 to December 8, 2023. This mission involves 13 leading textile machinery manufacturers and is aimed at promoting sustainable and efficient textile production. Supported by the German Federal Ministry for Economic Affairs and Climate Action, the event is organized by SBS Systems for Business Solutions in collaboration with VDMA India.

On December 5, Ahmedabad will host a technology showcase, while Coimbatore will follow suit on December 7. Decision-makers and experts within India's textile and nonwoven industries will have an opportunity to explore the latest textile machinery innovations, spanning various stages of the value chain, from spinning to finishing. Participating companies include Andritz, Baldwin, Groz-Beckert, and more. The VDMA represents over 3,600 European engineering firms, underlining its commitment to innovation and sustainability, with an emphasis on small and medium-sized enterprises.

In a bid to boost sustainability and efficiency in India's textile industry, the VDMA Textile Machinery Association has organized a delegation visit by 13 renowned German textile machinery manufacturers. Supported by the German Federal Ministry for Economic Affairs and Climate Action and in collaboration with VDMA India, this event is set to take place from December 4 to 8, 2023. With technology showcases scheduled in Ahmedabad on December 5 and Coimbatore on December 7, industry decision-makers and experts will have the opportunity to explore cutting-edge textile machinery solutions.

The 13 VDMA member companies and their Indian partners cover the entire textile value chain, encompassing spinning, knitting, weaving, nonwovens, dyeing, and finishing. Notable participants include Andritz, Baldwin, Groz-Beckert, and Saurer. The VDMA, representing over 3,600 European engineering companies, aims to advance innovation and sustainability in the textile sector, with a particular focus on SMEs. This event aligns with India's push towards sustainable and efficient textile production.

 

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The 2023 Textile Exchange Conference is shining a spotlight on responsible materials, and Naia from Eastman is taking center stage as one of the event's sponsors. Naia Renew, a breakthrough in sustainable fibers, combines molecular recycling technology with eco-conscious sourcing. Comprising 60% sustainably sourced wood pulp and 40% certified waste materials, it can be blended with other sustainable fibers, offering endless fabric possibilities while significantly reducing its carbon footprint over its life cycle.

Eastman's patented carbon renewal technology transforms hard-to-recycle waste materials into biodegradable fibers, aligning with its goal to eliminate textile waste from landfills and incinerators. The company actively engages with industry players through the Alliance of Chemical Textile Recycling to advance chemical recycling technology and maximize the use of recycled textile waste.

Naia Renew's fully traceable and responsible supply chain adds to its allure, with certifications and support for reforestation projects. Fashion brands like Patagonia and COS are already adopting Naia cellulosic fibers, underlining their commitment to sustainability without compromising quality or performance. Ruth Farrell, General Manager for Eastman's textiles division, highlights how Naia Renew empowers sustainability without trade-offs.

 

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European luxury brands are not disclosing production origin on their labels

 

For years, fast fashion brands the likes of H&M and Zara have been pulled up for not being truthful about their sustainable supply chain, mostly dismissed off as ‘green-washing’. What is interesting is sitting at the topmost echelons of fashion, most European luxury clothing labels haven’t been truthful either about their supply chains – the fact that from textile to stitching to embellishments, most haute couture are actually produced in Asian hubs that have been reliable providers of craftsmanship and quality for the likes of Saint Laurent, Dior, Chanel, Louis Vuitton and so on. 

However, with European Union laws being circumvented, these brands can stitch a button here or sew an applique there in Italy or France and have the right to say that these garments are made in Italy and France. The belief is that revealing the garments are actually made in China, India or Vietnam would damage a luxury brand’s reputation as Western luxury buyers do not approve of their high-ticket items being made in poor countries. 

They are under the false belief that countries like Italy and France actually have skilled labour working on handmade items – there is a handful and their handmade pieces are priced well above the usual luxury ticket. As Isabel Marant the French designer behind the eponymous label points out, the bulk of all haute couture is India-made nowadays not only for the practicality of cost but also for skills that no other country can offer when it comes to handcrafted work. 

Luxury labels have obfuscated transparency

Sitting lofty, talking about sustainability and innovative technologies that propel such luxury labels as the bearers of the ethical way to a greener world is just the public-facing story. By not acknowledging their supply chain as a long practice, these are the well-known labels that have been the reason the international fashion sector is moving at a snail’s pace when it comes to transparency. 

For the first time in 2023, two brands scored 80 per cent in the Fashion Transparency Index Study done by Fashion Revolution. In fact, 28 per cent of the 250 brands studied failed to cross double-digit transparency percentages.  As luxury labels don’t want to insert the source ‘Made in India, Made in China’, the average score in transparency of 250 of the world’s largest fashion brands went up by a mere 2 percentage points to just 26. As long as Western fashion executives harbor the misconception that their Western luxury consumers might question the working condition and product quality at source, transparency will remain obfuscated. 

In the realm of social media, much has been discussed on how hubs like India offer exquisite craftsmanship and are also major supply source for many of the finest luxury fashion labels. 

India finally gets her acknowledgement

The first-of-its-kind Dior Fall 2023 collection held at Mumbai’s iconic The Gateway of India put the spotlight on Indian contribution to French haute couture brand as it paid its long-overdue homage to Indian craftsmanship. International fashion media wrote their own tributes to these craftsmen as other collections let out their Indian stories. The India factor in luxury clothing is now being acknowledged with leading labels like Bvlgari, Hermes and Balenciaga now crediting and using Made In India for some of their statement pieces. However, this still remains the exception and not the norm. 

High-end fashion brands do have things they want tightly shut in the closet. As this sector has high profit margins, the operational costs can only be kept to a minimal, which makes them seek shores where labor is cheap, and labor laws not conducive to the vast population of workers engaged in production. However, its time they reveal their actual sourcing hubs and be more transparent.

 

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GenovaJeans

 

The GenovaJeans initiative, held in Genoa from October 5 to 8, celebrated the new generation of jeans and set the premises for the creation of a community dedicated to this iconic, revolutionary, and highly innovative garment.

30 prominent industry leaders, divided into three categories (heritage, new creatives, and production chain), created a unique and inspiring experience in valuable historic venues in the heart of the city. Presented in-group exhibitions, they forged a circular journey from the design to the creation of jeans, from the ingredient to the final outfit, and vice versa.

Heritage brands

Heritage brands, exploring the history, evolution, and best practices of this iconic garment, were hosted inside the Biblioteca Universitaria and included:

Blue Blanket Division

Blue Of A Kind

Diesel etc

Here is a closer look at some of the heritage brands featured at GenovaJeans:

Blue Blanket Division

Blue Blanket Jeans is a brand that draws from vintage-inspired garments to create collections considered contemporary in terms of style and sustainability. One of their claims is #BEST UNWASHED, proposing RAW garments that, through the genuine and natural wear and frequent use, tell the story of the owner who wears them, thus fulfilling two major requirements expressed by designer Antonio Di Battista: genuine and natural wear and a moral commitment to environmental impact, making them sustainable.

Blue Of A Kind

Blue of a Kind is meant to be not just a fashion company, rather a community built around an idea. 

Diesel

The Diesel items presented at GenovaJeans this year belong to a new generation denim collection that promotes circularity: Diesel Rehab Denim. 

 

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Bangladeshi garment workers protesting for higher wages

The ongoing wage talks for the Bangladesh ready-made garment sector could result in a new poverty wage of just 95 USD per month (10,400 Tk), based on an outrageous proposal presented by employers at the latest Wage Board meeting. 

Trade unions and labour organizations reject this barefaced attempt to keep workers trapped in poverty. The deficient offer results from the reluctance of major fashion brands to actively support workers in their struggle for decent wages.

Living-wage-committed brands such as Asos, H&M, M&S and Uniqlo must end their silent complicity with cutthroat business owners, pay higher prices for their products and support Bangladeshi trade unions’ demand to raise the wage to at least 207 USD (23,000 Tk) per month.

“If the new minimum wage is as low as 10,400 Tk, this means that the majority of workers cannot survive on an income they earn for a 48+ hour workweek in this industry,” says Kalpona Akter, president of the Bangladesh Garment and Industrial Workers Federation. “International buyers should take responsibility now before the situation gets even worse.”.

Trade unions have staged several demonstrations in Bangladesh and have reached out to over 60 major brands sourcing from Bangladesh. Brands were urged to support the demand for 23,000Tk, commit to sourcing from Bangladesh after the minimum wage increase, and absorb the higher cost of labour in their purchasing prices.

This was underlined by the BGMEA’s recent call on the ACT brands urging them to consider the higher cost of living and inflation that workers are facing by paying a “fair price” and be more “empathetic and rational on pricing and sourcing practices”.

A few brands have acted upon the call from trade unions and published individual statements in support of their wage demands. 

The silence of buyers encourages employers to continue violating the human right to a living wage that ensures workers and their families a life with dignity. 

 

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